Fannie Mae Releases New Housing Insights Paper
Fannie Mae Releases New Housing Insights Paper: Paper Examines Shift from Owning to Renting and the Rise in Rental Affordability Problems
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Pete Bakel
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202-752-2034
WASHINGTON, DC – Fannie Mae’s Economic & Strategic Research Group today released a new edition of Housing Insights that investigates how the housing and economic downturns have affected the homeownership and rental markets. The paper finds that homeownership rates continue to decline, particularly among young households; that single-family housing is absorbing a disproportionate share of new rental demand; and that housing affordability problems are mounting among young renters while easing for young homeowners.
Recent declines in homeownership rates among young households reflect the effects of challenging labor markets and losses of homes to foreclosure. Tightening of mortgage qualification criteria soon after the onset of the housing downturn also probably contributed to the decline in homeownership rates among the young, but in addition may have helped to create a generation of young homeowners who have housing costs that are better aligned with incomes.
Visit the Economic & Strategic Research site at www.fanniemae.com to read the full Fannie Mae Housing Insights Research Paper, as well as the FM Commentary from research author Patrick Simmons, to learn more.
Fannie Mae is a leading provider of mortgage credit in the United States. We guarantee and purchase loans so that families can buy homes, refinance their existing mortgages, or access affordable rental housing. Fannie Mae is focused on assisting homeowners in distress, stabilizing neighborhoods, and encouraging sustainable lending. We are committed to improving our financial condition and our priorities are aligned with the public interest. Our work supports the housing recovery today and is helping to build a better housing finance system for the future.Opinions, analyses, estimates, forecasts, and other views of Fannie Mae's Economic & Strategic Research (ESR) Group included in these materials should not be construed as indicating Fannie Mae's business prospects or expected results, are based on a number of assumptions, and are subject to change without notice. How this information affects Fannie Mae will depend on many factors. Although the ESR Group bases its opinions, analyses, estimates, forecasts, and other views on information it considers reliable, it does not guarantee that the information provided in these materials is accurate, current, or suitable for any particular purpose. Changes in the assumptions or the information underlying these views could produce materially different results. The analyses, opinions, estimates, forecasts, and other views published by the ESR Group represent the views of that Group as of the date indicated and do not necessarily represent the views of Fannie Mae or its management.
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