What percentage of your retirement portfolio is in real estate?

[W2R]

Zero

 

[NgineER]

About a third in rental properties. Duplexes and trriplexes

 

[realfan]

15% in VNQ

 

[Al in Ohio]

To the OP just to clarify for some, when you state “Real Estate in your retirement portfolio “ you mean real estate funds on paper, not actual real estate holdings in your name as part of your overall net worth?

 

[Al in Ohio]

I read the question as real estate “funds” in a portfolio. For me it was 4% until this years AA re balance. I revised downward to 2% due to the impending realization by companies that many of their professionals can work at home. That and the impending demise of many brick and mortar stores.

 

[Ian S]

Considering my actual REIT investments plus my investment in Brookfield Asset Mgmt (BAM) which has a big chunk of real estate assets, somewhere around 5%.

 

[sassnco]

I am looking at mostly passive RE investments, but also am interested in adding active RE (directly in my portfolio) if I can afford it.

 

[Bamaman]

I have a friend that's an ex-CEO of a 1000+ person company. He's also a very active and successful day trader.

Out of all successful people he knows, just about every one of them had rental properties. And they let others pay for their assets with rental payments. My buddy had about a dozen rental properties.

That's great, but watching over rental problems in retirement is just too much like having a job. It's not like retiring when you have to go handle a plumbing problem on a Saturday night.

So if you're going to have rental properties, own them in your 40's and 50's. When you get ready to retire, it's time to liquidate those properties, pay the capital gains taxes and keep your life simple.

 

[Monterey298sc]

50%

 

[Ready]

Zero. But even though our primary residence is not technically part of our investment portfolio, it is our backup plan if we somehow blow through all of our money before we pass.

 

[stephenson]

Not including personal home, about 15% in several single family rentals.

 

[JRon]

About 21% - has been very good for us.

 

[Winemaker]

About $400,000 of NW is in rental real estate, about another $100,000, in REITs that are commercial. medical, or mortgage backed. Rental real estate has been very, very, good to us.

 

[Oz investor]

in REITs a little over 10% , BUT my largest single holding is a motor dealership where the major share-holder describes himself as ' frustrated land developer ( meaning the dealership owns much of the car-yard properties plus other property assets ) so say around 17% ( not counting actual property i own as that is VERY difficult to value since it has been in the family for decades .. 50 years plus )

but i had a lot of fun in corporate debt and bonds between 2011 and 2016 but the risk v. reward ratio became less attractive , so have been carefully adding REITs partially as bond substitutes

 

[disneysteve]

We used to own Cohen and Steers Realty fund but I sold it off a few years ago. It was a small position and wasn’t really serving much purpose. I was also working to consolidate and simplify our portfolio. I did just recently buy a bond from a company that owns a portfolio of hotels so I guess that counts but it’s less than 1/3 of a percent of our portfolio I think. So my earlier answer of zero is still pretty much accurate.

 

[CyclingInvestor]

0% recently, but as high as 100% in REITs in 1999-2005 when they became very undervalued compared to just about every other sector of the market. I credit Ralph Block's book on REITs and his presence on the old Motley Fool early retirement boards with giving me enough knowledge to do this.

 

[rk911]

0%, AFAIK unless one our mutual funds holds shares in a related business.

 

[street]

NW portfolio real estate percentage is ~15%. My real estate is non income property, and I never use NW, as a yard stick for my portfolio value.

 

[Another Reader]

I am looking at mostly passive RE investments, but also am interested in adding active RE (directly in my portfolio) if I can afford it.

It looks like you are in Colorado. Rentals just do not make sense anywhere in Colorado right now. You will have a strongly negative cash flow and compete with owner occupants to pay top dollar. Unless you like dealing with tenants, managing repairs and doing the leasing (i.e. having a job), I wouldn't consider doing this anyway. I'm not a fan of REITs either, because their returns are not great. For most people, their returns will be higher and their investing less taxing if they stick to equities and maybe some bonds.

 

[calmloki]

We've sold some places and plan to be selling more. Currently, not counting our homes in net worth, we have about 23% in our rental apartments (more actually - values are the tax man's "true cash" value which is way light). Property loans and contracts are about 18.3%, so we are about 41% in real estate or real estate secured investments. As mentioned above, real estate has been very very good to us.

That said, after 6 months in La Quinta Ca, we are headed back to Oregon this Saturday, and I have 2 refrigerators (woohoo - first floor!) and a stove to replace immediately. At 71, I'm getting too old for this chit, and I really don't need to be doing it.

 

[F.I.R.E User]

Does Fundrise count?

 

[Bryan Barnfellow]

Since I, along with 70% of other residents here, rent my home, I intentionally invest in US REITS, somewhere around 10% of my total portfolio.

-BB

 

[FIREd]

About 65% - commercial, residential, and farmland.

 

[Flyfish1]

Roughly 35% between, REIT's and private RE funds. The latter I am slowly reducing to move more to REIT's and preferred stocks of REIT's.

 

[DrRoy]

Virtually 0.