Across my entire net worth-- Not counting home equity: Cash 71.15% Equities 16.70% Bonds 12.15% Counting home equity: Cash 53.99% Equities 12.67% Bonds 9.22% Home Equity 24.12%
How are you estimating the value of your home?
Got an appraisal for a refi last month. They came in with a lowball number so I used that one.
Mine is roughly like: 24% home 21% other real estate 12% cash (mostly euros) 25% equities (half US, half LatAm) 18% bonds (1/3 US, 2/3 LatAm)
1% cash 19% equities 45% home equity 12% investment property equity 23% illiquid investments/other
Cocaine 113.8%
sc23 Wrote: ------------------------------------------------------- > 1% cash > 19% equities > 45% home equity > 12% investment property equity > 23% illiquid investments/other 1% cash but 57% real estate?? Unless you own those properties outright it sounds like you would be living paycheck-to-paycheck with mortgage payments.
SMIRK Wrote: ------------------------------------------------------- > it sounds like you would be > living paycheck-to-paycheck with mortgage > payments. In the US? Never! That’s why we’ve never had any kind of credit bubble… oh wait.
If you’re going to count home equity you need to be counting leverage.
some are outright, yes. As well, most of these properties are producing income in the 8.5% run rate against an average cost of capital around 4.5% right now (mix of varieties of debt). Debt to equity ratio on all the properties avg is 46%. These rentals are my saving grace right now. In the illiquid category, I have some natural gas partnership cashflow investments, but those obviously have been hit with lower NG prices.
Let me add, I have a fear of being in cash. I could reduce that equity exposure in half.
artvandalay Wrote: ------------------------------------------------------- > Cocaine 113.8% It’s a helluva drug.
The #1 difference between professional money managers and amateur investors is that pros always keep ample cash on their hands. Hence the phrase: cash is king…
80% equity 20% cash
NakedPuts Wrote: ------------------------------------------------------- > If you’re going to count home equity you need to > be counting leverage. No.
1.5% cash 98.5% student loan debt The ratio is accurate.
AlphaSeeker Wrote: ------------------------------------------------------- > The #1 difference between professional money > managers and amateur investors is that pros always > keep ample cash on their hands. > > Hence the phrase: cash is king… Is that an underhanded way to call me an amateur? 
I have a very justified fear of cash right now. Assets will become king, especially as we’ll be forced to pursue devaluation policy to solve real economy problems.
100% FCOJ
I would say I am about: 50% cash 50% equity Total NW would render: 75% Automobile (it appreciated in value believe it or not) 5% Motorcycle 10% Equities 10% Cash
SMIRK Wrote: ------------------------------------------------------- > NakedPuts Wrote: > -------------------------------------------------- > ----- > > If you’re going to count home equity you need > to > > be counting leverage. > > No. Ladies and Gentlemen, let me present to you the reason we got ourselves into this mess in the first place. Obviously you should count the full value of your house and subtract your mortgage, but you can’t count home equity in your personal asset allocation without recognize it’s likely a heavily leveraged asset on which someone else has a first lien.