Already in 2022, it had fallen very slightly (-0.1%), after eight years of uninterrupted growth. The shrinking wealth is mainly due to the fall in property prices: the value of property held by households decreased by 4.7%.
This significant drop was partly offset by the increase in their net financial assets of 8.3%, driven by the increase in key rates from the European Central Bank in 2023 which raised the value of their financial assets.
It is this increase in key rates which increased the cost of real estate loans, and caused demand and then real estate prices to fall from 2022.
A first since 2014
Corporate wealth declined much more than that of households in 2023, losing 10% of its value over one year for non-financial companies. Responsible for this are, on the one hand, the fall in land prices, and on the other hand, the rise in the financial liabilities of these companies.
The assets of public administrations decreased even more significantly (-27.5%), for identical reasons. The latter, however, remains higher than its 2021 level, because it had increased significantly in 2022. By adding all these assets, the overall national assets decreased in 2023 (-4.2%), a first since 2014.
Real estate prices continued to fall during the first two quarters of 2024 and began to stabilize in the third, according to the benchmark Notaires-Insee index published at the end of November.
Belgium
