Photo: trix and friends via flickr
U.S. Homeownership has fallen to a 10-year low, with just 62 per cent of Americans saying they own their home, according to a new Gallup poll.Another record low, 53 per cent, said their home was worth more today than when they bought it, showing an uptick in underwater mortgages. From Gallup:
“Declining Homeownership rates suggest some Americans are beginning to doubt that homeownership remains part of the American dream — or at least, an attainable part of it. From an economic perspective, U.S. economic growth needs to be much stronger than it has been in order to achieve the hiring necessary to get unemployment rates to the “normal” levels of the past. This doesn’t seem likely as long as housing activity remains relatively moribund and homeownership rates are declining.”
But there might be signs suggesting that this could be the real, existing bottom: 33 per cent said they expect their local home values to increase in the next 12 months, versus 23 per cent who expect a decrease. Compare with a 28 per cent / 30 per cent split for those sentiments last year.
But we’ve heard this song before.