U.S. homeownership hits a 15-year low, Census Bureau finds
The homeownership rate in the U.S. fell to 65.4% in the first quarter, hitting a 15-year low amid still-high foreclosure rates and a stronger market for rents.
The rate is lower than the 66% from the fourth quarter and the 66.4% from the first quarter of last year, according to the Census Bureau. The rate hit a high of 69.2% in 2004, before the housing bubble burst.
The housing market has been trying to recover ever since. Several reports this month have suggested that the market has turned a corner, with pending home sales up and housing values bottoming.
But foreclosure rates are still high (and may continue to increase following a landmark settlement with loan servicers earlier this year).
In the first quarter, 74.6 million housing units were occupied by owners. Homeownership is down in every region, falling to 59.9% in the West. The region, which has the lowest rate in the country, hasn’t had such a small percentage of homeowners since at least 2006.
Rates among minorities continue to trail the nationwide numbers. Black homeownership is at 43.1%; the Hispanic rate is 46.3%
Vacancy rates at rental properties fell to 8.8% -- their lowest level in a decade. Rents, which are at a median $721, are at a post-recession high.
The median sales prices for vacant units – a number that spiked in 2007 but has slipped steadily since – is $133,700.
RELATED:
Home prices declined in February
Housing reports point to improving market
Pending home sales up, ‘market has clearly turned the corner’
