Over the last six years, home ownership has lost some of its allure as a financial investment. As homeowners suffered through the housing bust, more and more began to question whether owning a home was truly a good way to build wealth. The Federal Reserve conducts a Survey of Consumer Finances every three years, and recently released their latest edition. Some of the findings revealed in their report:
- The average American family has a net worth of $81,200
- Of that net worth, 61.4% ($49,856) of it is in home equity
- A homeowner’s net worth is over 36 times greater than that of a renter
- The average homeowner has a net worth of $194,500 while the average net worth of a renter is $5,400
The Fed study found that home ownership is still a great way for a family to build wealth in America. If you have any questions about home equity of home ownership at any time, give us a call at 775-432-6300.