Almost everyone has been complying with the stay-at-home orders from our state and local governments for nearly two months now. This unexpected situation has put our daily lives on pause making us find comfort in spending time at home and feel secured from having a much-needed safe place to live.
According to the Housing Vacancy Survey (HVS), Americans place great value in homeownership and it is continuing to grow in the United States. The results provided by the U.S Census Bureau show that the homeownership rate rose to 65.3% for the first quarter of 2020. This is a number that has been rising since 2016 and is the highest rate obtained in eight years.
The National Association of Home Builders (NAHB) explained that a strong owner household formation with around 2.7 million homeowners added in the first quarter has made the increase of the homeownership rate, especially under the decreasing mortgage interest rates and strong new home sales and existing home sales in the first two months before coronavirus hit the economy.
The National Association of Home Builders (NAHB) also highlighted that the homeownership rates among all age groups increased in the first quarter of 2020.
- Households under 35, who are mostly first-time homebuyers, have registered as the largest gains, with the homeownership rate increased by 1.9% from a year ago.
- Households with ages between 35-44 have increased by 1.2%.
- Households with ages between 55-64 have increased by 0.9%.
- Households with ages between 45-54 have increased by 0.8%.
- Households with ages over 65 have increased by 0.2%.
Homeownership has always been a great financial investment and an important part of the American Dream. The current situation makes many people feel more thankful for the home they get to share with their families. Coronavirus may be slowing our lives down, but it is showing us the emotional value of homeownership too.
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