Jump to ContentJump to Main Navigation
Recalibrating Retirement Spending and Saving$
Users without a subscription are not able to see the full content.

John Ameriks and Olivia S. Mitchell

Print publication date: 2008

Print ISBN-13: 9780199549108

Published to Oxford Scholarship Online: January 2009

DOI: 10.1093/acprof:oso/9780199549108.001.0001

Show Summary Details
Page of

PRINTED FROM OXFORD SCHOLARSHIP ONLINE (oxford.universitypressscholarship.com). (c) Copyright Oxford University Press, 2021. All Rights Reserved. An individual user may print out a PDF of a single chapter of a monograph in OSO for personal use. date: 23 April 2021

Net Worth and Housing Equity in Retirement

Net Worth and Housing Equity in Retirement

(p.46) Chapter 4 Net Worth and Housing Equity in Retirement
Recalibrating Retirement Spending and Saving

Todd Sinai

Nicholas Souleles

Oxford University Press

This chapter documents the trends in the life-cycle profiles of net worth and housing equity of older persons. During the 1993-2004 period, older households' net worth rose significantly, yet net worth grew by more than housing equity, in part because other assets also appreciated at the same time. Moreover, the younger elderly offset rising house prices by increasing their housing debt and used some of the proceeds to invest in other assets. The chapter considers how much of their housing equity older households could actually tap using reverse mortgages. It shows that this fraction is lower at younger ages, such that young retirees can consume less than half of their housing equity. Their results imply that consumable net worth is smaller than standard calculations of net worth.

Keywords:   home ownership, reverse mortgage, housing debt, home equity, lump sum, net worth, house prices, homeowners

Oxford Scholarship Online requires a subscription or purchase to access the full text of books within the service. Public users can however freely search the site and view the abstracts and keywords for each book and chapter.

Please, subscribe or login to access full text content.

If you think you should have access to this title, please contact your librarian.

To troubleshoot, please check our FAQs , and if you can't find the answer there, please contact us .