when did that happen?

[lizzie]

had to do up a new asset and liability statement for the banks tonight as we look for a new ppor and, using conservative values and taking the current $700k ppor out of the equation - when did we suddenly become nearly bi-millionaires?

just kinda snuck up.

so why am i sitting her in a jayjays jumper, bigw trousers, $2 shop spencer and $14 bigw watch?

servicability is our problem - but i'd like to know how many others of you suddenly found you were worth a heck more than you thought ...

 

[yadreamin]

lizzie
if you were sitting there in the latest David Jones ect gear you probably wouldnt be in the financial position you have just discovered you are in.
anyways l thought you would be well past the million now with your portfolio
cheers yadreamin

 

[lizzie]

i just adjusted the post - we're nearly at $2mil, and that is with taking the $700k ppor out of the calculation.

i was just surprised at how quick it added up ...

 

[topcropper]

and $14 bigw watch?

...

I had to give the $10 watches a miss. Could only get 6 months out of them because of the plastic bands. I get much better value from the $20 watches with the steel bands. 2 years worth at least.

See ya's.

 

[The Y-man]

It's not the band that's the problem. They actually stop working after a few years as the cogs and gear wear out Happened to my $10 watch! Now as for them digitals.....

Congratulations Lizzie! Multi-millionaire!

Cheers,

The Y-man

 

[The Y-man]

servicability is our problem - but i'd like to know how many others of you suddenly found you were worth a heck more than you thought ...

You have joined the club of asset-rich, cashflow poor....

Cheers,

The Y-man

 

[Strannik]

i've got rolex for 60$
served me 3 years and still working good

 

[kathryn d]

Lizzie,
What ever you do....don't let your kids (step kids) read somersoft. They will find out how much your worth!!!1

Congrats

 

[The Wild One]

Hi lizzie, I to have your problem. Problem ? Well I think it is.

I've just traded down to a hyundi exell because I was spending $90 a week on fuel, now I'm spending $50. You wouldn't beleive some of the things I have done to save some money. Second hand this and that. I honestly recon I'll always be savvy.

I'm sure your've read the post about licking your marshmellow. I'm frightend that if I bought a plasma TV or a new car that I will have to work another three or even five years before I can retire. And also Target have the best clothes.

 

[alexlee]

Each of us live to our own goals, standards and wants, Wild One. If you want to retire early by driving an Excel, use 2nd hand stuff and buying clothes from Target... whatever makes you happy, mate. Others will have different goals and the way they want to live their lives. Personally, I have no issue working for a few more years if I get to live the way I want. If I went really cheap I could probably 'retire' now. Materialistic or not, that's a personal choice.

There's no way we 'should' live. We live to and by our own standards. If some of us want to make lots of money and wear Armani suits and drive ferraris, we have that freedom. That's what's great about a country like ours.

Lizzie doesn't have a 'problem'. She has a choice. How she makes that choice is up to her. We're investors. We make money work for us. Surely we should learn not to be frightened about using money or losing it.
Alex

 

[lizzie]

ah yes - i shouldn't say anything (and definately not complaining) about the inexpensive clothes with a $60k yacht sitting out the front of the house.

i too am looking at changing down from my corolla sedan to something smaller early next year, like a four door hatch purely, for petrol savings - but i will ring the conversion people and ask what is the smallest vehicle can be converted to lpg - i'd love a $10/wk fuel bill.

it is everything to do with the choices we make - i know of people who complain they don't have any money yet can afford to go out/takeaway dinner several times a week and own a hundred pairs of shoes, foxtel, go to expensive concerts yet live in a dive.

i'd rather eat at home, own only the shoes i need (5 pair i think at this stage) and have the comfortable house with early, fully funded retirement.

i started this thread in haste, because i was so surprised that we'd "got there". last time i'd done up the a&l statement fully, two years ago. we were just about to crack the $1mil so, in the flat market, i just didn't expect the result.

anyone else been surprised by their results?

 

[MarkB]

I've just traded down to a hyundi exell because I was spending $90 a week on fuel, now I'm spending $50.

/me puts his devil's advocate hat on


Cars, yes they are money pits, but they are also important safety devices.

At a saving of $40 pw is it really worth driving a car that, according to the links at the bottom, has both poor crash test results and is (relative to the cost of the car) expensive to repair following a crash?

That, to me, seems like false economy.

I'm not saying that we all need to drive around in a Hummer, but is a cardboard box on wheels going to keep us out of hospital (or alive) in the event of a crash?

And it really doesn't matter how safe a driver you are or that you never get out of a 60 zone. Fatal and serious crashes occur at all sorts of speeds and none of us, not even Michael Schumacher, can control the actions of others on the roads.

We're taught that frugality and saving are noble pursuits. That a dollar saved today means more dollars tomorrow.

I don't disagree. I don't need an entire wardrobe full of designer clothes, or a Rolex, or a home theatre system.

But, within the limits of a reasonable budget, I won't scrimp on safety. And as I said before, cars are safety devices. They are the crash cell that protects you and your family in the event of the unthinkable.

Personally, I drive a (solid) European built car with ABS and dual airbags and put tyres on it that cost me $260 each (tyres are all that stand between even the best drivers and catastrophe. You don't have to go overboard, but never-ever be a cheapskate and use re-treads).

And it is a form of hypocricy to be saving for a future that (at the same time) you are consciously endangering (and that's a statement that applies to smokers, obese people, etc).

Wild One, if you wont spend your extra $40 on a safer car, consider at least topping up either or both of your hospital cover or life insurance.

You may well need it.

Mark


http://www.mynrma.com.au/excel_97_hyundaiexcel94.asp

http://www4.tpg.com.au/mpaine/ncaplist.html

http://www.drive.com.au/Editorial/ArticleDetail.aspx?articleID=197

 

[handyandy]

Congratulations Lizzie.

I am curious how this growth happened in the flat market? Was it the developments that added the extra equity?

Re the LPG. When I first converted a car to LPG back in '91 LPG cost under 10c pl and at times it was less than 10$ to fill the car (70ltr). All cars since have been coverted to LPG at a cost of about $2k except the most recent which was $4k (direct injection).

Currently it cost about $30-40 to fill our cars and that will get you about the 300-350 klm. All our cars are big 4x4's

Cheers

 

[Twitch]

Gotta agree on the saftey issue. A safe car costs a bit more but not a lot. I drive a 6 y.o. Volvo ; 6 airbags including curtain bags, traction control, ABS, side impact protection etc. It's worth $25k, not a high price given it's used to ferry round our 2 kids. A cheap safe car, like the Volvo V70 wagon from the late 90's would be <$15k.

 

[lizzie]

I am curious how this growth happened in the flat market? Was it the developments that added the extra equity?

Currently it cost about $30-40 to fill our cars and that will get you about the 300-350 klm. All our cars are big 4x4's

yes, was a combination of a development, a subdivision, a new under-vlue purchase and four properties in smaller not-quite-country towns (all only 40mins from newcastle and in towns of populations of around 10,000) continuing to increase in value after 2004.

we also have a big 4x4 landcruiser currently on gas - costs less to run than my corolla!!

 

[Mark C]

About 4 weeks ago I was sitting in the Perth Airport when I received a call regarding my latest loan application. The average growth on my WA houses has been 42% over the last 6 months by bank valuations!

I had a very excited 4.5hr flight back to Brisbane.

I went straight out the next day and bought myself an 18 month old V8 Statesman. Until now I have never owned a car younger than 10 years old.

I had budgeted on 0% growth in my cashflow spreadsheet on my properties for this year. I knew things where moving along but didn't expect this I've been smiling ever since.

 

[natmarie73]

Lizzie,

Can I ask how long you have been investing for?

Cheers

 

[tonyd]

Maybe you can splash out on that leg razor now?

 

[The Wild One]

Hi, thanks point taken. The exell wasn't something that we had planed. My wife and I both had a Magna each and when one of our cars started to play up it was decided to try a small car ( for the first time ). After haveing the exell for about six weeks now it will be traded in for something else before Christmas. Not sure what though.

I have gone from a six day week down to three and half day week, and loveing it. But I must be careful with my spends. Anyhow, I hadn't realised that wealthy investors don't bye second hand stuff and shop at Target.
Of course they do.

Gee, maybe when I'm sitting down reading the morning paper and watching my neighbours drive off to work in peak hour trafic, I should stop and think for a minute how lucky they are. lol. Retireing secure and comfortable is what I beleive.

John.

 

[plumtree]

I have a hang up on property values! I make a point of avoiding trying to determine what my collection might be worth. I know it is required to get a loan somtimes and it is important to remain aware but I am always reminded that you only find out what a property is really worth when you sell it.