Alright, alright - Let's get down to business. We've had a lot going on this past month which effects our Net Worth results. Let's get started and I'll explain throughout!
Cash - $17,135 (+$2,049)
Investments - $87,456 (+$4,087)
Home Value - $197,000 (+$17,000!!!)
Personal Assets - $50,892 ($0)
Less: Liabilities - $187,699 ($-930)
Here's how it breaks down:
Investments - $87,456 (+$4,087)
Home Value - $197,000 (+$17,000!!!)
Personal Assets - $50,892 ($0)
Less: Liabilities - $187,699 ($-930)
Here's how it breaks down:
Wow! So, obviously the home value has increased! A few weeks ago we decided to refinance our existing mortgage since PNC offers a super-sweet Home-Equity Installment Loan, which reduces the closing costs to $250! since they remove the need for title transfer and insurance! So, we're going to get a lower interest rate of 3.77%. Plus, we are going with a 20-year fixed rate tenor so we'll be reducing our principal more and more each month! A huge WIN-WIN if I ever heard one! What's the catch? Well, the Installment Loan does not come with escrow, so we're on our own to manage the taxes and insurance payments throughout the year. Although, the luxury of having that taken care of was nice - it does not match my desire to reduce interest and principal. Plus, I was always a little fishy of how they handled it!
Assets -
Cash - A huge increase that was impacted by two things. 1) November was a 3 paycheck month for me and 2) No mortgage payment this month. Since we will be closing on the new installment loan next week, the mortgage payment was not required. I could have made a payment - but didn't see the reason since the loan will reconcile everything in a week. I may make an extra principal payment anyway.
Cash - A huge increase that was impacted by two things. 1) November was a 3 paycheck month for me and 2) No mortgage payment this month. Since we will be closing on the new installment loan next week, the mortgage payment was not required. I could have made a payment - but didn't see the reason since the loan will reconcile everything in a week. I may make an extra principal payment anyway.
Investments - Wow. I was very surprised by the results of our Investment accounts. However, most of that gain is offset as contributions of $2,822. I was surprised because immediately following the election, the Dow fell 400 points due to impending fiscal cliff and the worry that Obama would screw it up since the House and Senate are republican. For some reason though - the markets bounced back on decent manufacturing and Black Friday data. So, the markets should be in flux for a small period, but the gains are nice to see!!
Personal Assets - The change in Home Value is due to the appraisal that was performed by the bank as part of the Refinance. Personally, I was shocked. I did not think the value could rise that high in 30 months, but I'm happy to admit I was wrong. Location, Location, Location!!! That really makes me feel good about potentially selling this house in the future - to think I could reasonably expect to sell it for $200k and only have to pay down $130 mortgage, makes for a very good return!! That might make my desire for Income Property a reality sooner than I expected!!
No change in the car values since I researched them in October. Every other month review seems appropriate based upon the depreciation levels.
No change in the car values since I researched them in October. Every other month review seems appropriate based upon the depreciation levels.
Liabilities -
Mortgage - $130,524 - No change now, but they are pending....
Student Loans - $33,493 - We made 3 payments this month along with the 3 paychecks. So, an additional $140 was knocked off.
Mortgage - $130,524 - No change now, but they are pending....
Student Loans - $33,493 - We made 3 payments this month along with the 3 paychecks. So, an additional $140 was knocked off.
Acura Loan - $23,682 - First payment is in the books. Long way to go!
Total Joint Net Worth - $164,784!! ($147,784)
A huge increase based upon the new home value. However, even without the new appraisal, our Net Worth increased $7k!! So, we definitely had a very good month!! I'm also encouraged because following the refi we should see bigger gains in Mortgage Reduction and we'll receive a slight increase in Cash as we now are responsible for Escrow, which has a couple thousand in already. We'll keep chopping wood!!!
