Household Wealth Losses Pared to $12.3 Trillion
The Federal Reserve has released its Flow of Funds report for the second quarter of 2010. Household net worth declined $1.5 trillion to $53.5 trillion.
Household net worth in the second quarter of 2010 had risen $4.7 trillion from the trough in the first quarter of 2009, but still off $12.3 trillion from the peak in 2007.
At the First Quarter 2009 trough, the loss in household wealth had declined $17 trillion from the 2007 peak.
With home prices expected to be headed for a double dip, these trend lines may head back down again.
In the chart above net worth of households and nonprofits is expressed as a percent of GDP.
This includes real estate and financial assets (stocks, bonds, pension reserves, deposits, etc) net of liabilities (mostly mortgages).
Read more of an analysis of the trends in household wealth at The Business Insider: http://www.businessinsider.com/household-net-worth-2010-9#ixzz101zh0bCN
The Flow of Funds data can be found at this link: http://www.federalreserve.gov/releases/z1/current/z1.pdf