We hit a new record in passive income this month. Our passive income totaled more than $2,000 in October. More specifically, our October passive income totaled $2,174. Although there are uncertain times in stock markets and real estate seems to be on a downturn, our income streams continue to provide us with stable income. This is the first time I am glad to see red colors in markets. I am even waiting for a deeper correction that will bring more opportunities in both stock markets and real estate. Our cash flow from the income streams below is not affected by stock market fluctuations or real estate downturns. These income streams provide us with the ability to buy more equities, and the best time to do it is when the market is down.
Dividends
We received $872.32 in dividends from 13 companies. Our average monthly income from dividends is about $650. Recent market uncertainty and its future drop will create opportunities to buy part in good businesses for less. We enroll in DRIP whenever possible; (i.e. when the dividend distribution is enough to buy more shares). With the market going deeper into correction, we will invest more in dividend-paying stocks. It not longer scare me to observe a market correction, because it offers an opportunity.
Private Mortgage
Our monthly profit from this investment is $805.75. We have invested more in this income stream and, therefore, profit from private mortgages increased compare to our March passive income report.
If you are interested in this investment type, you can read what is important to consider here.
If you are in the Great Vancouver area and looking for an experienced mortgage broker, please drop me a line.
Rental Properties
It’s business as usual here, except that we are now collecting profits from two rental properties. Our $334 total profit from these rental properties is calculated as follows: rental income minus the mortgage, property tax, strata fee, and management company fee. Missing from this calculation is the fact that our debt is melting from year to year at a rate of about $10,000 annually. Let’s not forget property appreciation.
Wow, so exciting! Somebody pays our debt, we receive some money on the go, and the potential property price will go up in the long term for sure. The short-term property price might fluctuate or even go down, but who cares? If you want to know more about our successful investments in rental property, you can read more in my rental income post.
Lending Loop
We earned $162.59 interest on Lending Loop in September. Our current exposure is 2.9%; meaning that any particular company that we lend to receives not more than 2.9% of the portfolio, which mitigates the risk.
Keeping our 2018 financial goals in mind, we are on track to receive planned income from this investment. We have already received $1,252, which surpasses the planned amount of $1,200. Well done!
If you would like to utilize this type of investment at no cost to you, I will earn a referral fee if you use the following link Lending Loop.
Blog Income
This tiny stream covers hosting expenses, but it is still too little to warrant discussion.
The more than $2,000 in monthly passive income streams makes our lives easier. In the best situation, you work not for money but to do what you like. In the same way for us, it is not about having more $2,000; it is about having more freedom knowing that we do not need to do anything for this money. Eventually our passive income streams will buy us free time. Free time will mean that we can do things not because we must, but because we want to do them.
nice stream
That is a solid income and I love the diversity of the sources.
What do you think your average return is on lending loop?
keep it up
cheers
Rob, thank you for reading. Our lending loop average gross yield is 12.9%. It is close to 11% after fees.
WoW! Keep up the great work! You achieved an awesome milestone! Love the diversity of your passive income.
German, thank you for stopping by. I like your youtube channel. There is something attracting in iron birds.
Thanks for the post. Not sure if you shared your asset allocation anywhere, but it looks like most of your assets are in single asset class – Canadian Real Estate. Because about 52% (or $1,140 = 806 +334) of your income comes from that. Are you comfortable to keep most of your eggs in one basket?
Herkunft, thanks for reading. We did invest in other assets like dividend-paying stocks and lending loop but I tend to agree that real estate is our biggest investment. Although investment in real estate turned out to be very profitable, thanks to soaring Vancouver condos prices, we will continue diversifying our income streams. I am comfortable with such exposure to real estate. Vancouver is one of the most livable cities in the world and I am glad we step foot into it.