Saturday 2 July 2022

Net Worth: JUN 2022

My monthly NW estimate has been updated in NetWorthShare for the end of June. Chart is in the side-bar.

Stocks and managed fund investments suffered from significant US and local market declines during this past month, but as I had eliminated my geared shared investments my 'Stocks' figure was only down -$6,026 (-2.24%) with $262,781 net equity.

Our estimated house price for June (my half) was down (-$17,101) to $1,178,956 with the Northern Beaches area of Sydney finally starting to reflect the general weakness of the Sydney real estate market. Apparently units (apartments) are coming back into favour as the move towards suburban houses that was apparent during the Covid-19 epidemic and lock-downs starts to unwind. Hopefully this means that the value of my off-the-plan investment apartment will hold up reasonably well over coming years. Rents are also starting to rise, which should help offset rising mortgage interest rates (which will have a large impact on my cashflow position once the apartment construction is completed and I have to pay the balance of the purchase price using a $900K mortgage or my available home equity line of credit).

The value of my retirement savings decreased significantly during June (due to the increased local and international stock market weakness) to $1,333,899 (down -$87,994 or -6.19%)*. Looks like I won't be reaching the $1.7m TBC any time soon. Good thing I was already planning to keep working full-time until about 70, and then do another decade or so as a part-time financial planner.

Overall, my estimated NW decreased by roughly a year's salary to $3,112,727 over the past month - down by -$109,926 (-3.41%).

As I have completed my MFinPlan degree and my PhD enrolment application at WSU wasn't accepted (I'll try applying to some other local unis) and I don't have any clients for my part-time financial planning business yet, I have a bit of spare time these days in the evenings and on the weekend. I've joined a local gym to shed some of the excess weight I've put on while working from home, and yesterday I applied to become a 'Doordash' delivery driver (I used to do UberEats deliveries, which was quite fun, but they required a recent model car and comprehensive car insurance, whereas Doordash can be done using my 2002 S-type Jag with the basic insurance cover I have). I might do a few hours of 'Doordash' delivery driving on Friday and Saturday nights (peak period) to earn some extra $$$ to help boost my cashflow - at least until I see how the finances work out with my investment apartment next year (I'm not sure how 'negatively geared' and cashflow negative it will turn out to be). Having some extra regular income for the rest of 2022 might also help with my mortgage applications at the end of the year.

*edit: turned out our SMSF investment probably wasn't down quite as much in June as I initially calculated - there was a sizeable distribution paid out on 30 June which wasn't reinvested in additional units until 1 Jul. Although the unit price dropped on 1 Jul to reflect this, the actual unit price used for the reinvestment ($1.6855) doesn't seem to match any of the 1 Jul unit pricing:

01 Jul 2022 $1.7002 $1.6974 $1.6988
30 Jun 2022 $1.7666 $1.7636 $1.7651

Subscribe to Enough Wealth. Copyright 2006-2022

No comments: