The market value of household real estate assets fell for the second consecutive quarter to $47.9 trillion in the fourth quarter of 2025, according to the most recent release of U.S. Federal Reserve Z.1 Financial Accounts. The fourth quarter level is 0.7% lower than the third quarter but is 2.1% higher than a year ago.

This measure of market value estimates the value of all owner-occupied real estate nationwide. The calculation combines both repeat-home sales data with estimates of additions to the housing stock, essential measuring both price changes and the change in quantity of housing assets. This approach explains why household real estate wealth can continue to rise even as other measures may show a slowing in home price growth.

Real estate secured liabilities of households’ balance sheets, i.e. mortgages, home equity loans, and HELOCs, increased 0.7% in the fourth quarter to $13.8 trillion. This level is 2.9% higher compared to the fourth quarter of 2024.

Owners’ equity share of real estate assets was 71.3% in the fourth quarter. This share also fell for the second consecutive quarter and was slightly lower than a year ago. Even with the quarterly decline, this share has been above 70% for 11 consecutive quarters, the longest stretch since the 1950s. Owners’ equity in real estate totaled $34.1 trillion in the fourth quarter.