The Federal Reserve released data today for the net worth of U.S. households in
Q3, here are some highlights:
1. The net worth of U.S. households increased to $64.77 trillion in the third quarter, which was an increase of $6.11 trillion, and more than 10%, from Q3 last year (see chart).
2. Net worth in Q3 this year reached the highest level in any quarter since Q4 of 2007, when household net worth was $66 trillion (see chart).
3. Since the end of last year, the value of real estate owned by U.S. households has increased by more than $1 trillion from $16.2 trillion in Q4 2011 to $17.2 trillion in Q3 this year (see bottom chart above), and is at the highest level since 2008.
4. The total value of all financial assets owned by U.S. households increased by more than $3 trillion since the end of last year, from $50.39 trillion in Q4 2011 to $53.57 trillion in Q3 2012.
5. The value equities and mutual funds owned by U.S. households increased by almost $2 trillion since the end of last year, from $13.36 trillion to $15.33 trillion in Q3 this year.
MP: In nominal terms, U.S. households have now gained back almost all of the $15 trillion of net worth that was lost during the Great Recession, financial crisis, and collapse of the housing values in 2008 and 2009. The value of real estate owned by U.S. households has increased by more than a $1 trillion so far this year, and the gain will likely increase even further in Q4. As Scott Grannis commented about today’s Fed report, “No doubt about it, things are getting better.”