Last year, 37 percent of homes sold were acquired by buyers who didn’t live in them, according to tax-assessment data compiled in a new report published by Attom Data Solutions and ClearCapital.com Inc.
That number may include second homes, or properties acquired by investors who seek to fix up old homes and resell them at a profit. But it’s also a strong indication that landlords are playing a larger role in the U.S. housing market.
Actually, the US homeownership rate in Q4 2016 to Q4 1985 levels, making it the lowest in just over 30 years (although it was lower in Q2 2015 and Q2 2016). And as foreclosure inventory lessens, the homeownership rate will rise.
Aside from not being the lowest in 50 years, but the share of US home sales for which the owner doesn’t live in the home is growing quite rapidly.
But the homeownership rate is around the 1985-1995 STABLE rate before the Clinton Administration launch the National Homeownership Strategy: Partners in the American Scream.
Take the inland empire of California, Las Vegas and Phoenix. For the most part, investor-owned homes are in greater percentages in those post credit apocalyptic counties. The coast, for the most part, has a lower percentage.