Homeownership rates in the U.S. are finally on the upswing after steady declines, according to an article in Bloomberg. The U.S. Census Bureau reports homeownership rates are at 63.8 percent, an increase of 0.1 percent over the previous quarter. This is the second straight quarter of increases, following a long stretch of declines starting in 2013. We are still a long way away from our peak of 69.2 percent reached in 2004.
The increase is being attributed to first-time homebuyers and the improvement in the U.S. employment rate, seeing renters moving into homeownership. First-time homebuyers accounted for 32 percent of purchases in December, according to the article, the highest share since August. Homeownership rates are expected to continue their gradual increase over the next few years, as we keep a close eye on housing supply.