Recently, I posted the vacation rental report for Calypso Memories. It was not a great report. Now it’s time for me to post the vacation rental report for Emerald’s Corner. I don’t expect it to be a good report, but we shall see. This has been a very expensive year and I can’t wait for it to be over. Bookings have been down. Revenue has been down. And, of course, expenses have been high. The goal right now is to weather the financial storm as I expect the next six months are going to be very tough. However, for what it’s worth, Emerald’s Corner is my pride and joy. It is indeed a very stunning unit. It’s remarkably expensive to maintain, but I hope I can keep it in the family for years to come. So, without further adieu, let’s see whether Emerald’s Corner made a profit for November 2023.
Vacation Rental Profit/Loss
Let’s see whether I made a profit or incurred a loss in November 2023 at Emerald’s Corner.
A. Vacation Rental Income
During the month of November, I earned $1650 in income broken down as follows:
This amount is relatively low and it doesn’t even cover the debt service on the property, which is about $6000 a month. Of course, we are in the slow season and so that is to be expected. But, this is just one example of the fact that my bookings have been down this year. I am hoping next year will be different, but we will see. At least now you can understand when I say the struggle is real.
B. Vacation Rental Expenses
During the month of November, I incurred $9860 in expenses broken down as follows:
It finally happened. My expenses are under $10,000 a month. Although they are still high, this is a psychological win for me. If my expenses can be under $10,000 one month, why can’t it be under $10,000 another month? Time will tell.
My goal for 2024 is to keep my expenses as low as possible and this is a good start. When my six months are up, I should be in a better financial state where my expenses are concerned. So, stay tuned.
C. Profit/Loss Statement
Based on the fact that my expenses exceeded my income, my loss for November was $8210. This is a significant loss.
As shown below, my year-to-date loss has increased to a WHOPPING $21,444.
So, to understand why this is such a big deal, the year-to-date loss for Calypso Memories is $13,698. So, between both properties, my total year-to-date loss is: $35,142. When the year started, I did have some money in each condo to cover some loss, but not over $35,000 worth. That’s why I have to contribute money from my personal account to help keep the condos afloat. And, we still have December to go. Woe is me.
Annual Income and Expenses
This is my first year owning Emerald’s Corner. So, I don’t have any income or expenses to compare it to. This section will make a lot more sense come November 2024.
A. Annual Income
Let’s see how the annual income at Emerald’s Corner look from last year to this year.
Here is the raw data:
Unfortunately, the income for November was less than October. But, again, we are in the slow season and so this is to be expected.
B. Annual Expenses
Let’s see how the annual expenses at Emerald’s Corner look from last year to this year.
Here is the raw data:
Again, this section will make a lot of sense in 2024 when I am able to make an annual comparison.
Final Thoughts
I can’t wait for the year to be over. It’s been crazy expensive, and we still have December to go. I expect December to be a little bit better because of a technicality but you will see when the time comes. As a preview, I will show increased income in December, so that month will look better. But, the income I will receive covers not just December, but January, February and half-of-March. So, those 2.5 months in 2024 will show ZERO income for this property. It’s going to be fun – NOT!
I started reporting income for this property in May 2023 because the property was purchased in April 2023. So, I can’t wait until May 2024 to be able to start making an annual comparison. Also, hopefully by then, I should be out of my financial hole. With any luck, I will be employed by then but who knows what will happen. There’s no way I can sustain a $35,000 year loss every year. So, something will have to give. And, no matter how much I love Emerald’s Corner, I can always sell.
So, what did you think of this post?
Let me know your thoughts by commenting below.