In the past few years, despite the rapid home price appreciation, the impacts of COVID-19 may have baffled the ways of how wealth effects result in households’ consumption and expenditure. Given the circumstance, this study aims to examine the mechanics of wealth effects with an exogenous shock, such as COVID-19. The empirics of this study suggest that there has been a negative relationship between home values appreciation and spending under the impacts of COVID-19. Those results particularly imply that renters have been more affected by home price appreciation than homeowners, as consumption sensitivity differs across homeownership over the study period.