Ok, I wasn’t planning to calculate our families Net worth, but after reading few investing/saving blogs that calculate theirs I decided to spend some time just to see what is our situation. Early at Y2011 or Y2012 I did calculated my Net worth and it was negative due purchase of my apartment for 78 kEUR at the very peak in Y2017 with almost 100% mortgage loan of 72 kEUR. So my mortgage loan was way higher then flat value that was just recovering from Y2008 crisis. Since then my mortgage loan has amortized a bit to ~60 kEUR and we switched our 2 room apartment in good location in the city to 4 room apartment in not so good location with my father as he moved to new smaller apartment. We made a quick sale of our old 2 room apartment for 46 kEUR giving all the funds to my father, so in general we lost -32 kEUR from this apartment 😦 Apartment could have been sold for ~50 kEUR, but since we give all funds away our interest was to sale it as fast as possible and move in to our new 4 room apartment in Y2015. We have pledged our new 4 room apartment for same mortgage loan and old 2 room apartment was released and later as mentions sold. According to Y2015 evaluation new apartment value was 57,6 kEUR. If looking at apartment price change since then it have increased by around +5% so our apartment present value should be around 60,5 kEUR. So our mortgage loan for the first time came out of under the water with LTV (loan to value) bellow 1!
So our present liabilities:
- Mortgage loan – 59,8 kEUR
- Student loan – 2,8 kEUR
- Consumer loan – 0,1 kEUR
- Total liabilities – 62,7 kEUR
Moving forwards here are our asset and its value:
- Apartment – 60,5 kEUR
- II pension fund – 6,2 kEUR
- III pension fund – 4,9 kEUR
- Shares – 7,2 kEUR
- Cash – 1,3 kEUR
- Total asset – 80,1 kEUR
So to wrap it up our families Net worth +17,4 kEUR.
So we have a positive Net worth. I will not monitor our families Net worth as I think it is not important. More important is how much our investment portfolio generates passive income or dividends. And we generate at the moment only 328 EUR / year after taxes. This is the main focus. Unless our goal would be to sale everything we have, cover our loans and live for gathered cash rest of our lives in Bahamas I consider Net Worth not important 🙂