Despite Stricter Lending, Homeownership Rate More Or Less Flat

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The percentage of Americans who own their homes dipped only slightly to 64.7% in the second quarter, down from 64.8% in the first quarter – about the same level seen in the second quarter of 1995 – according to the U.S. Census Bureau's quarterly residential vacancies and homeownership report.

Most of the dip came in the South, where the rate of homeownership dropped from 66.5% in the second quarter of 2013 to 65.9% in the second quarter of this year.

Some of it also came in the densely-populated Northeast, where it fell from 63.2% in the second quarter of 2013 to 62.1% in the second quarter of this year.

The West and Midwest regions saw slight gains, year over year.

Nationwide, the homeownership rate fell 0.1% in the second quarter compared to the first quarter and was 0.3% lower compared to the second quarter of 2013.

The U.S. homeownership rate peaked in 2005 at about 69%. Since then it has been on a steady downhill slide. The last time the homeownership rate was below 63% was in 1964. However, it dipped to 63.5% in 1985 and hovered near there for about a decade until before raging back starting in 1995 and running through 2005.

Meanwhile rental vacancy rates saw a significant decline in the Northeast and Midwest, as the U.S. continues to trend toward a ‘rental nation.’ The national rental vacancy rate of 7.5% was 0.8% lower than the rate seen in the first quarter and 0.7% lower than the rate seen in the second quarter of 2013.

To view the report, click here.

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