Residential Homeownership at More than a 50-Year Low

The Census Bureau updated its quarterly Housing Vacancies and Homeownership (CPS/HVS) and returned the following results:

Table 4 2016-07-28

As illustrated by the information in the table, homeownership in the U.S. continues to produce negative results as noted by the Wall Street Journal:

The U.S. homeownership rate fell to the lowest level in more than 50 years in the second quarter of 2016, a reflection of the lingering effects of the housing bust, financial hurdles to buying and shifting demographics across the country.

But the bigger picture also suggests more Americans are gaining the confidence to strike out on their own, albeit as renters rather than buyers.

The homeownership rate, the proportion of households that are owner-occupied, fell to 62.9%, half a percentage point lower than the second quarter of 2015 and 0.6 percentage point lower than the first quarter 2016, the Census Bureau said on Thursday. That was the lowest figure since 1965.

These last statistics are reflected in the interactive FRED chart below:

One very interesting element of the homeownership trend is the sociological shakeout among generational groups, with some results as expected, and others left for more in-depth studies:


Source: The Wall Street Journal:

The full Bureau of Census report can be viewed here and the quarterly updates here.

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