Question

Net Worth is equal to assets minus liabilities. Which event will have the greatest impact (positive or negative) on one's net worth?

Answer 1

I would say that for most people, buying an apartment or a house would be the most major thing they could do that would affect their net worth. Initially it would be mostly a liability at first but as it appreciates, especially if it is in a big city where the population keeps growing then it most likely will appreciate and then the owner's assets will increase since their equity will increase.