Rube's journal

Where are you and where are you going?
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DutchGirl
Posts: 1646
Joined: Tue Sep 06, 2011 1:49 pm
Location: The Netherlands

Re: Rube's journal

Post by DutchGirl »

Hmm, not sure whether I would count the influx of money from the rental as income. In that case, you would also have to count the profits from your stocks (gains and dividends) as income, too; because they are both money gains resulting from investing (in the rental or in the stock market).

Congrats on getting above 400k; hopefully it stays that way and grows more! Enjoy the rest of October!

rube
Posts: 883
Joined: Tue Oct 02, 2012 7:54 pm
Location: Europe (NL)

Re: Rube's journal

Post by rube »

@DG: I count cash flow from investments as income (Rent, interest, dividend). Since I keep track of this all I have not sold, so not realized gains of, stocks, bonds, precious metals yet.

Still reading here but posting less....just a quick and short update:
-NW end of October was 414K, end of Nov. 419K and end of this year I expect around 422K. It goes a bit up and down but the average direction is ok.
-Saving rate around 64% currently.

I went to a foreclosure auction some time ago. Very interesting but the only apartment I was interested in, was sold for 20% more then I offered. I also visited another apartment, but they decided not to sell. Next week I have another appointment to view an apartment.

Some points in random order:
-Busy with the family, work, some repairs, administration etc. Time is going fast.
-Bought a new laptop for the family, the old one was 6 years and beyond reasonable repairs.
-Have seen a lot relatives lately
-Started to read about mental models, want to read more about this (after I finished the current book, we are our brain)
-Need to exercise more (as always)
-Often/sometimes focused too much on the monetary aspect, instead of the holistic ERE approach. I think it is partly of the available time and energy after work. Though I am aware of it, I think...
-Will be traveling the whole month of January for work
-I will likely travel more frequently next year (short trips within the EU).
-I read more now I have an e-reader
-Still watch too much Netflix, but quitting the cable has been good decision. Reduced mindless zapping and annoying commercials
-I do complain about my job now and then, but actually I make much more then my peers (same age, same education), work mostly 4 days from home and it's easy. So I hope I can continue here till I reach FI(RE).
-No idea when I will post another update and/or graphics :-)

rube
Posts: 883
Joined: Tue Oct 02, 2012 7:54 pm
Location: Europe (NL)

Re: Rube's journal

Post by rube »

Our offer on another apartment was accepted. We plan to sign the contract in a few days. We can probably rent it out in May or June.

Most of January I will be travelling for work again. Now still enjoying a few holidays with the family.

Thanks to everyone who contributes to this great community and I wish you all a great 2016!

rube
Posts: 883
Joined: Tue Oct 02, 2012 7:54 pm
Location: Europe (NL)

Re: Rube's journal

Post by rube »

Lately I am in the lurking mode, haven't update my journal in over 3 months.
All is ok, some changes here and there but overall still going steady towards (e)r(e). Working more and more towards a date: max. 5 years and 2 months.
My employer is happy with me and gave me a 10% raise. I don't complain :D.

DutchGirl
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Joined: Tue Sep 06, 2011 1:49 pm
Location: The Netherlands

Re: Rube's journal

Post by DutchGirl »

Nice raise, Rube!

Do you now indeed own two rental houses? Are you working on the second one, to prepare it for a renter?

Five more years, and a bit, that sounds like a great short-ish period. You're getting closer; nice.

rube
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Joined: Tue Oct 02, 2012 7:54 pm
Location: Europe (NL)

Re: Rube's journal

Post by rube »

Thnx DG. The transfer of the 2nd one will be in May.
I will then paint all, lay a new floor and install a new kitchen. I aim to rent it out in June.

rube
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Joined: Tue Oct 02, 2012 7:54 pm
Location: Europe (NL)

Re: Rube's journal

Post by rube »

NW surpassed the 450K mark last month. When I realize how much we save every month, I amazed. Never thought we would even make that amount. But still it doesn't satisfy me (completely). More and more....I wonder if I will ever be satisfied and how hard it will be to give up my golden handcuffs. But maybe I will be fired before I need to think hard about that :D

Today we received the keys of the 2nd rental. I already removed the old flooring and kitchen. I'll be busy this week (month) with making it ready and getting it rented.

Hankaroundtheworld
Posts: 470
Joined: Mon Feb 24, 2014 4:50 am

Re: Rube's journal

Post by Hankaroundtheworld »

Congrats to get your 2nd to-be-rental acquired, and start making it work for you! You will see, once you start receiving 2 rental amounts coming in every Month, that deadline of ERE will become more realistic. In some countries, that double rental income would already be enough to live on (assuming those 2 houses are paid off). One way or the other, this is great progress!

rube
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Joined: Tue Oct 02, 2012 7:54 pm
Location: Europe (NL)

Re: Rube's journal

Post by rube »

@HATW: thnx!

Net Cashflow of these 2 rentals and some interest and dividends we recieve, is covering now about 60% of our average expenses.

5 more years before we have enough for income + buffer, tution money kids, be able to build our own home. Slowly but steady we'll get there. NW will be 460K in a few days. Estimations: close to 500K by the end of the year and 530K a year from now.

2nd rental: I painted all, lay new flooring and floorboards and installed a new kitchen. Took quite some effort, but I think it helped to secure good tenants fast.
Within a few days after putting it on the market the lease was signed and deposit made. Today I handed them the keys.

DutchGirl
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Location: The Netherlands

Re: Rube's journal

Post by DutchGirl »

You're doing great, Rube, well done and congrats!

Dragline
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Re: Rube's journal

Post by Dragline »

+1

rube
Posts: 883
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Re: Rube's journal

Post by rube »

Thanks DG, Dragline.

NW came in at 466K end of June. PP performed great under the Brexit news. Though I anticipate that some of the gains for gold and long term bonds might be temporarily, until "the market" has digested this unexpected news.

Other news: we got married last week :P.
We celebrated it with our direct family and some close friends.
It was not 100% completely ERE style, but if you look at our NW & expense charts, you can't really see anything unusual, enough ERE-ish for me ;)
Most important, we enjoyed it at lot.
Last edited by rube on Tue Jul 05, 2016 6:53 am, edited 1 time in total.

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Ego
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Joined: Wed Nov 23, 2011 12:42 am

Re: Rube's journal

Post by Ego »

rube wrote:Other news: we got married last week :P.
Proost!

Congratulations!

Hankaroundtheworld
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Joined: Mon Feb 24, 2014 4:50 am

Re: Rube's journal

Post by Hankaroundtheworld »

Gefeliciteerd!!

DutchGirl
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Re: Rube's journal

Post by DutchGirl »

I'm late to the (wedding) party: congratulations :-D

McTrex
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Re: Rube's journal

Post by McTrex »

Gefeliciteerd Rube!

rube
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Re: Rube's journal

Post by rube »

Thank you all! Tomorrow we 'celibrate' our 1 month anniversary :D.

Earlier in July I spend a week in Toronto for work. We also had a great meet-up with in total 6 ere'ers. Nice to meet members from a different region (to me) and to see some persons after 2.5 and 1.5 years again.

Today we arrived at our holiday destination in Italy. On the way we stayed in two hotels, which I could 'pay' with points collected during my business travels. So free hotel nights!

Earlier in July I gave a RE-agent the assignment to lookout for another rental property. Hopefully he can come up with something goods in the next 3 months (as he affirmed he could).

NW as of end today is 473K. A lot of the 7K increase since last month came from the strong market (or PP performance).

DutchGirl
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Location: The Netherlands

Re: Rube's journal

Post by DutchGirl »

Nice. Enjoy your holiday!

rube
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Joined: Tue Oct 02, 2012 7:54 pm
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Re: Rube's journal

Post by rube »

Another 2 month have passed.

Last month a close colleague (friend) was 'let go' (=fired) unexpectedly and was replaced by another (inexperienced) individual. There are too many details which I won't reveal here but bottom line is I don't get it. And even though I think my position is a bit more secure, it made me realize again I am happy we're not living paycheck to paycheck.

We were in agreement to buy another 2 rentals, but we walked away from 1 due to a couple of reasons. We signed the contract for the other one though and transfer is in about two months. This rental is different from the 2 we already have: different renters (students) and different place (it's actually in the town where Dutchgirl lives :-) ).
Perhaps a little bit more risk/work, but the expected yield is also higher. Sold part of our PP to finance the rental.
If goes as expected the income from the 3 rentals should cover 90% of our current expenses.

NW end of Sept. 483K. This is with a conservative estimation of our real estate (our house was appraised recently 35K more then I use for our NW). So we might have already passed the 'half a millionaire' border :-).

We're leaning more and more to the idea to quit our normal salaryjob in about 3 years time, even if we have not as much as we ideally want. We'll see, but about 3 years is the current target.

Almost at the office for another day of work. Till the next update.

LiberateMind
Posts: 197
Joined: Fri Oct 26, 2012 8:18 pm

Re: Rube's journal

Post by LiberateMind »

Congrats on the wedding!!

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