How Crazy is this Appreciation?

Real estate has been on a tear! It’s amazing, every time I look on Zillow it seems I’m a couple thousand dollars richer, but is it just another bubble or here to stay? I’d expect if rates went up about 100 bps (1%) that house prices would decrease roughly 10%. I’d also expect this to not be a slow emerging sight, rather it would be immediate. Then there’s the supply side that one needs to think about, as currently we’re seeing very low number of listings for sale. That being said I did some reflecting and am quite happy with how my house hack has turned out and some of the resulting investments that came from that decision. Without the first house hack I may have not had enough breathing room or confidence to take on the properties in Michigan and may not have had as much exposure to Bitcoin.

10-day BS Refresh

The crazy thing is that when I was starting this tracking a few years ago I had the number of 600k in mind to get to. Now I’m actually there. More recently though in my mind I said it might be a better goal to get to 40 rental units, assuming $100 profit each month per unit because that would hopefully march along with inflation. My makeup as a person has been changing and I think I may need to reevaluate what my financial goals really are. One big change is that I’m married now, so need to think about us not me. I’ve also been having great fun with marketing my books and doing the podcast with Al, so I may want to incorporate that somehow. More thinking and evaluating to do…

Analysis Intelligence

The Opening NW in the 3/20/2021 column is the closing NW from the 3/10/2021 column. The green numbers represent estimated changes to my net worth in those categories (green numbers in 3/20 column are the changes that I estimated on 3/10). The white “Gain from” rows show how the actual numbers turned out compared to my original estimates, ten days prior. You can see that my Bitcoin projections have been way off the past couple of weeks in the “Gain from Currencies” row.

Crystal Ball

With the crazy appreciation the last few weeks in real estate prices I’ve updated my assumption to be a bit more aggressive. But when will they let rates actually go up? I’m also expecting to pay down my credit card these next couple of days, showing in the “Exp Loan Paydowns”.

Ideas for increasing NW/Learning

  • Look for promotions for my books. Examples would be doing some book drawings.
  • Finish my actuarial modules so I can get my FSA, deadline is April 9th (will be a 7k increase in salary once I get my FSA)
  • Revisit Tax Liens
  • Learn about Salesforce
  • Start analyzing how affiliate programs really work
  • Instead of relying solely on Amazon to sell my book I’m thinking to sell the books on my website as well. Should I just control the book sales in the same corporation as my real estate in Michigan?

Notes:

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