Previous readers will know I’ve spent the last two months unexpectedly buying a house. It’s been quite a journey, and it’s now complete. HOORAY!
This is not just any house; it’s the most overpriced house in its expensive area of London. I have paid a premium per square foot of over 15% compared to any of the immediate neighbours. I don’t anticipate making any return on this purchase for years, and even then I will be lucky to beat inflation.
I’m nearing the end of my Dream Home purchasing odyssey. In fact I have mustered the cash needed to buy the home, and wired it to my lawyer, in good time for completion. Hooray!
What I haven’t quite found yet is the cash for the stamp duty, but I have another month to find that and think the market volatility could help. In any case you can see in my graph below that I have obtained over 100% of the purchase price – I am only a few % away from where I need to be including transaction fees etc.
This means that right now I am the proud owner of over £1m of new debt.
In the ongoing saga which is my attempt to raise an absurd amount of cash to buy a few hundred square meters of Dream Home in London, I have had three bits of bad news this week.
At the start of last week I thought that I had pretty much sold everything I needed to sell. I’d only just become a ‘forced seller’, which saw me liquidating for example some FTSE-100 stocks at a FTSE of around 5900 – around 5% below the level I entered this process at. I had three things to do: collect cash from assorted bank accounts, confirm my margin loan, and sell one particular asset.