June 2009 Net Worth – $92,184.94

2 Responses to “June 2009 Net Worth – $92,184.94”

1. barrellryder on July 24th, 2009 11:55 am

   How do you only have 10k in home equity with no liabilities? It would seem you own a home worth only 10k??Do you have fractional ownership?

2. Clint on July 24th, 2009 1:08 pm

   barrellryder,

   It’s basically just the way I have decided to report my home equity. Rather than putting something like a $200,000 asset and a $190,000 liability I just show the difference in the asset section. It gives the same result, but avoids the big numbers.

   Also, to be extra conservative, I am not guessing at the value of my home. I am actually just claiming the amount of the loan that I have payed off. So, if I took out a $200,000 mortgage and I now owe $190,000, then I claim a $10,000 asset. Any increase in the value of the home (it has increased in value) or down payment (I did make a down payment) is just icing on the asset cake.

   It’s not the perfect way to track net worth, but it’s easy and conservative, so it’s the way I prefer to do it. It can be a little confusing, but I have not been shy about explaining how I track it.

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