Homeownership rate in U.S. declines to 64.4 percent

The U.S. homeownership rate ticked down again in the third quarter. The Census Bureau reported last week that 64.4 percent of U.S. households owned their homes in the third quarter, down from 64.7 percent in the prior three months. That’s the lowest rate since 1995, and down from a peak of 69.2 percent in 2004 before millions of families lost their homes to foreclosures during the recession.

While the mortgage meltdown has eased considerably, homeownership has continued to fall in much of the country as lending restrictions, an uncertain job market and, more recently, higher home prices keep would-be buyers on the sidelines. Meanwhile, 20-somethings are moving out of their parents’ homes and into the rental market, which is sparking a surge in apartment construction. In raw numbers, the number of owner-occupied homes in the U.S. fell to 74.2 million in the third quarter of this year from 74.9 million in the same period last year. Rental households grew to 41.1 million from 39.9 million.

Los Angeles Times