Net Worth: A Homeowner’s is 36x Greater Than A Renter!

Net Worth: A Homeowner's is 36x Greater than a Renters! | Keeping Current Matters

Over the last six years, homeownership 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.

Every three years the Federal Reserve conducts a Survey of Consumer Finances in which they collect DATA across all economic and social groups.

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

Bottom Line

There are many reasons why owning a home makes sense, the Fed study shows that owning is still a great way for families to build wealth in America.

by The KCM Crew on February 9, 2015 in First Time Homebuyers, For Buyers