Close
ThinkAdvisor

Portfolio > Alternative Investments > Real Estate

Growth of the Affluent

X
Your article was successfully shared with the contacts you provided.

There are more millionaires than ever, and their numbers are growing. According to the Fed’s Survey of Consumer Finances, households with a net worth of $1 million to $3 million grew by 19% from 2001 to 2004 to 8.2 million households, or 7.6% of all U.S. households. (Household net worth is defined as total assets, including primary residence,minus total liabilities, including mortgages.) The only group outpacing new millionaires is up-and-coming millionaires: Households with a net worth between $500,000 and $1 million grew 23% during the same period to 10.4 million, or 9.7% of all households.

Rising real estate has helped lift the fortunes of all homeowners, but there’s more to the rise in net worth than home prices. Economists say a vibrant knowledge economy, flexible capital markets, and an increased emphasis on education from outperforming households have led to a thriving affluent middle-class.

More on this topic