This is my official Net Worth Update for June 2015. Below are my actual numbers for ALL my investments and liabilities as of today. Explanations and quick summary below chart.
Oh yeah!! My net worth grew by $8216. I was really surprised to see it went up that much because I used a bunch of cash to pay for closing costs on the new rental and I also bought plane tickets for two up coming vacations later this year. The reason why it went up like that though is because I’m starting to get back some payments from a loan I lent out to my girlfriend. I know! You may be thinking this is a bad idea but I took full control of her finances and set this up on purpose so she can stop paying 15% plus on BS interest. Now she has zero interest on her small debt and it should be completely paid off in just a few short months. I also received first month’s rent on the new rental property and I don’t even start paying that mortgage until August 1st. So for a few months (June and July), I get to see EXTRA cash flow from the new rental. This was a pleasant surprise and I’m really happy with that boost.
Assets: Explanations of each of my assets.
This constitutes two different checking accounts. My normal checking account and my REI (Real Estate Investing) checking account. My cash took a significant hit because I used a bunch to pay for the down payment and closing costs of the new rental and I also booked a few trips for later this year. Satisfied!
My HSA deductible is $1300 for the year so with that being said I am only taking a very small amount out from my dreadful day job paycheck to fund this account. Any money after that deductible will just sit in that account not making me money. I know I can use the money that I don’t put in there to get better returns as long as I invest it in more real estate. This number should increase each month a tiny bit. Satisfied!
Company Stock Options
These are stock options from my day job. I am fully vested. This number goes up and down but for the most part has been consistently going up. I’m anticipating on these stocks to continue to grow however its pretty much all speculation. Educated speculation at least. I am not planning on cashing these out unless it’s an emergency situation. Satisfied!
I have made an executive decision to no longer contribute any more money to my 401k. Mainly because I do not get matched contributions from the dreadful day job. But also because I KNOW I can make better returns using that money on rental properties. I expect this small investment to gradually grow each month assuming the market doesn’t crash. Satisfied!
Property # 1
This is my primary residence. The market I live in is extremely hot and I expect the appreciation on this house to continue to grow. I will only update the market value once a year though with the next time being spring of 2016. I have it listed as a conservative $240k right now based on MLS comparisons in my neighborhood. If I were to sell it I’m pretty sure I could get at least 250k for it but ill stick with 240k for the spreadsheet to be safe. Satisfied! Here are more details on this future investment property.
Property # 2
This is my first rental property. It used to be my primary residence. I expect gradual appreciation from this property as well because it is in the suburbs of this HOT market I live in. Love me some HOT markets! 150K is about what its worth now based on MLS comparisons. I will update the market value of this property in the spring of 2016. Rent paid in full and on time. The tenant did however notify me of a broken oven. The oven is 15 years old so Ill be purchasing a new one in the next coming weeks. Need to keep my tenant happy! Satisfied!
Property # 3
This is my first turnkey rental property I purchased out of state. I do not expect much appreciation on this property. I purchased this for CASH FLOW purposes only. Rent paid on time. The tenant did however submit a repair request for the AC unit not blowing out cold air. Since the AC unit is less than a year old, the unit was fixed free of charge. Tenants are happy, my PM is happy and I’m happy. Satisfied!
Property # 4
This my 2nd turnkey rental property. I do not expect much appreciation on this property. I purchased this for CASH FLOW purposes only. Rent paid on time. No repairs. Satisfied!
Property # 5
This is a note that I own from a house that I sold via owner finance. Mortgage paid on time. No issues. If you notice though, the reason why this asset will continue to go down from the spreadsheet above is because it is a note and the principal balance on it goes down each month as the buyer pays me. Remember, I’m the lender on this one. Satisfied!
Property # 6
This is my newest rental, just purchased it in early June and I absolutely love this house. I got paid June’s rent payment right after closing and I don’t have to start paying the mortgage on this one until August 1st. So for two months, I get to see extra cash flow on this. Pretty awesome! Obviously no repairs calls on this one and rent was paid on time. Satisfied!
Liabilities: These are self-explanatory so I wont dive too deep into these however I would like to include the items below for informational purposes.
I only use one credit card (rewards card) that I use to purchase my everyday expenses. I pay this off in full every month. This number will change each month. I recently started using my other backup credit card to purchase every day items because I received a promotion that the rewards went up to 1.5% cash back on ALL purchase. The card I was using last month only had 1% cash back. So I’m excited to get back a little bit more rewards. Whoo hooo! Satisfied!
I purchased this vehicle before I had the proper knowledge on how to be totally awesome with finance and investments so that is the only reason why I have this loan. If I knew then what I knew now, i would have purchased a used vehicle all cash. It is not worth it to me to pay this loan off because the interest rate on this loan is 2% and I would rather use that money to buy more rentals where I will make a much greater return. I will continue to pay it down slowly. Satisfied!
Last 30 days net worth graph from Personal Capital
As you can see below, the big dip is when I put down the down payment on the new rental house I bought in early June. This however quickly went back up after adding the new asset to Personal Capital as well as all the cash income I receive through out the month.
If you want to setup and track your net worth online like I do, create a free account Personal Capital.