American households got a little richer in the first three months of the year, but only a little. Net worth across US households climbed by roughly $113 billion in the first quarter, a figure that sounds impressive until you remember the total pie sits somewhere north of $160 trillion.
The numbers behind the number
The New York Federal Reserve released its Quarterly Report on Household Debt and Credit on May 12, offering a complementary view of the American financial picture. Total household debt edged up by $18 billion, a 0.1% increase, bringing the nationwide total to $18.8 trillion.
Mortgage balances accounted for the bulk of that debt increase, rising $21 billion to reach $13.19 trillion.
Net worth went up by $113 billion while debt only ticked up by $18 billion. That gap suggests the wealth gains came primarily from asset appreciation, think stocks, real estate, and other holdings gaining value, rather than from households aggressively paying down what they owe.
