Know Your (Net) Worth
What’s your net worth, stud?
Guidelines on how to build your net worth
Net worth is a screenshot of an individual’s financial health and one of the most important financial calculations used by investors.
I am often asked, “How much are your properties worth?” or “How much debt do you have?” and I always respond the same way – “that is irrelevant.”
For example, an investor who owns $1,000,000 in real estate but has $900,000 in mortgages is worth less than an investor who owns $200,000 in real estate with no mortgage. Assets minus liabilities should be an investor’s primary focus and tracked regularly.
If you ever have any questions about net worth, any at all, please don’t be shy. Give me a call or send me a text or email. I am always willing to chat real estate over a cold beer or strong coffee.