Homeowners saw a $730 billion increase to their net worth, compared with $43 billion for renters
Canada’s household net worth jumped at the start of 2021, driven higher by surging real estate values.
The value of all assets minus liabilities held by the nation’s households increased 6 per cent to $13.7 trillion in the first quarter, Statistics Canada said in a report Friday. Since the start of 2020, that figure has increased by $2 trillion.
The increase in wealth has been driven by rising residential real estate values, which jumped by a record 9.5 per cent or $596 billion — in the first quarter. For all of 2020, the value of real estate increased by just over $750 billion.
National net worth — which includes government and corporate wealth — jumped by over $1 trillion to reach $15 trillion at the end of the first quarter.
The wealth gains were not evenly spread, Statistics Canada said, with older Canadians and homeowners the big winners. Households with a major earner younger than 35 held $260,000 in net worth, versus $1.1 million for households over 55. Homeowners saw a $730 billion increase to their net worth, compared with $43 billion for renters.