United States individual total debt balances; July 2022

Following from the New York Fed quarterly report on household debt and credit.

Total household debt rose $312 billion, or 2 percent, in the second quarter of 2022 to reach $16.15 trillion, according to the latest Quarterly Report on Household Debt and Credit. Mortgage balances—the largest component of household debt—climbed $207 billion and stood at $11.39 trillion as of June 30. Credit card balances saw their largest year-over-year percentage increase in more than twenty years, while aggregate limits on cards marked their largest increase in over ten years. Transitions into delinquency ticked up but remained very low compared to historical levels.

Mortgage balances shown on consumer credit reports increased by $207 billion during the second quarter of 2022 and stood at $11.39 trillion at the end of June, compared to $10.44 trillion four quarters ago.

Balances on home equity lines of credit (HELOC) increased by $2 billion, a modest increase but one that follows many years of declining balances; the outstanding HELOC balance stands at $319 billion.

Credit card balances saw a $46 billion increase since the first quarter – although seasonal patterns typically include an increase in the second quarter, the 13% year-over-year increase marked the largest in more than 20 years. Credit card balances remain slightly below their pre-pandemic levels, after sharp declines in the first year of the pandemic.

Auto loan balances increased by $33 billion in the second quarter, continuing the upward trajectory that has been in place since 2011.

Student loan balances now stand at $1.59 trillion, roughly unchanged from the first quarter of 2022.

Other balances, which include retail cards and other consumer loans, increased by a robust $25 billion. In total, non-housing balances grew by $103 billion, a 2.4% increase from the previous quarter, the largest increase seen since 2016.

About TARR Report

S.M.A. Publications was formed in 1997 with a mission of providing real estate information for practitioners within the Research Triangle Park area of North Carolina. The company produces the T.A.R.R. Reports which are published monthly, quarterly and annually, covering all aspects of the residential real estate market. The publisher, Stacey P. Anfindsen, has over 23 years of residential experience in the Triangle market. He is an active real estate appraiser, educator and consultant.
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