Homeownership finally rising after decade of decline
Like a phoenix from the ashes?
Homeownership rates continue to rise for a second quarter in a row due to job growth and the ability to gain credit.
According to the Census Bureau, the share of Americans who own their homes was 63.8% in the fourth quarter, up from 63.4% in the previous three months.
Total existing-home sales, which are completed transactions that include single-family homes, town-homes, condominiums and co-ops, skyrocketed 14.7% to a seasonally adjusted annual rate of 5.46 million in December from 4.76 million in November.
Per Bloomberg Business, “The homeownership rate has found a floor,” Matthew Pointon, U.S. property economist for Capital Economics. “We expect it to rise very gradually over the next few years.”
Years later the rate are now up, but they remain low from the 69.2% in June 2004.
For householders from 35-44 years of age, the homeownership rate increased the most, from 58.1% to 59.3%.
For householders 65 years and older, the homeownership rate also rose slightly, from 78.7% to 79.3%.
For householders from 45-54 years of age, the homeownership rate rose slightly, from 69.9% to 70.1%.
For householders from 55-64 years of age, the homeownership rate fell, from 75.3% to 75.2%.
Homeownership is also projected to another get another boost. According to a report by the Federal Reserve Bank of New York, more college graduates may now be able to afford housing.