Homeownership Remains Primary Driver of Household Wealth

Economics
Published

Homeownership increased from a low of 63.7% in 2016 to 64.9% in 2019, and the primary residence continued to be the largest asset on the balance sheets of households in 2019, according to the 2019 Survey of Consumer Finances (SCF).

The primary residence was the largest asset among households across various age groups — with the exception of the 55-64 demographic, where the primary residence and business interests were equally dominant assets. It was also the largest asset across racial and ethnic demographics, with the primary residence accounting for more than 30% of household wealth for non-white and Hispanic/Latino households.

Home owners had a median net worth of $255,000 — more than 40 times the median net worth of renters ($6,300), which reflects both the value of homeownership and the difficulty to obtain homeownership. The median value of the primary residence was $185,000 for home owners under the age of 35, then jumped to $250,000 for home owners between the ages of 35 and 54 before declining again for older demographics.

NAHB Economist Fan-Yu Kuo delves further into the survey data in this Eye on Housing post.

Subscribe to NAHBNow

Log in or create account to subscribe to notifications of new posts.

Log in to subscribe

Latest from NAHBNow

Membership

May 20, 2025

Why You Should Apply to Be the Next National Associate Chair

Applications to serve as the next National Associate Chair are now open through Sunday, July 13.

Legal | HBA

May 19, 2025

NAHB Weighs In on Whether an Association Can Sue on Behalf of Its Members

The Georgia Supreme Court recently heard a case whether a home builders association has “standing” - meaning the right to challenge the conduct of another party in court.

View all

Latest Economic News

Economics

May 20, 2025

Single-Family Home Size Trending Higher

An expected impact of the virus crisis was a need for more residential space, as people used homes for more purposes including work. Home size correspondingly increased in 2021 as interest rates reached historic lows. However, as interest rates increased in 2022 and 2023, and housing affordability worsened, the demand for home size has trended lower.

Economics

May 20, 2025

Slight Gains for Townhouse Construction

Townhouse construction expanded more than 2 percent on a year-over-year basis per data from the first quarter of 2025.

Economics

May 19, 2025

Flat Growth for Single-Family Built-for-Rent

Single-family built-for-rent construction posted flat growth on a year-over-year basis, as a higher cost of financing crowded out development activity.