How to Protect Your Property Portfolio from Rising Inflation
Property assets appreciate gradually over time and are considered a fairly inflation-proof investment since, although the economy may be sluggish, it is very unusual for bricks and mortar to drop in value. However, with rising inflation putting pressure on other aspects of owning rental properties or managing a portfolio, there is the likelihood that higher mortgage interest rates, utility costs, and council tax will impact your bottom line. Here we’ll run through some suggestions to help you maintain profitability, along with guidance about assessing the fair rental value of each rental property in your portfolio to recognise the increasing demand for quality accommodation, particularly in the most sought-after areas of West Sussex. Why Does Inflation Impact Rental Property Profitability? Inflation itself doesn’t normally have any marked impact on the valuation of a property, but it can affect other outgoings. Managing those costs during times of swift price rises can be