Looking for some general advice [on portfolio and land purchase]

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Topic Author
Zink
Posts: 1
Joined: Sun Aug 08, 2021 3:54 pm

Looking for some general advice [on portfolio and land purchase]

Post by Zink »

Hello,

I was wondering if I could get some feedback on what all I have here and see if I am even close to what makes sense
under conditions these days. I have a land purchase deal in the works also that is making things more confusing
so feeling a bit like the deer in the headlights.

The numbers:
VG allocation- about 59.9% stocks
33% bonds
7.1% reserves

IRA's- VBTLX - 76,500
Roth's - 353,300 maxing contrib myself/spouse (583 x2)
401K - 145,000 contrib- approx 1600-1800 mo. Lipper Eq index - about 68% Bond indx -32 %
Taxable 60,000 contrib (+500 mo) mostly VTI & Total bond etf's
Sav/cash/other 64,500
misc two small pensions- not much, maybe a total of 30,000 at this time.


Roth's break down
VTI ETF 171,900
VTSAX 93,000
VBTLX 41,200
VTABX 39,278
SGOL 3,500

Other:

House approx - 570,000
mortgage bal approx 138,000
Payment 1080 (pay + 600mo)

Age 61
Total income approx gross 184k (Spouse & I)
Total required bills: about 3500-4000 mo

Situation:

We had been looking to lay ground work to retire in the blue ridge mountains. After a few long road trips we found a lot we liked and are now under contract for it in the due diligence period, closing about 9/10, we can back out up until this date. Cost about 45,000, just under 2 acres in a really nice gated community. I am selling a car I had but not driving which will produce 20k of this, about 12k from the Taxable account, 5k from cash and the rest from savings.

Here is my conflict with this; I get the distinct feeling it is going to be extremely difficult to build in any kind of a timely manor mainly because of
builder backlog and what seems to be growing material shortages. I am worried about selling, then getting stuck in an over priced rental and having
events over take the ability to build. We really like the area and the land though and after all the time we spent looking it would be very hard to duplicate later.

The other option is to bunker down here (also a nice community but a very cold place) keep working on the mortgage until it is close to some sort of pay off range. Not buying that lot would mean I would have that money towards payoff later but on the other hand I am thinking moving cash from
losing value to inflation to land is not a bad thing, the downside is it may be hard to get that money back, plus the prop tax's (not a lot for undeveloped land though)

So I guess I am looking for thoughts on how messed up my current assets and allocation are? I feel like a sitting duck for inflation but not sure. It started out as simple, VTSAX & VBTLX and morphed into this. I like simple, and things seem to be steady moving away from simple between what I have here, the land purchase and where future events may lead. The land part of this may be a bit out of context but since its part of the over financial picture included it. I always thought bitcoin or other a big risk due to what I think is future regulatory crackdown. I see a lot of opinions about it here, wondering if that should be part of things, if its too late due to cost or what. I have my doubts about VBTLX these days but maybe
it's still a good stability choice.

Thanks for any advice!
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