House Value to Net Worth %

[beachfire]

Curious about where the average person is in terms the value of your house relative to your net worth. Our house represents 21% of our net worth. As we prepare for retirement, I am calibrating financial assets needed to support retirement and am interested in the general house to net worth ratio. Thanks

 

[Red Badger]

~17%

 

[pb4uski]

Gross or net of any mortgage? IOW, if I have a $1million house and a $750K mortgage, is the numerator $1 million or $250k?

Obviously the denominator would include the $250k and any other net assets you have.

Let's say these other assets are $2 million so net worth is $2.25 million. Is the response that you want 44.4% ($1 million/$2.25 million) or 11.1% ($250k/$2.25 million)?

 

[Alan]

~18%

 

[beachfire]

I was looking for the $1m / $2.25m = 44.4%.

 

[pb4uski]

ok, in that case 15.6% for us.

 

[Cobra9777]

20%

 

[SomedaySoon]

~ 18%

 

[W2R]

So much depends on the value of my home.

I just bought it in cash two years ago, so if I use that price, then 13%.

However, we have had a booming seller's market here since then, with houses going for prices that are skyrocketing, and to me seem astronomical. So realistically, based on official selling price records in my neighborhood, I suppose 15%-20%.

But I don't ever plan to sell! My plan is to stay here until they take me out feet first, as the saying goes. So maybe we are back to 13%? Confusing.

 

[joylesshusband]

Curious about where the average person is

How do you define "the average person" for the purposes of this thread?

 

[Meadbh]

~8%
But I am not an average person!

 

[FIREmenow]

House - 6.25%
Boat - 12%

 

[Nightcap]

Roughly 6%. I'm not planning to pay off the mortgage for a few years.

 

[Blue Collar Guy]

20 % ish. Id like to sell this place, get a nice rental in Tax free Florida for $1500 a month.

 

[geeky_grrl]

< 5% currently. We'll probably upsize in the next few years to something closer to 10%.

 

[RobbieB]

Nine percent.

 

[2017ish]

Purchase price of house, ignoring appreciation and small mortgage, is 13% of our financial assets (excluding house).

If I count the mortgage and guestimate what a developer would be willing to give us if we asked, I think it is about 15% of our net worth (Financial + house). Of course, about half of its value would go toward getting us another place to live if we sold....

Very different story than our first house! (It was an infinite percentage of our net worth, after accounting for student loans...)

 

[beachfire]

I did not mean anything by "average person". I was thinking I would look at the responses were to this question and derive an "average". Thanks

 

[6miths]

Looks like about 13% but we are in a bubble so could drop at any time.

 

[NavAir]

Primary residence: 12%
Primary residence + vacation condo: 26%

 

[Blue Collar Guy]

Looks like about 13% but we are in a bubble so could drop at any time.

Look at the bright side, your investments might drop even more ,then your % would increase

 

[pb4uski]

ok, in that case 15.6% for us.

Actually, make that 21.5% if I include both our main home and our winter condo.

 

[KCGeezer]

Primary residence ~7%
Primary + lake house ~ 14%

 

[scrabbler1]

About 7% for me.

 

[Lawrencewendall]

~8%