Home loans drive up household debt : vimarsana.com

Home loans drive up household debt


Home loans drive up household debt
by
Bloomberg
|
Today at 2:17 a.m.
U.S. household debt rose at the fastest pace since 2013 in the second quarter, driven by a mortgage boom as Americans took advantage of low borrowing costs and sought more space to work from home.
Household liabilities climbed $313 billion to $14.96 trillion as of the end of June, a 2.1% rise from three months earlier, the Federal Reserve Bank of New York said in a report published Tuesday.
Most of the increase came in mortgage balances. With the average 30-year rate declining in the period, millions of Americans with good credit took the opportunity to refinance and cut their monthly payments. About 44% of the country's entire $10.4 trillion stock of mortgages was originated in the 12 months through June, according to the New York Fed.

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