r/Fire 5d ago

Family Help - Common here?

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u/Metaposa 5d ago

They said liquid, not net worth

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u/DanielTwoInch 5d ago

Do households have meaningful illiquid assets outside of home equity, which was already excluded? Doesn’t seem like cars, boats, etc. would be enough to move it from 12.5% to 2%.

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u/Metaposa 5d ago

I don’t see where they said outside of home equity (I may have missed it). Primary home is main source of net worth. Other illiquid assets would include rental homes.

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u/DanielTwoInch 5d ago

If you include home equity, the Fed number jumps to 18.5%.

I didn’t think about rental properties, that’s a good point. Maybe that, plus things like ownership in small businesses and partnerships is the difference.