Homeownership Rate Edges Down to 65.3%  – Eye On Housing

The latest homeownership rate declined to 65.3% in the first quarter of 2026, according to the Census’s Housing Vacancy Survey (HVS). While the quarterly decrease was modest, the broader picture continues to reflect significant affordability challenges. With mortgage interest rates remaining elevated, and housing supply still tight, housing affordability is at a multidecade low. Compared to the peak of 69.2% in 2004, the current homeownership rate is 3.9 percentage points lower and remains below the 25-year average rate of 66.3%.  

Compared to a year ago, homeownership rates decreased in only two age groups. Householders aged 45-54 experienced the largest drop, falling 1.4 percentage points from 70.6% to 69.2%. The homeownership rate for householders aged 65 years and over declined 0.6 percentage points from a year earlier. Among younger households, homeownership rates moved higher. For householders under 35, the rate increased 0.2 percentage points to 36.8% in the first quarter of 2026. This age group is particularly sensitive to mortgage rates and the inventory of entry-level homes. The 35-44 age group saw a 0.8 percentage point increase, rising from 60.3% to 61.1%. Meanwhile, homeownership rates for householders aged 55-64 inched up by 0.4 percentage points over the same time  

The national rental vacancy rate increased to 7.3% for the first quarter of 2026, on a steadily increasing trend since 2023. Meanwhile, the homeowner vacancy rate stayed at 1.1%. The rise in rental vacancies, along with a stable homeowner vacancy rate, suggests some easing in overall housing supply conditions.  

The housing stock-based HVS revealed that the number of total households increased to 133.7 million in the first quarter of 2026 from 132.1 million a year ago. This increase was driven by both owner and renter household growth. The number of renter households rose by 0.35 million, while owner-occupied households increased by around 1.3 million over the same period.