Wealth update – 31/07/2020

We have now been living in our new home in Holloway for two weeks. Aaaaand… we hate it. Holloway is a dump and should really be called Hoboway because of all the homeless people who gather around the corner from where we live. They have also been to the forefront of our building to urinate and to bless us with some of that anti-social behaviour we have previously only heard about from TV news reports. Life in Covent Garden was much better.

In addition, we had no warm water for a full week because the boiler was broken. They actually rented us a flat with a broken boiler. Not a good start. We haven’t even had an apology from the letting agents or landlord. Who rents a property out with a broken boiler and doesn’t let you know about it? I suspect more stuff like this is to come…

We can move out in eight months from the start of the lease i.e. we can serve our two-month notice after the first six months. We feel that we are very likely to leave as soon as possible.

It also surprises me that all – not even exaggerating – of our utility bills are going up. Our water bill is increasing from £20 pcm to £36 pcm (Thames Water estimate as we don’t have a water meter), electricity is almost doubling (again based on an estimate), gas is more expensive, internet is now £29 pcm (was £20, we had to change providers), council tax was £77 pcm in Covent Garden (Westminster) and is now £125 pcm (Islington). Covent Garden was much better!

It’s also a bit of a mess to get the bills sorted. For example, the gas meter on the old gas bill was the one for our neighbour. Obviously, I don’t want to be paying for the gas somebody else uses up whilst racking up some kind of debt on the correct meter. The issue is still ongoing as it seems people who work at electricity companies struggle with sorting little things like this.

We are still waiting to get our security deposit back from our old flat. It’s been exactly three weeks since our old tenancy ended. My understanding is that they [legally] have 10 calendar days to return the deposit from the end of the tenancy. A week after the end of our tenancy we were told that they will not make any deductions and will refund the security deposit in full and it will take 3-5 working days. Of course, we didn’t get anything. We chased and were told it hasn’t been paid yet but were never given a reason for the delay. We’re still waiting.

My cash levels took a bit of a dive due to the moving expenses and the security deposit on the new place. This should even out once we get the security deposit back from the Covent Garden flat.

My EIS valuations stayed the same, cash went down but all investments went up. My net worth increased by £9,733 this month (this includes £1,600 ISA top-up and £292 pension top-up and £50 into Premium Bonds). My net worth is now £109,846.

We also had some really good news. My girlfriend applied for and got a big promotion at work. She is now earning more than me. Her future is golden! I’m very proud of her.

On a slightly different note… I recently found out about effective altruism [Peter Singer: The why and how of effective altruism]. The idea is to support charities which do most good with the donations they receive. It turns out that the most efficient ones (i.e. charities which help the most people per £ donated) are the ones which help deworm Africans from parasites and fight neglected tropical diseases.

I’ve been donating £12 pcm to a charity which fights homelessness in the UK. This isn’t a cause I’m particularly drawn to… so I decided to switch it to a much more efficient one. I also decided to increase my donations to £15 pcm (also matched by my employer) to benefit The End Fund. Apparently it costs about 50p per person to cover a year’s worth of medicine to treat neglected tropical diseases. I’d rather save/help 60 people each month than pay for a few meals for the homeless in the UK.

In summary, it was a mixed month – some good, some bad. I’m glad my net worth improved and that my girlfriend is now in a significantly better financial position than she used to be.