The NAHB’s Eye on Housing recently analyzed data from the Federal Reserve’s Z.1 Financial Accounts of the United States, which shows a sharp slowdown in the quarter-over-quarter growth of households’ real estate assets. They say that after six consecutive quarters of above 3% growth quarter-over-quarter, Q3 of 2022 only saw a 1.74% increase in households’ real estate asset value.
Some key points:
- The level of households’ real estate assets increased by $0.72 trillion from $41.19 trillion in the second quarter of 2022 to $41.91 trillion in the third quarter of 2022.
- The market value of owner-occupied real estate increased 13.82% on a year-over-year basis from $36.82 trillion in the third quarter of 2021.
- The slowdown in growth of real estate assets coincides with the housing market correction as housing prices adjust across the U.S.