Record Increase in Homeownership in Q2 of 2020

In the 2nd quarter of 2020, homeownership rate spiked from 65% to almost 68%.

info via @iman.com

This year’s increased rate of homeownership represents the largest quarterly increase on record. But there was also a change in data collection*

There is a shift away from renting was driven by millennials aging into homeownership and accelerated by historically low mortgage rates.

The greatest increase in homeownership was seen in those under 35.

As the pandemic has a disproportionate impact on lower-wage jobs, any significant growth in foreclosures is likely to be muted.

The spread in homeownership between White and Black households is 29%.

Ownership rates of lower income households is significantly below higher income households.

These differences in homeownership need solutions. If we help lower income buyers and minorities achieve homeownership, they have an equal chance to capitalize on the wealth-building opportunities of owning your own home.

If you have questions about the path to homeownership, email me at wendy@wendymonday.com

Excerpted from @inman.com, leading real estate news source Note on data collection *In the past, the bureau relied on workers to knock on doors to see what share of the housing stock was vacant, and they would interview people who came to the door to ask if they were homeowners. But not this time.The change in methodology — from personal visits to phone calls — led to some significant changes in the ownership rate. So, in as much as the report is still very worthy of discussion, consider how the change in data collection may have impacted the numbers in the first and second quarters of this year.*

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