Any good financial adviser will tell your to diversify. But if we’re honest, our portfolios are weighted heavily in favour of property over any other asset class.
So how about diversifying within property? In this week’s episode we discuss five different ways to balance out the risk in your portfolio:
- Investing in houses and apartments
- Investing in different areas
- Using different strategies
- Balancing using capital values
- Buying more than one property at the outset
We also talk about the potential downsides of diversifying – because you can have too much of a good thing…
This week’s quote
“A common mistake is to fixate on the number of properties instead of your portfolio’s total value” – Rob Bence
Resource of the week
It’s amazing what you can see from the air – and you can get an aerial view of a large chunk of the world at Travel By Drone.
As it gets more and more comprehensive (and it already covers a good amount of the UK), you’ll be able to virtually fly over investment areas you’re considering and really get to grips with what’s what. And failing that, it’s an excellent way to waste a couple of hours…
This resource was recommended to us by Tom Ollerton – check out his new podcast The Innovation Ramble.
News this week
This Is Money listed the 10 biggest DIY turn-offs – so if your latest refurb involves ripping out an avocado bathroom suite, stripping the woodchip wallpaper and skimming the artex ceiling, you’re onto a good thing.
Join the conversation
How much diversification do you aim for within your portfolio?
At what point does “diversification” become “spreading yourself too thin”?
We’d love to know, so join the discussion in The Property Hub!
If you enjoyed The Property Podcast, please leave a review on iTunes
Reviews are really important in helping other people to find the show, so by way of thanks we read out every single review we receive on air.
If you’d like to hear your name on the show, leave us a review on iTunes here.
Not sure how to leave a review? This video shows you how to review and subscribe on iTunes.