The declining homeownership rate in the United States indicates that the housing market hasn’t fully recovered from the Great Recession, and neither have young potential home buyers.
Census Bureau data shows that Americans owning homes is at a 1967 low. It is 63.4 percent in the second quarter, down from 63.7 percent in the previous three months.
If it were to drop to 63 percent, it would be at the 1965 level when the government first began tracking homeownership, Money reports.
It’s been a pretty hard fall from the late 1990s and early 2000s when homeownership soared to close to 70 percent. Many Americans during the Great Recession and afterward lost homes in foreclosures.
With the moderate to weak recovery, young home buyers have been priced out of homeownership. They have been stung by rising home prices, stagnant wages, burdensome student loans, consumer debt and stricter lending requirements.
Until things change, more people will continue to rent, enduring the higher prices that the increase demand creates.