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Your end-of-financial-year checklist


Just like the end of the calendar year, the end of the financial year (EOFY) is a flurry of activity for businesses, consumers and property investors alike. It presents an excellent opportunity not only to review your progress so far, but to get a handle on your future situation as well.

If you want to make the most of this last-minute dash to the finish, follow these three steps to a progressive EOFY.

Time to figure out if that investment is working for you.Time to figure out if that investment is working for you.

1) Review

The first thing to do at the end of the financial year is to look back on everything you have achieved – and how it measures up against what you wanted to accomplish. Seek out the weak and strong links in your portfolio. If you have an investment property in Sydney or Melbourne, you are likely jumping for joy for the 13 and 14 per cent year-on-year value gains that CoreLogic RP Data has recorded.

On the other hand, a dwelling in Perth (which has fallen 4.23 per cent over the last year) might need shoring up. Property in areas influenced by mining such as regional Queensland have fallen significantly over the last few years. Check your current portfolio against your goals – are they meeting them, or is it time to adjust your strategy? If you want to talk about how to access investment property in other areas, give us a call.

2) Capitalise

Talk to your mortgage broker and capitalise on your hard work with the right advice.

After figuring out where your strengths and weaknesses are, it's time to capitalise on them. Adjust rents, log your depreciation and potentially start looking at selling a property during the peak of a market (if you've found one).

At this point, it's also a good time to consider refinancing your mortgage(s). Earlier this year, the official cash rate dropped to 1.75 per cent, and you may find that you can now access a better interest rate than when you first started. Check your investment strategy, talk to your mortgage broker and capitalise on your hard work with the right advice. 

3) Reset

Lastly, you should take a good hard look at your current objectives. Are you on track to retire comfortably, or is it time to make a change? Have you set your goals too low, or perhaps too high? Are you adhering to your current investment strategy to the best of your ability? Is your current strategy and investment selection right?

Find the holes in your wealth creation methods and plug them. Set new goals, adjust the ones you already have and get yourself ready for another year with a fresh plan of attack.

Take the time to speak to a financial planner this EOFY, and discover new ways to optimise and streamline your current investment portfolio.