Just wait until reality hits the housing markets. The resulting crash will make the Dutch bust look nice.
Just wait until reality hits the housing markets. The resulting crash will make the Dutch bust look nice
American household net worth is about $49 trillion, which is double what it was just a decade ago. Only about 20% of this wealth is attributed to home equity. The average American household has about 57% equity in their home. Just how bad do you think this crash is going to be and, given these stats, how badly can this impact our net worth?
There are a helluvalotta Dutchmen who USED to be wealthy, until the tulips crashed.
American's own assets of almost $60 trillion. This includes $17.7 trillion in real estate, $3.7 trillion in durable goods, $4.4 trillion in savings deposits, $884 billion in money market accounts, $2.1 trillion in credit market instruments, $6.3 trillion in corporate equities, $3.6 trillion in mutual fund shares, $1.1 trillion in life insurance reserves, $9.4 trillion in pension reserves and on and on. Nothing there remotely related to tulips. Maybe you can find the tulips line item, or anything else without any real value.
Federal Reserve - Flow of Funds (see page 112)