Please note that this press release was corrected 12 Oct. 2015 at 09:15
Total net worth continued to improve for all family types in the year 2014, or by 14.4%, from 2,194 billion ISK to 2,510 billion ISK. These results are based on a review conducted annually by Statistics Iceland from individual tax returns. The increase in net worth from previous year is both due to increased equity in real estate by 13.7% and other equity by 17.2%. The increase is mostly related to families with children. Net worth of single parents improved by 97% in 2014 and 22% for couples with children. Individual net worth increased by 15% and net worth of couples without children by 10.5%. Net worth improved most for families aged 25-44 years or by 36% - 253% mostly related to increased net worth in real estate.
Number of families with negative net worth in real estate decreased significantly. In 2014 11.644 families had negative net worth in real estate or over 27% fewer than previous year and the negative net worth in real estate amounted to 4.4 million ISK on average.
Total assets of individuals increased by 7.1% or from 4,121 billion ISK to 4,412 billion ISK. Real estate increased by 8.3% from the previous year mostly due to increase in property valuation in 2014.
Total liabilities of individuals amounted to 1,902 billion ISK at year end and decreased from the previous year by 1.3%. Liabilities of single parents decreased by 3.2% and of couples with children by 2.9% but increased for couples without children by 0.5% and individuals by 0.1%.
Mortgages amounted to 1,251 billion ISK and increased by 0.7% compared to last year. The increase was mostly for the oldest age groups, 8.5% for families aged 67 years and older and 1.5% - 5.2% for families aged 50-66 years.