Hi....one more lurker to new member

Vacation4us said:
Wow those Property taxes are high. 3% is pretty steep especially since you can't write off he full amount.



What is a coach home? Condo or townhouse? I never heard that term before.



What insight do you have on the land from a developing country will increase? Sounds like a very risky speculation. What motivated you to invest there?
Click to expand...



Coach home is more close to a condo. Not a high rise condo but the main entrance or door is shared by 4 units. Two on the first floor and two on the second.

I agree it is risky to buy a property in a developing country but to my advantage, parents live there and help with taking care of the property. My plan is to liquidate it sooner than later.

My motivation was the buying power of people increased and more people buy land / apartments in developing countries. Property appraised by more than 100% however, currency exchange and takes took a bite. Overall, I came out positive. I would not do it again now. In my early 30’s, I took the chance.
 
kgtest said:
Where do you live lol? I am a block off one of the bigger lakes, with lake access and my taxes are like 1/3 yours. I am envious of your taxable, but not your outstanding (leveraged/unleveraged) debt or your property tax bill.
Click to expand...



I’m with you on the debt and property taxes. I live in lake county ( One of the high tax suburbs in Illinois)
 
December 2019 update:

Here's our update. Feeling blessed! and thanks to the insights of ER members ER!
Me: 40, Wife: 38.

Tax deferred accounts:
April 2015: $210K
May 2017: $351K
Dec 2017: $411K
Apr 2019: $490K
Dec 2019: $592K

Taxable accounts:
April 2015: 20K
May 2017: 28K
Dec 2017: 30K
Apr 2019: 55K
Dec 2019: 53K


Property (overseas):
April 2015: $120K
May 2017: $150K (picked up another property)
Dec 2017: $150K
Apr 2019: $150K
Dec 2019: $150K

Emergency Fund to cover 1 year of expenses.

Mortgage Balance:
May 2017:130K.
Dec 2017: 123K.
Apr 2019: 109K (Rented our condo) + 448K (Primary Residence) Bought single family home in 2018
Dec 2019: 98K (Rental Prop) + 432K (primary Residence). Both @ 3.25%.

Rental property value: 200K, Primary residence valued @ 610K
 
Last edited:
To the OP LTC, I am amazed at your progress over the years, congrats, it sounds like you will have no problems to be able to F.I.R.E. fat in about 10 years if you desire. I too wish I had found this site 20 years ago when I was your original post age.
 
Apr 2020 update:Ouch! but staying the course. I'm in 0% bonds camp.

Feeling blessed! and thanks to the insights of ER members!
Me: 41, Wife: 38.

Tax deferred accounts:
April 2015: $210K
May 2017: $351K
Dec 2017: $411K
Apr 2019: $490K
Dec 2019: $592K
Apr 2020: $480K (~80% in stocks and 20% in target date fund)

Taxable accounts:
April 2015: 20K
May 2017: 28K
Dec 2017: 30K
Apr 2019: 55K
Dec 2019: 53K
Apr 2020: 85K (deployed ~20K recently when dow was around 20K. 12K in the brokerage account waiting to be deployed. Don't ask me what I'm waiting for).


Property (overseas):
April 2015: $120K
May 2017: $150K (picked up another property)
Dec 2017: $150K
Apr 2019: $150K
Dec 2019: $150K
Apr 2020:$150K

Emergency Fund to cover 1 year of expenses.

Mortgage Balance:
May 2017:130K.
Dec 2017: 123K.
Apr 2019: 109K (Rented our condo) + 448K (Primary Residence) Bought single family home in 2018
Dec 2019: 98K (Rental Prop) + 432K (primary Residence). Both @ 3.25%.
Apr 2020: 94K (Rental Prop) + 430K (primary Residence). Both @ 3.25%.

Rental property value: 200K, Primary residence valued @ 610K
 
Woah, where'd you get a single family home in Chicago for $550K (assuming you put 20% down)
 
Hi brokrken...We live in the burbs of Chicago. Bought our house 2 years ago for $610K. I paid a little more than 20% in principle over the couple of years to keep the monthly payments manageable.
 
Love This Community said:
Hi brokrken...We live in the burbs of Chicago. Bought our house 2 years ago for $610K. I paid a little more than 20% in principle over the couple of years to keep the monthly payments manageable.
Click to expand...

Ah, makes sense now. I am in town and in my neighborhood you can't find a single family for less than $1.3ish.
 
Last edited:
Love This Community said:
Apr 2020 update:Ouch! but staying the course. I'm in 0% bonds camp.

Feeling blessed! and thanks to the insights of ER members!
Me: 41, Wife: 38.

Tax deferred accounts:
April 2015: $210K
May 2017: $351K
Dec 2017: $411K
Apr 2019: $490K
Dec 2019: $592K
Apr 2020: $480K (~80% in stocks and 20% in target date fund)

Taxable accounts:
April 2015: 20K
May 2017: 28K
Dec 2017: 30K
Apr 2019: 55K
Dec 2019: 53K
Apr 2020: 85K (deployed ~20K recently when dow was around 20K. 12K in the brokerage account waiting to be deployed. Don't ask me what I'm waiting for).


Property (overseas):
April 2015: $120K
May 2017: $150K (picked up another property)
Dec 2017: $150K
Apr 2019: $150K
Dec 2019: $150K
Apr 2020:$150K

Emergency Fund to cover 1 year of expenses.

Mortgage Balance:
May 2017:130K.
Dec 2017: 123K.
Apr 2019: 109K (Rented our condo) + 448K (Primary Residence) Bought single family home in 2018
Dec 2019: 98K (Rental Prop) + 432K (primary Residence). Both @ 3.25%.
Apr 2020: 94K (Rental Prop) + 430K (primary Residence). Both @ 3.25%.

Rental property value: 200K, Primary residence valued @ 610K
Click to expand...

Y'all are killing it. Great job. I wish I had your wisdom when I was your age.
 
Love This Community said:
Apr 2020 update:Ouch! but staying the course. I'm in 0% bonds camp.

Feeling blessed! and thanks to the insights of ER members!
Me: 41, Wife: 38.

Tax deferred accounts:
April 2015: $210K
May 2017: $351K
Dec 2017: $411K
Apr 2019: $490K
Dec 2019: $592K
Apr 2020: $480K (~80% in stocks and 20% in target date fund)

Taxable accounts:
April 2015: 20K
May 2017: 28K
Dec 2017: 30K
Apr 2019: 55K
Dec 2019: 53K
Apr 2020: 85K (deployed ~20K recently when dow was around 20K. 12K in the brokerage account waiting to be deployed. Don't ask me what I'm waiting for).


Property (overseas):
April 2015: $120K
May 2017: $150K (picked up another property)
Dec 2017: $150K
Apr 2019: $150K
Dec 2019: $150K
Apr 2020:$150K

Emergency Fund to cover 1 year of expenses.

Mortgage Balance:
May 2017:130K.
Dec 2017: 123K.
Apr 2019: 109K (Rented our condo) + 448K (Primary Residence) Bought single family home in 2018
Dec 2019: 98K (Rental Prop) + 432K (primary Residence). Both @ 3.25%.
Apr 2020: 94K (Rental Prop) + 430K (primary Residence). Both @ 3.25%.

Rental property value: 200K, Primary residence valued @ 610K
Click to expand...

Great job! Keep it up and you will be in great shape to retire early.
 
Dec 2020 update:Feeling Blessed!

Posting our Dec 2020 update. With steady jobs and no major health concerns, we were able to continue on this year's rollercoaster ride. Thank you all for your wisdom, encouragement and guidance to help forum members stay the course.

Me: 41, Wife: 39.

Tax deferred accounts - 401K:
May 2017: $351K
Dec 2017: $411K
Apr 2019: $490K
Dec 2019: $592K
Apr 2020: $480K
Dec 2020: $750K (stayed the course. Seeing the fluctuation between Dec 2019 and Dec 2020 is scary but also emphasizes the power of compounding!)

Taxable accounts:
May 2017: 28K
Dec 2017: 30K
Apr 2019: 55K
Dec 2019: 53K
Apr 2020: 85K
Dec 2020: $157K (plan is to grow this bucket by DCA through 2021)


Property (overseas):
Dec 2019: $150K
Apr 2020:$150K
Dec 2020:$160K

Emergency Fund to cover 7 months of expenses.

Mortgage Balance:
May 2017:130K.
Dec 2017: 123K.
Apr 2019: 109K (Rented our condo) + 448K (Bought Single Family Primary Residence)
Dec 2019: 98K (Rental Prop) + 432K (primary Residence). Both @ 3.25%.
Apr 2020: 94K (Rental Prop) + 430K (primary Residence). Both @ 3.25%.
Dec 2020: 65K (Rental Prop @ 3.25%) + 426K (primary residence @ 2.75% - Refi)

HSA: $30K

Rental property value: 200K, Primary residence valued @ 610K

Happy Holidays!!
 
Nice update. You are on your way to ER if you choose to.
 
Nice recovery from April lows, congratulations!
I see you also added line for HSA, looks like you had it at least 3-4 years, why you did not include it before?
I love our HSAs, it is like additional IRAs for us but better :)
 
Last edited:
Exit 2024 said:
Nice recovery form April lows, congratulations!
I see you also added line for HSA, looks like you had it at least 3-4 years, why you did not include it before? I love our HSAs, it is like additional IRAs for us but better :)
Click to expand...



Thanks exit. I have multiple 401k accounts and haven’t really paid much attention to the HSA account. It silently grew to a good chunk over the last few years. This year we switched to a different insurance plan (copay model) and this plan does not come with hsa option. I am bummed but if this plan proves more expensive, I will switch back to high deductible hsa option plan next year.
 
Last edited:
May 2021 update:

Me: 42, Wife: 39.

Tax deferred accounts - 401K:
May 2017: $351K
Dec 2017: $411K
Apr 2019: $490K
Dec 2019: $592K
Apr 2020: $480K
Dec 2020: $750K
May 2021: $850K

Roth IRA (new in 2021. Funded for 2020 and 2021): $25K

HSA: $33K

Taxable accounts:
May 2017: 28K
Dec 2017: 30K
Apr 2019: 55K
Dec 2019: 53K
Apr 2020: 85K
Dec 2020: $157K
May 2021: $180K (will continue to grow this bucket by DCA through 2021. Target 200K by Dec 2021)

Property (overseas):
Dec 2019: $150K
Apr 2020:$150K
Dec 2020:$160K
May 2021:$100K (sold one property)

Emergency Fund to cover 7 months of expenses.

Mortgage Balance:
May 2017:130K.
Dec 2017: 123K.
Apr 2019: 109K (Rented our condo) + 448K (Bought Single Family Primary Residence)
Dec 2019: 98K (Rental Prop) + 432K (primary Residence). Both @ 3.25%.
Apr 2020: 94K (Rental Prop) + 430K (primary Residence). Both @ 3.25%.
Dec 2020: 65K (Rental Prop @ 3.25%) + 426K (primary residence @ 2.75% - Refi)
May 2021: 59K (rental property) + 421K (primary residence)

Happy investing everyone!!
 
Love This Community said:
Plan is to RE in 12 years with a 2.0 mil NW, pay for kids education. Haven't really figured out how I'll manage after I turn 50 and before I can withdraw from 401K and SS. Need to explore 72t and other avenues. I think I'll have more clarity in another 2 to 3 years once we move into a single family home and get a handle on future expenses
Click to expand...

I just encountered this thread for the first time today. Great progress in 6 years!!!

One suggestion: In this earlier post of yours which I'm quoting, you said your goal was to retire with 2 mil NW. To help the rest of us cheer you on, you may want to start listing a total NW when you update your numbers like you just did today.

For instance, I don't know if the 2 mil NW you are trying to attain does or does not include your primary residence? Most people wouldn't include the primary residence in a discussion of money-producing worth for retirement, but technically the primary residence is part of "net worth". The question is, how are YOU counting it in deciding when you will retire?

Also, you list mortgage balances on your updates but you don't list your rental house's value (which probably is part of worth for retirement, even if primary residence is not). I gather the rental house you mention in the last section is different from the overseas property, since you said that was bought for the land value not the rental potential?

From your update today, I see $850k + $25k + $33k + $180k + $100k + 7-month emergency fund (~$50k ??) = $1238k out of $2000k goal. This doesn't include rental prop and primary residence, either/both of which you may or may not intend to be part of the $2000k goal.

Way to go!
 
Thanks StarTrek. To keep the thread short, I omitted old info but you are right, rental property value is relevant to NW.

Rental property valued at $250K (thanks to the hot market. Not planning on selling)

Primary residence valued at $650K

There were many variables when I originally started the thread (biggest being lifestyle creep. We moved from a condo into a single family home in 2018). Though we’re enjoying the home and are able to afford this lifestyle, it did bring additional expenses associated with bigger pad and pushed my target NW out to 3 million with paid off rental property and kids college expenses (I need to open a 529 and start putting some money into it).

I will start consolidating info into digestible buckets (tax deferred, taxable, RE, EMG fund = NW).
 
Love This Community said:
... pushed my target NW out to 3 million with paid off rental property and kids college expenses ...

I will start consolidating info into digestible buckets (tax deferred, taxable, RE, EMG fund = NW).
Click to expand...

To reiterate, it's not so much that your breakdowns/buckets are confusing, but just that you should give the total so we can cheer you on towards your goal.

E.g.

Total NW (excluding primary residence): $1.47 mil,
Target NW to retire: $3 mil.

(Or something like that.)
 
End of Dec 2021 update

Me: 43, Wife: 40.

Very grateful for yet another great year. Finally opened the 529 account that was long overdue. Money is currently in 529 savings waiting to be transferred to a fund. With 4 more years to go and 8 till my older kid finishes college, I am figuring out best fund to invest this money. Will open another 529 account for my younger kid soon. This tranche has 6-10 years time horizon. Following the threads on this forum, opened a new I-Bond. Considering I am eligible for a small pension and my age, I am not sure if I want to continue purchasing the bonds though the rate looks attractive.

Thanks to forum members, I am changing the format of my reporting. Feedback is always welcome. Wish everyone a happy and healthy 2022!

Q4 2021:

Taxable: $225
401(k)s: $982
Roth IRAs: $29
I-Bonds (New Dec 2021): $20
529 (New Dec 2021): $20
HSA's: $40
Cash $65

Total Movable Investments $1,381K

Equity in US RE $162
RE outside US $27

Total Immovable - $189K

Total All $1,570K
 
Last edited:
Great progress, LTC
Are you still targeting $3mil total NW including kids education?
 
You must log in or register to reply here.

Similar threads

N
Hi, I am new. Just hit 40. FIRE in 7? How am I doing?
Replies
17
Views
1K
brydanger
B
R
35 y/o, targeting RE at 46
Replies
14
Views
356
NgineER
N
M
Hi there, 60ys old with two more years left in the rat race
Replies
19
Views
1K
Mlib24
M
S
Hi from Australia
Replies
6
Views
879
mistermike40
mistermike40
J
49 and 6 years to go in TX
Replies
5
Views
309
bloom2708
B

Latest posts

Back
Top Bottom