Homeowners Net Worth
The National Association of Realtors recently took an in-depth look at the home equity of homeowners. The NAR then consolidated their findings into five informative points--
- In the past 15 years, the net worth of the typical homeowner has ranged between 31 and 46 times that of the net worth of the typical renter.
- Homeowner equity is a substantial component of homeowner wealth. The Federal Reserve’s Survey of Consumer Finances, conducted once every three years, provides a snapshot of family income and net worth along with basic demographic details and more detailed information on where families keep the wealth they have accumulated.
- The most recent survey, conducted in 2013, offers a picture of the situation as home and equity prices normalized for most household balance sheets.
- Data shows that median homeowners had nearly $200,000 in net worth or 36 times that of the median renter who had just over $5,000. The median value of owners’ homes was $170,000.
- Many households own a primary residence (65.2 percent). It is the most commonly held non-financial assets after vehicles (86.3 percent).