US Canada Household Net Worth Rises Q2 on Equity Gains

In the second quarter of 2025, U.S. household net worth increased by $7.1 trillion, reaching $176.3 trillion, driven by a $5.5 trillion rise in equity holdings and an increase in real estate values, with household real estate equity at 72.6%. Mortgage debt in the U.S. also rose by $108 billion but remains significantly lower as a percentage of GDP compared to the 2007-2008 housing bust. Similarly, Canadian household net worth grew by 1.5% to a record $17.9 trillion, supported by strong financial asset gains amid a volatile stock market, with the top 20% of wealthiest households holding nearly 70% of these assets. However, Canadian residential real estate values declined slightly, and household debt levels continued to grow, with the debt-to-disposable-income ratio edging higher despite a relatively stable debt-servicing ratio. Both countries' household wealth gains were unevenly distributed, heavily benefiting wealthier households with significant financial asset holdings. Economic uncertainties, including trade policy concerns and rising mortgage rates, continue to pose risks to future household net worth growth.