What percentage of your retirement portfolio is in real estate?

[Letj]

I’m not Ed, but my situation is very similar. I’ve had rental houses since 1986. Had about 35 four years ago and am down to 19. I spend 6 month a year at my second home, out of state. I have always self-managed.



I have all excellent tenants. Most all are now long term. I offer great houses at great prices. Having a trusted team of reliable contractors is imperative. I’ve been gone for a month this year. Since leaving I have had to repair a roof leak, replace a toilet, had new AC unit installed and had to repair a mailbox that someone ran over.



I also had a move out. I told my tenant they could break the lease without penalty if they left it immaculate. They did. They were gone last Thursday, I listed it for sale Friday and had a cash offer 57K over asking by Sunday (15 offers total) so I assume they left it in good condition.



I have made it clear to my tenants I will be selling if I can’t easily manage from near or far. If they make my job difficult by not paying as agreed, or are unwilling to work with my contractors for any needed repairs, they can feel free to move. I don’t want to deal with new unknown and unproven tenants. So far everyone is doing their part.



I would like to sell more but I also don’t want to uproot my tenants who have been so good to me. So, it is certainly doable.

This is great to know. I have been trying to get out of rentals and I’ve already sold off 10 but the tax bite is painful.

 

[Car-Guy]

Other than my home and associated land... Zero....

 

[MichealKnight]

Physical Real Estate

Part of the reason I like R.E is that it's not a "paper asset" and I want to diversify away from the cute green arrows, and "strong buy" and "conviction" list....somewhat and I fully acknowledge historical stock market success.

So I have quite a few REITS - but I do *not* count REITS as real estate because again, I don't hold the keys nor the deed - - it is again, a paper investment.

Not counting primary residence.

Being retired for 3 months....right now, rental property equity is just 1 unit that I have....and it makes up 5 % of my nest-egg.

When feasible, my long term goal is to have 30% in physical real estate. I am open to more rental homes - but also very open to Triple-Net Leased properties - - -think 7/11, TacoBell, Dollar General ,etc.

So to answer: 5% now..... would like to be at 30%. I don't foresee a crash anytime soon but I'd like to have an easing of the insanity....and then I'd like to buy more. Im hoping this can happening within next 12-18 months.

 

[RetiredAt55.5]

I noticed that Vanguard's Total Stock Market fund is 3.4 % in real estate, and their Index 500 is 2.5 % in real estate.

Further, their Small Cap Value Index fund is at 8.8 % in real estate as of 3/31.

So, maybe some of the 0% responses aren't actually 0% after all (if they didn't check their underlying fund investments) ?

 

[unclemick]

I noticed that Vanguard's Total Stock Market fund is 3.4 % in real estate, and their Index 500 is 2.5 % in real estate.

Further, their Small Cap Value Index fund is at 8.8 % in real estate as of 3/31.

So, maybe some of the 0% responses aren't actually 0% after all (if they didn't check their underlying fund investments) ?

True. Horse shoes and hand grenade wise I did not count my index funds.

Heh heh heh - ? So maybe more than I realized.

 

[Major Tom]

VTSAX contains about 4% in REIT's and, as that comprises about 62% of my portfolio, I have ~2.5% in REIT's.

However, as I suspect OP was talking about actual real estate, the answer is zero. I don't own the home I live in, though I do own a small camper van worth about $18K, if that qualifies