Yet again the month has come to an end. In the last update, I was pleased with the enormous progress we’ve made in such little time. Well, apparently we have surpassed our expectations again. Not only did we move a little closer to us owning our first rental property. We stepped up the game even more and actually bought a second rental property in the last few weeks!
Our dividends keep on flowing in, not much has changed there. Although our portfolio took a dive when we decided to sell 2 holdings in favor of our real estate ventures.
But the best thing and one that has the biggest impact of all, was me getting a new job!
In the past few weeks, I hadn’t had much focus on writing blog posts anymore. I had to focus on some new possibilities which would make a far greater impact on my way of living. One of them was the search for a new job, a pretty time-consuming thing to do. Since a few months, I have been focusing more on a new career move.
Finding the next step would mean 2 things: I would have the opportunity to find something I find more challenging and worthwhile (more than I do now) and changing jobs mostly entails a bigger increase in a paycheck as well!
With so many blogs, coaches and gurus telling you how to retire early, it’s no surprise that many are following the footsteps of those who have already done it. And all these stories have the same steps in common: live below your means, pay off debt like crazy, saving and invest the rest, hit your target number and live the rest of your life comfortable while withdrawing a certain amount of money each year.
Sounds simple. Their focus is on analyzing how much wealth you have to accumulate in order to quit the 9 to 5. When you hit that target, you have enough to retire early. Your accumulated wealth will last a lifetime when keeping your lifestyle at the same level. Within the FIRE community, this is a very common mindset, which is often referred to as the ‘regular’ FIRE approach.
And if this is the ‘regular’ approach, are there any others? Well, thanks for asking. Because yes, there are. You have the Lean FIRE and Fat FIRE ‘movement’. People who’ve set up a different set of rules that deviate a bit from the status quo of FIRE.
Looking back this past month, I was thinking what were the things that really stood out for us. Besides some steady dividend income, we’ve also paid down the deposit for our rental property and are finalizing some last steps on the total financing package, like getting our current home appraised. To add some fun to the mix, I got the opportunity to attend a blockchain masterclass, which was awesome. And I’ve booked a 5-day holiday to Lisbon, where I will go to with a friend in October. Let the money roll, right 😉 And not to forget, Divnomics had its first birthday last week!
The thing about time is, sometimes it feels like it passes you by in an instant. No matter how much has happened in a certain timeline. Or better yet, the more that has happened, the more it feels like it was only yesterday. Which is kind of a contradiction really.
Which is exactly how I feel right now. It has been only 1 year ago since Divnomics saw the light. And so much has happened since.
One year already has passed since I started out with blogging on Divnomics. Since then, our portfolio kept on growing, I’ve learned a lot more about investing, read many great blogs and articles and even met a few other bloggers and readers in real life.
A whole new world has opened up to me, as I never realized how many like-minded people are pursuing the same thing we do: achieving (financial) freedom. It definitely helped us in multiple ways to strengthen our FI mindset.
The magic words were spoken somewhere in February of this year… What if we would invest in real estate?
And so we did. In the midst of July, we bought our very first rental property. Of course, there happened quite a few things in between as well. I hoped to give you a detailed post on the financial side of this deal. But instead, we found some new (to us) financial possibilities, which has led us to research a new option on funding for the property. We still have 3 months before the transfer take place, so we take our time.
Today’s housing market is not an easy one. It’s a seller’s market, and every month the prices are going up, so it seems. When real estate profits in general, and especially when their return surpasses those of others assets, more people are looking for ways to invest in it. Buying a normal house (where you want to live in) can be difficult. Let alone buying a rental property.
Instead of peeking into our own numbers and figures, I thought it would be interesting to show our view on the different types of real estate investors we have come across so far.
If you choose to be less dependent on a job, having a big debt to pay off or have a specific goal you have to save money for, you want to put some money away every week, month or year. Saving money is and has always been a wide spectrum of all kinds of opinions and methods. Especially in the FIRE community.
And we all know, money can make a difference in your life. Even a huge one if you let it. We are all searching for ways to invest, pay off more debt or build up wealth. It can make life easier, it can give us the rest we desperately need, or it can speed up the process to fulfill our dreams.
The focus lays foremost on the money part, but what happens when that focus shifts from working on your money goals, towards working on your life goals…?
The past month has been flying by like crazy. The plans for the wedding are really taking shape and I’ve, completely unexpected, bought a wedding dress. With ‘only’ 9 months to go, the coming month we will be deciding on the invitations and flowers (Pinterest really became my friend in this).
But the even bigger news here is that we have bought a rental property!
Oh yes, and of course we are receiving dividends as well. Still collecting without even lifting a finger. Talking about the power of passive income here.