Quick update on our favorite cash-cow: Real Estate Report – November 2018 edition?! November was boring and very profitable! Finally low expenses and a high(er) cash-flow. Let’s have a look at the numbers!
In case you are interested in Real Estate investing in the Netherlands, take note! There is another meetup organized on 9 March 2019. See here for details. The previous one last November was a big hit.
Real Estate Report – November 2018
Our rental income for November 2018 is trending up again! We had a total income of about €3.524. Should be higher again next month, once we get a full month of interest payments for the real estate loan we signed last November.
The monthly income distribution is provided below:
The expenses for November 2018 were very low. No maintenance costs, no insurance, just the monthly basics! The last month of the year will see some maintenance costs once again. This because we replaced all the single glas windows we had left in one unit. It’s al HR++ glas now. The bill came in early December.
The expenses consisted of the following:
- Mortgage payments;
- Insurance fee return (because of sold unit); and,
- Management fees.
The expenses for the month are as follows:
Real Estate Report – Overview
The net rental and loan income for November was €3.061. The net cash-flow was lower at €2.005.
We have a mortgage and we provided a private real estate investment loan that does not pay out the monthly interest (hence a lower net cash-flow). We will get this interest (and principle) once the loan matures in late 2020.
To visualize the net income and net cash-flow of our real estate portfolio (including real estate loan) throughout the year, I made an extra graphic! Check out the mid year horror:
The massive drop in the middle of the year is driven by the rather large bill for renovations. Fortunately the renovations have significantly increased the value of the rental properties, but negatively affected income/cash-flow. Overall, it helped increased our wealth for the year!
The works done on the building included adding isolation on the outside of the building. If you want to know more about this, there will be another meetup on January 26 in Haarlem. We will have a speaker doing a presentation about energy efficiency for houses including the finances. Do join if you can! Fees for the day are only €15.
Real Estate Report – Recap and Forecast
As noted earlier, the real estate loan was signed at the notary. The first full month should be arriving at the beginning of January, further increasing our real estate related income. We have another €800+ bill we paid for the window glas replacement. Furthermore, we will have some furnace servicing to be done around the Christmas break for a few units. Hoping nothing extra is required, but you never know!
But that being said, we don’t expect any extra maintenance expenses for a while. All the major stuff is done, so we are hoping on a profitable 2019!
Any good stuff to report with your real estate? Please share your experiences!