Household Net Worth Update

2022Q1 Results

Compared to a year ago, household net worth is up 9.2%, with real estate assets up an even bigger 16.2%:

However, on a quarterly basis, net worth dropped:

This isn’t a big surprise, as the stock market took a large hit through the end of March. As such, household equity and mutual fund assets dropped -6.1%.

However, home asset prices blunted that drop, rising 4.3% in a single quarter!

In total then, net worth only fell -0.4%.

While we have to wait three more months for official Q2 data, net worth is likely to drop again unless the market has a big rally through the end of June. Household prices will probably continue to offset some of that loss. Net overall, my guess is Q2 will show an even bigger drop than Q1.