| HUD No. 00-183 | |
| Further Information: | For Release |
| In the Washington, DC area: 202/708-0685 | Wednesday |
| Or contact your local HUD office | July 26, 2000 |
HOMEOWNERSHIP RATE HITS ANOTHER RECORD HIGH -- 67.2%
WASHINGTON - A record 67.2 percent of American households owned their own homes in the second quarter of 2000 - once again shattering all previous records. This puts homeownership at a higher percentage than at any time in American history, Housing and Urban Development Secretary Andrew Cuomo announced today.
The percentage of households owning their homes - known as the homeownership rate - has risen steadily since President Clinton took office, jumping from 64 percent in 1993 to 66.3 percent in 1998 before setting another new annual record in 1999 at 66.8%. This quarter’s numbers are on pace for yet another annual record.
"The continued steady increase in homeownership is undeniable evidence that the policies of the Clinton-Gore Administration have built a steady foundation for sustainable growth," said Cuomo, "Owning a home is not only part of the American Dream, it must also be an attainable reality. One home at a time, we are making dreams a reality. In the 1940s, we were a nation of renters -- just 45% of Americans owned their homes. Today, we set another record high homeownership rate of 67.2%. It is the American Dream -- it is the promise of hope and stability. It is the monument to the great American experience."
According to the U.S. Census Bureau, there are now 70,758,000 homeowners in America. That is 8,974,000 more than 1993 when the Clinton-Gore Administration took office.
Noting that minority homeownership still lags behind overall numbers, Cuomo said "We cannot truly enjoy the success of our initiatives to boost homeownership until we erase the gap for minorities." In June of this year, Cuomo announced a new 3-year goal for increased minority homeownership. He has committed the Federal Housing Administration, which is part of HUD, to insure mortgages for more than 765,000 minority families over the next three years.
Here’s how the homeownership rate has risen since 1994, measuring the percentage of all households owning their own homes and then listing breakdowns by major racial and ethnic groups, as well as location. The category of OTHER includes Asian Americans, Native Americans, and Pacific Islanders. CENTRAL CITIES are the major cities in metropolitan areas.
| 2nd Quarter 2000 | 4th Quarter 1994 | Change in # of Households | |
|---|---|---|---|
| NATION OVERALL | 67.2 | 64.2 | 6,811,000 |
| Central Cities | 50.7 | 48.2 | 1,395,000 |
| MINORITIES | 47.6 | 43.7 | 2,708,000 |
| BLACK (non-Hispanic) | 47.2 | 42.9 | 1,008,000 |
| HISPANIC | 45.4 | 42.2 | 941,000 |
| OTHER (non-Hispanic) | 54.4 | 51.2 | 759,000 |
| Female Head of Households | 52.2 | 48.7 | 1,993,000 |
| Households with Less Than Median Family Income | 50.8 | 48.6 | 660,000 |
Homeownership is about building communities. Homeowners take pride in their surroundings, often putting in extra effort into their neighborhoods. Owning a home also means accumulating wealth. As home values increase, their investment in that home grows. Homeowners also strengthen the economy through their purchase of homes and the related furniture and appliances that go with the new purchase. Homeowners also tend to become more involved in community efforts, schools and events. And the value of a home is something that can help secure loans to finance a business, or a child’s education, and that value is often passed on to a new generation to help them find economic security.
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