Real Estate Report – January 2017

I’ve run out of evening to make a longer, more elaborate post regarding the Real Estate Report, so will keep this short and simple for today. Any questions, please do leave a comment 🙂

Rental Income

Rental income is boring this month, no vacancies and every rent wat paid on time, yeah!

Rental Expenses

Expenses were a bit higher then anticipated. Primarily due to high costs on the boiler systems of two units. One had a leaking valve, which set us back about €77. Both units needed to be fitted with Carbon Monoxide switches, as both were deemed at risk by the original manufacturer. The cost: €35 for the two sensors. The total cost for the two boilers: €315 (normally that should be €156).

Other expenses for the month are:

  • Interest costs (mortgage and loan)
  • Insurance costs
  • Property mangement costs

Real Estate Report – Overview

Still, a pretty good month none the less. We still made well over €2.000 in net rental income (granted, before taxes!):

There will be some significant costs made next month as two units will be fitted with continuous ventilation. Furthermore the moisture issue will hopefully be tackled too with a lead slap and expoy barrier being placed within the wall. Costs will probably whipe out rental income for the month of Februari and/or March. Depends on when the work is executed and the bill arrives.

But at least we won’t kill our tenants with mold and we will also keep the building in better shape by keeping moisture levels down.

 

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16 comments

    1. In that case, we very much like the new sexy! There is a moment of euphoria when you get to keys to a net rental unit…it’s just not always fun when things don’t go as planned (like moisture issues, etc.), but such is the life or a landlord.

  1. Awesome month, I like those “boring” months too. No work, but the money still flows into my account. Dividend remains my favorite way to invests, but rental properties pays the bills. Congrats on a great month! I hope you’ll have many more “boring” months.

    1. 100% occupancy is really nice, and we should be good until at least September this year. That is when the first two yearly contracts end, they then roles over in a one-month notice on the tenant side.

    1. It actually does, it actually covers core expenses (daycare excluded). But the average for this year will likely come in at around €1200-1400 per month after all the maintenance/repairs works are completed. And in that case, we only cover about 55-65% (before taxes and not even from a cash-flow perspective!). We got a bit more to go 😉

    1. The whole portfolio is definitely cash flow positive, which is really good (actually it was a requirement for us before we got started).
      Thank you for the compliment 🙂

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