Highest net worth among people in their 60s
The average net worth for Norwegian households was NOK 1.8 million in 2011. Households where the main income earner was in their 60s have the highest average net worth.
When the assessed tax value of dwellings is substituted with the assessed market value (see text box), the mean net wealth of all households was NOK 1 827 000 in 2011. The net worth of Norwegian households grew by 6 per cent from 2010 to 2011, primarily due to a strong rise in house prices. Households where the main income earner is aged 65-69 is the group with the highest average net worth. In 2011, this age group had on average NOK 3.1 million in net worth, while the median net worth was NOK 2.3 million. Households headed by someone in their 70s also had a median net worth of at least NOK 2 million in 2011.
Private homes the principal asset
On average, dwellings make up two thirds of households’ total assets in 2011, while 27 per cent are made up of financial assets. For younger households (25-35 year-olds), dwellings constitute as much as 80 per cent of total assets.
Increase in liabilities
On average, all households had NOK 1 048 000 in debt in 2011. This was an increase of 5.7 per cent from the previous year. Households with the highest income saw the strongest rise in debt in 2011, while households at the bottom of the income distribution had a more modest increase in average debt.
In 2011, liabilities corresponded to 36 per cent of the households’ total assets; the same proportion as the year before.
More people are facing a high debt to income ratio. In 2011, 14.6 per cent of all households had a debt that was three times larger than their income. This was up from 14.3 per cent in 2010.
Assessed market value of own dwelling
The values for private dwellings are based on a model developed by Statistics Norway where house prices are calculated for all dwellings based on the actual selling price of a majority of dwellings sold on the private market. Data from this model is currently used by the Directorate of Taxes when assessing tax values for the principal residence and other private dwellings. In the Tax Return, the principal dwelling is assessed at a value of 25 per cent of the assessed market value, while other private dwellings are valued at 40 per cent of market value. In the wealth statistics, the full market price is applied. Further information on the wealth statistics can be found here .
As of 2004, the household income statistics are based solely on register data, including all persons in private households living in Norway at the end of the year. Persons in student households are not included. In addition to registered cash income received by households, the statistics also include debt and wealth registered in the tax assessment. See " About the statistics " for more information .
- Table 1 Property account for households with estimated market values on dwellings. 2010 and 2011. NOK million, part of households that have amount on the different property holdings and their average
- Table 2 Percentage share of total net worth, average net worth and percentile cut-offs for households, by deciles. Estimated market values on dwellings included in net worth. 2010 and 2011
- Table 3 Households, by size of debt and type of household. 2011. Per cent
- Table 4 Average debt and per cent changes in average debt for households in different deciles for total household income. NOK and per cent. 2006-2011