The New Year is a great time to reflect on the state of your personal net worth. With the 2013 gains in the housing and stock markets, it’s important to understand the impact these factors have had on your own assets and liabilities.

For example, according to the National Association of Realtors®, constrained housing inventory meant double-digit increases in home prices nationally in 2013. In Texas, where the effects of the housing downturn were not as pronounced, we still saw a respectable 8% annual increase this past year.

Additionally, perhaps making an even bigger impact on your net worth are the 2013 stock market returns. The S&P 500 gained nearly 30% in 2013, and the Dow was up 26.5%. The NASDAQ also posted impressive returns – it rose almost 38% by the end of last year.

How does this information impact your personal net worth?

• If your housing value has increased, so have your assets. For a current housing valuation, visit with your real estate agent. Also, realize that while the increase is good for your net worth, it may impact your property taxes down the road.
• If your portfolio has increased, it may be out of balance. With a combination of medium/high and low-risk assets, the stock market increases may mean your higher-risk assets now make up a bigger part of your portfolio. Talk soon with your financial planner if you’re uncomfortable with this allocation.

To get a complete understanding of your current net worth, consult the cart below to easily see where you are. Then, hold on to it. We’ll publish a similar post next year so that you may compare your year-over-year net worth results. Happy 2014!