Nearly 2 weeks ago we discussed that my Net Worth & Cash Flow Goals for 2017 were to clear $300k in Net Worth before January 2018, and finish the year out with Cash Flow in excess of $2,000 per month. It’s now the end of the month and time to see how well we did in June.
Keep in mind we started the year off at $150k in Net Worth and slightly over $1,000/month in excess Cash Flow.
Interested in tracking your own Net Worth? Thanks to modern technology, it’s incredibly simple and FREE! I would recommend opening a free Personal Capital account to track your Net Worth and Cash Flow.
June Net Worth – $221k
As of June 30, 2017 we’re sitting right at $221,281, leaving us 6 months to clear an additional $78,719 before January 1st. We’re off to a good start but do have some ground to make up considering we were able to gain around $71k in the first 6 months.
Cash reserves are a little low this month as we spent our savings on our latest rental property and are in the process of building this back up.
This category is made up primarily of 401k income.
Total market value of all real estate held makes up this category. In my particular area, Zillow is pretty accurate, and I know this is not the case if you live in a rural area or where there’s not a lot of comps. I estimate the value of my properties separately, but so far Zillow is rarely off by more than 5%, so in order to be consistent and to make sure I’m not over estimating a particular property, I will stick with Zillow estimates for these reports.
This includes Mortgages and rehab money we put on a credit card. We use a credit card to fund the rehab and do not use them for anything else. The cards are paid off once we rent and refinance the property. I’ll go into details about this strategy in a later post.
Assets:$762,715 – Liabilities:$541,434= $221,281
June Cash Flow – $635
Only cash from real estate, dividends from stocks outside of our 401k’s, and side jobs are calculated here. Cash Flow for June came out a little low due to carrying costs on the new rental property, but should fully recovery in July or August when it’s rented.
- Rental Income $2540
- Rental Expenses $1915
- Net $625
Not really worth talking about, but let’s include them anyways. We cleared an outstanding $10 in dividends for June. When you’re not making a lot on dividends, it helps to use a broker that doesn’t charge anything for trades. Robinhood offers 100% free trades and no monthly cost.
I feel these goals are realistic, but still tough enough to keep me motivated and constantly pushing forward. Is anyone else obsessed with tracking their financials? Please comment below.