I dread writing this report, as last month has proven to be incredibly expensive. I embarked on two short trips that, while enjoyable, significantly impacted my finances. Additionally, I initiated some house renovation work that has also contributed to the rising costs.

The contractor we’ve hired is working at a breakneck speed, which, on the one hand, is impressive and ensures that the project is moving forward. However, this rapid pace comes at a premium. The contractor often makes decisions unilaterally, without consulting me first. For example, he recently decided on the title we want to use for certain areas of the renovation, which left me feeling sidelined in a process where I should be more involved.

As the days progress, it’s becoming increasingly annoying to find that my input is not being considered. This lack of collaboration not only affects the overall vision I have for my home but also adds to my stress during what should be an exciting time of transformation. Balancing the financial strain with the desire for a beautifully renovated space is turning out to be quite the challenge.

BaristaFI

I’ll get to the BaristaFI goal right away since I haven’t made any progress. Although this was planned, with renovation work going slightly above budget, I couldn’t add to the BaristaFI goal last month. So no change in the month of March. Funds needed to reach BaristaFI –

June 2018: 17L
August 2018: 15.5L
September 2018: 15.4L
January 2019: 15L
March 2019: 14.8L
August 2019: 9.5L
December 2019: 5.1L
February 2021: 1.3L
March 2021: 1.3L

Expenses

Since I am anyway looking to rent the apartment, everyone around me was of the opinion to not go for the renovation work. I was a bit conflicted, though, as some of the work I wanted to get done involved making structural changes. Once the society is registered, it would have been quite challenging to make those alterations. On one hand, I understood the arguments for postponing the renovations, especially given the financial strain I was experiencing. After all, I no longer have a large cash position, which makes it crucial to manage my spending wisely.

However, on the other hand, I couldn’t shake the feeling that moving forward with the renovations might be a prudent decision. This wasn’t just any property; this was one I had invested in, not just for rental income, but also because I might choose to live there in the future, especially if my plans to move to another city don’t materialize as expected. Thinking ahead, it seemed like a strategic investment, both in terms of enhancing the apartment’s value and potentially creating a comfortable living space for myself down the line.

I considered the possibility that a well-renovated apartment could attract more reliable tenants and justify a higher rental price, thereby offsetting some of the initial renovation costs. Ultimately, making informed choices now could set me up for greater financial stability and comfort in the future. Balancing immediate financial constraints with long-term aspirations became the guiding philosophy behind my decision to proceed with the renovations, fully aware of the investment in both time and money that it would entail.

I had to take some money from my small emergency fund for the renovation. Starting next month, I need to make sure to refill this emergency fund.

Stock Market Series

Due to all these cash burns, I also haven’t been able to increase my base amount for my stock market series from the current INR 1.3 lakh to my target of INR 1.8 lakh. However, I have made significant progress since my last update, which is encouraging and leaves me optimistic about my investment strategy. Specifically, I have increased my investment amount from INR 33,000 to INR 41,800. This upward trajectory in my investments reassures me that my setup is functioning effectively, even in what many are referring to as a bear market. It’s always challenging to navigate these market conditions, but seeing positive results gives me a sense of accomplishment.

At this point, I’ve decided to temporarily abandon my dividend stock portfolio. The reasoning behind this decision is simple: I want to focus all my efforts on my stock market series for the time being. Considering the recent commitment to a new apartment, I recognize that there’s an overwhelming amount of work to be done. This major life change requires a lot of my attention and resources, and I don’t want to dilute my efforts by trying to manage too many different investment strategies at once. Once I’m able to make enough progress with the stock market series and establish a more stable investment foundation, I intend to revisit my dividend stock portfolio. For now, my focus remains firmly on maximizing my investment potential in the stock market as I adapt to the changes in my life circumstances.

Travel

This month I traveled, an experience I had been eagerly anticipating for quite some time. I ventured to Goa, known as the party hub of India, brimming with energy and vibrant nightlife. From pulsating beach parties to lively shacks offering tempting seafood and cocktails, Goa never disappoints. Alongside my adventures in Goa, I also visited Nashik, which is celebrated as the wine hub of India. The lush vineyards and picturesque landscapes provided a serene backdrop to our escapades.

I traveled with friends, which made it a even more enjoyable and memorable trip. We decided to save some money by driving down, a choice that added to the adventure. The road trip itself was filled with laughter, music, and countless stories shared among friends. Although the number of COVID-19 cases is on the rise, we were mindful of our safety and took precautions everywhere we went. It was important for us to enjoy our trip while ensuring our health was a priority.

What struck me most during this visit was the surprisingly low crowd in Goa this time of year. Typically, this lively destination would be bustling with tourists, but this time it felt different. Almost everyone I know seemed to be in Goa lately, yet the beaches and popular spots weren’t overcrowded. It was refreshing to see some spaces more manageable, allowing for a more relaxed experience. My friends were able to rent affordable apartments, which meant we could enjoy our time without breaking the bank. Plus, the low taxes meant that inexpensive booze was readily available, making our evenings that much more enjoyable.

While others were reveling in the beauty of Goa and the joy of companionship, I reflected on my own experience during the lockdown. It felt like I had been a drain on my own energy, cocooned in my routine and the constraints imposed by the pandemic. I can’t help but feel a wave of anticipation for when vaccines will finally be available for our age group. The thought of regaining that freedom to explore, socialize, and embrace life to the fullest is something I eagerly await. For now, I am grateful for this trip that reminded me of the joys of travel and connection.

Mortgage

I paid my first mortgage payment in March. For some reason, in April, I noticed that the EMI has unexpectedly increased by 1,000 INR. I have already reached out to the bank for clarification on this discrepancy, but I’m still awaiting a response from their team. As a result, I will need to make this extra payment for this month to stay on track with my financial obligations.

Recently, I discovered a useful spreadsheet that helps track mortgage payments effectively, and I’ve taken the initiative to replicate it for my personal use. This tool will assist me in monitoring the months when I make minimum payments compared to when I make extra payments. For the last two payments, I have unfortunately only been able to make the minimum payments. Initially, I had plans to rent out the apartment to help offset these costs, but those plans haven’t materialized yet.

I believe that tracking my payments carefully will provide me with a clearer picture of my financial situation moving forward. It will also help me identify any potential patterns in my payments, allowing me to make better decisions regarding renting the apartment and managing my budget. As I continue to navigate this process, I hope that communication with the bank will resolve the recent increase in my EMI, enabling me to return to my original repayment plan.