Homeownership in the U. S. continues to fall, hitting 64.7 percent, a level not seen in almost 20 years, and according to housingwire.com, the trend is not expected to reverse any time soon. Home price appreciation has been driven by investors buying up homes, not owner-occupant homes. Usually, as MHProNews has learned, first-time homebuyers drive the homeownership rate of change, but tighter credit, higher down-payment requirements, wage stagnation and college grads burdened with student debt are causing first-timers to fail the qualified mortgage and ability-to-repay rules. Ron D’Vari of NewOak says, “Unless home prices rise at a much slower pace and the U.S. economy produces more higher-paying jobs and regulators loosen up the mortgage lending rules, the downward trend in homeownership is unlikely to reverse course any time soon.” ##
