🏡 Should Your Home Count Toward Your Investment Portfolio?

Rethinking the Role of Owner-Occupied Property in Asset Allocation

✅ The Case for Including Your Home in Your Asset Allocation

• 💰 It’s a Real Asset With Market Value: Your home has a market price and typically appreciates over time.
• 📉 It Can Affect Your Risk Exposure: Overconcentration in real estate can expose you to localized economic risk.
• 🏦 It Impacts Liquidity and Leverage: Mortgages and equity tie-ups affect your financial flexibility.

🚫 The Case Against Including It

• 📌 It’s Not an Investment in the Traditional Sense: Your home serves a lifestyle function first and foremost.
• 💸 It Doesn’t Produce Income: Unlike stocks or bonds, it won’t yield returns unless sold or rented out.

⚖️ A Balanced Perspective

📈 For Financial Planning: Include your home when evaluating your net worth and planning long-term goals like retirement.

📉 For Investment Allocation: Exclude it from your liquid asset mix, but remain mindful of how it affects your total risk exposure.

💡 There’s no universal answer, but treating your home thoughtfully within your broader financial picture can lead to smarter and more holistic planning.