Short Answer
The U.S. homeownership rate slipped to 65.0 percent in the second quarter of 2026, according to the Census Bureau’s Housing Vacancy Survey. While the rate was statistically unchanged from a year earlier, it remains well below the 25-year average of 66.3 percent and the 2004 peak of 69.2 percent. Age remains the single strongest predictor of homeownership: in the most recent detailed age data, fewer than two in five householders under 35 owned their home, compared with nearly four in five householders aged 65 and over. This article breaks down the latest 2026 Census data and the generational trends shaping U.S. homeownership.
Key Numbers
- National homeownership rate, Q2 2026: 65.0%
- National homeownership rate, Q1 2026: 65.3%
- Peak homeownership rate: 69.2% in 2004
- 25-year average: 66.3%
- Under-35 homeownership rate, Q2 2026: 35.2%, down 1.2 percentage points year over year
- 65-and-over homeownership rate, Q4 2025: 79.0%
- Rental vacancy rate, Q2 2026: 7.3%
- Homeowner vacancy rate, Q2 2026: 1.2%
Explanation
The homeownership rate measures the share of occupied housing units that are owner-occupied rather than renter-occupied. When the Census Bureau reports the rate by age group, it is based on the age of the householder — the person in whose name the home is owned or rented. Because homeownership is strongly tied to life stage, income, and wealth accumulation, the rate rises sharply with age.
In the second quarter of 2026, the national rate was 65.0 percent. That was not statistically different from the 65.0 percent rate a year earlier and only modestly below the 65.3 percent recorded in the first quarter of 2026. The stability masks significant differences by age. Younger households, especially those under 35, have seen the largest recent declines, while older households continue to hold homeownership rates above 75 percent.
Affordability pressures are a central part of the story. Elevated mortgage interest rates and tight housing supply have kept homeownership at a multidecade low relative to historical norms. The rate is 4.2 percentage points below the 2004 peak and remains below the 25-year average, according to the National Association of Home Builders’ Eye On Housing analysis.
Definition
The homeownership rate by age group is the percentage of occupied housing units in a given age cohort that are occupied by their owners. The age group refers to the householder, not all household members. For example, the under-35 rate counts households where the householder is under 35 and the unit is owner-occupied, divided by all occupied units with a householder under 35.
This measure is produced quarterly by the U.S. Census Bureau as part of the Housing Vacancy Survey, a supplement to the Current Population Survey. It is one of the most closely watched indicators of housing opportunity and generational wealth-building.
Historical Data
The Census Bureau’s annual homeownership series by age group, shown in Figure 7 of the Housing Vacancy Survey, extends back to 1982. The long-run pattern is consistent: homeownership rates rise with age, peak among the 65-and-over group, and move with national housing cycles.
- 2004 peak: The national rate reached 69.2 percent during the housing boom.
- Post-2008 decline: The foreclosure crisis and recession pushed rates down, with younger age groups hit hardest.
- Recent period: The national rate has hovered in the mid-60s, below the 25-year average of 66.3 percent.
- Age gradient: In Q4 2025, the spread between the youngest and oldest groups was 41.1 percentage points (37.9% for under 35 vs. 79.0% for 65+).
Year-over-Year Change
The most recent detailed age-group comparison comes from the fourth quarter of 2025, when the national rate held at 65.7 percent. The table below shows year-over-year changes by age group.
| Age group | Q4 2025 rate | YoY change (pp) |
|---|---|---|
| Under 35 | 37.9% | +1.6 |
| 35–44 | 60.9% | -0.5 |
| 45–54 | 69.5% | -1.5 |
| 55–64 | 76.7% | +0.4 |
| 65 and over | 79.0% | -0.5 |
More recent data for the second quarter of 2026 show the under-35 rate fell to 35.2 percent, a decline of 1.2 percentage points from a year earlier — the largest drop among age groups. This reversal highlights the sensitivity of younger households to mortgage rates and the limited supply of entry-level homes.
Ranking Table
Homeownership rates by age group follow a clear ranking, from lowest among the youngest householders to highest among the oldest. Based on Q4 2025 data:
- 65 and over: 79.0%
- 55–64: 76.7%
- 45–54: 69.5%
- 35–44: 60.9%
- Under 35: 37.9%
The gap between the top and bottom age groups is more than 40 percentage points, underscoring how strongly homeownership is tied to age and accumulated financial resources.
Why It Matters
Homeownership is the largest source of wealth for most American families. The age gradient in homeownership therefore has long-term implications for wealth inequality, retirement security, and intergenerational mobility. When younger households are delayed in buying a home, they miss years of potential home equity growth and mortgage principal paydown.
Policymakers, lenders, and homebuilders watch these age-group rates closely. A falling under-35 rate can signal that first-time buyers are being priced out, while a high 65-and-over rate may reflect both past success and the tendency of older owners to age in place rather than sell.
Factors Behind the Trend
Several forces explain the current generational pattern:
- Mortgage interest rates: Elevated rates since 2022 have raised monthly payments, hitting younger, first-time buyers hardest.
- Housing supply: A tight inventory of entry-level homes limits options for younger households.
- Student debt and savings: Younger adults often carry more student loan debt and have had less time to save for a down payment.
- Aging in place: Older homeowners are staying in their homes longer, keeping inventory off the market and sustaining high rates among the 65+ group.
- Delayed household formation: Younger adults are marrying and having children later, which can postpone homebuying.
How the Statistic Is Calculated
The Census Bureau calculates the homeownership rate by dividing the number of owner-occupied housing units by the total number of occupied housing units. For age-group rates, the same calculation is performed within each householder age category. The data come from the Housing Vacancy Survey, which is conducted monthly and reported quarterly. The survey asks whether the unit is owned or rented and records the age of the householder.
Rates are seasonally adjusted for some series, but the age-group homeownership rates are typically reported as unadjusted or with limited smoothing. Comparisons should focus on year-over-year changes rather than quarter-to-quarter movements, which can be noisy.
Limitations of the Data
The Housing Vacancy Survey is a sample survey, so all estimates have sampling error. The Census Bureau cautions that small quarter-to-quarter changes, especially for smaller age groups, may not be statistically significant. For example, the Q2 2026 national rate of 65.0 percent was not statistically different from the Q2 2025 rate or the Q1 2026 rate.
The rental vacancy rate was not statistically different from the rate in the second quarter 2025 (7.0 percent) and virtually the same as the rate in the first quarter 2026 (7.3 percent).
Additionally, the age-group data are based on the householder’s age, which may not capture the full household’s economic situation. The survey also does not measure homeownership intent or affordability directly.
Source & Data Date
Primary source: U.S. Census Bureau, Housing Vacancy Survey, Quarterly Residential Vacancies and Homeownership, Second Quarter 2026, released July 28, 2026. Additional data from the Q1 2026 release (April 28, 2026), Census Figure 7 (annual homeownership rates by age group, 1982–2025), and analyses by Eye On Housing (August 13, 2026) and Pearl (April 30, 2026).
FAQ
What is the current U.S. homeownership rate?
In Q2 2026, the national homeownership rate was 65.0%, according to the Census Bureau. This was not statistically different from the 65.0% rate a year earlier and slightly below the 65.3% rate in Q1 2026. The rate remains below the 25-year average of 66.3% and the 2004 peak of 69.2%.
Which age group has the highest homeownership rate?
Householders aged 65 and over have the highest rate, at 79.0% in Q4 2025. The 55–64 group follows at 76.7%. In contrast, under-35 householders had a rate of 37.9% in Q4 2025, and the rate fell to 35.2% in Q2 2026.
Why is the under-35 homeownership rate so much lower?
Younger households face several barriers: elevated mortgage interest rates, tight supply of entry-level homes, student loan debt, lower savings for down payments, and delayed household formation. These factors make it harder for first-time buyers to enter the market.
How is the homeownership rate by age group calculated?
The Census Bureau divides the number of owner-occupied housing units by total occupied housing units within each householder age group. Data come from the Housing Vacancy Survey, a supplement to the Current Population Survey, and are reported quarterly.
Has the homeownership rate changed much recently?
The national rate has been relatively stable in the mid-60s. It was 65.3% in Q1 2026 and 65.0% in Q2 2026. However, the under-35 rate declined 1.2 percentage points year over year in Q2 2026, the largest drop among age groups.
Leave a Reply