CalculateRealEstateROI

Portfolio Building

When should I rebalance my portfolio?

Every 3–5 years, or when single-asset Return on Equity drops below 5%.

Reviewed by Keiron Brown, Founder & Editor, CalculateRealEstateROI · Educational estimates only — not investment, financial, tax, or legal advice

Direct answer

Every 3–5 years, or when single-asset Return on Equity drops below 5%.

Expanded explanation

Equity accumulates and yields decline. Annual ROE audit. 1031 underperformers into higher-yield deals. Don't be sentimental — assets must continue earning their place.

Examples

  • $400k equity at $12k cash flow = 3% ROE → 1031 into 6% asset.

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