NEW YORK (Reuters) - The number of U.S. households boasting a net worth of at least $5 million swelled to an all-time high in 2005, according a report released Wednesday by consulting firm Spectrem Group.
The report, "Affluent Market Insights 2006," is based on data gathered through mail and surveys of 1,014 respondents from September 2005 to November 2005.
Spectrem, which specializes in the affluent and retirement markets, said a record 8.3 million U.S. households are worth at least $1 million, excluding the value of a primary residence.
This is the second-consecutive year of record growth in the category, topping the 2004 mark of 7.5 million households.
The Ultra High Net Worth category, which is comprised of households worth at least $5 million, not including the value of a main residence, surged 26 percent in 2005 to 930,000.
Walking around west Cambridge last weekend, I noticed most of the homes that were having renovations done were the very expensive ones, ones that cost in excess of $3 million. And I saw many homes like that which were having landscaping, restoration, underground parking, or other enhancements done. I went to an open house (just for the heck of it) in the "best" area, where a 3/4 acre lot with a modern house that needs to be torn down is being sold for $5.5 million. The wealthy are doing very well, while the number of middle class homes (condos mostly) with renovation trucks parked outside seems to have diminished a lot. I think the Democratic claim that Bush's tax plan aid the rich at the expense of middle class is true, and I think it's unfair.
Those of you who oppose the progressive income tax I think are being taken for a ride. The rich have you blaming the poor or the "government" for your economic problems, yet as the article implies the rich aren't doing anything different, but they're getting disproportionately wealthy. That's not fair. They have many more built-in advantages. The richer you are the more stuff you get.