Household Real Estate Values Soar By Record $1.2T
U.S. household net worth surged to an all-time high in the second quarter, powered by a buoyant stock market and a record $1.2 trillion jump in real estate valuations.
A Federal Reserve report on Thursday showed that household net worth rose by $5.8 trillion, or 4.3 percent to $141.7 trillion in the period, according to Bloomberg. In June alone, home prices rose 18.6 percent, the biggest increase in three decades.
To the relief of those seeking a home, good news may be on the way: The housing market across the country began showing signs of stabilization last month.
Meantime, more people are investing in stocks: Equities as a percentage of household assets rose to 29.5 percent in the quarter from 25.6 percent two years earlier as those valuations increased by $3.5 trillion. At the same time, net private savings rose by $2.9 trillion in the quarter, adding to $4.8…