Minneapolis Fed Reports Lower National Homeownership Rate of 53%

The Federal Reserve Bank of Minneapolis introduced a new homeownership measure that reveals lower ownership rates across the United States than those reported by traditional metrics. Unlike data from the United States Census Bureau, which tracks the share of households in owner-occupied homes and excludes group housing, the new methodology includes all adults. This broader count encompasses individuals in group settings, those renting rooms, and young adults living with parents.

Under this new measure, the national homeownership rate stands at 53%. Regional data shows that California had the second-lowest rate in the country last year at 41%, trailing only the District of Columbia, which recorded a 35% ownership rate.

The findings indicate that homeownership remains predominantly accessible to older populations. The data suggests that financial pressures and payment-to-income ratios heavily influence these rates, creating significant barriers for young adults.