Housing Tenure for Households with Related Children

Change Indicator

(i) Select Table Type:

  • Detailed
  • Sort / Rank

Why This Indicator Matters

While racial and ethnic income disparities have gradually been reduced nationwide, the wealth gap has not. The wealth gap between White households and their Black and Hispanic counterparts persists even when levels of income are similar. [i] In 2013, nationally, at $134,000 the median net worth for White families was twelve times that of Black families at $11,000.[ii]  A house is the most valuable non-financial asset that most families own. In addition to increasing net worth, a home can also be a second stream of income if the property is rented. Families who rent and have no other assets have lower overall net worth, and may have less protection against unexpected financial burdens. Historically, formal policy and informal practice prevented families of color from purchasing homes and building this form of wealth, contributing to vast disparities. According to the Federal Reserve’s Survey of Consumer Finances, families with in the lower  50 percent of the income distribution had a homeownership rate at 46.9%, while those in the top 10 percent by income had a homeownership rate of 91.4%[iii]. In the post-recessionary period, rates of homeownership for households with related children declined statewide in Connecticut, in every county, and in most towns.



[i] Institute for Policy Studies & Prosperity Now. (2017) “The Road to Zero Wealth: How the Racial Wealth Divide is Hollowing Out America’s Middle Class.”

[ii] Thompson, Jeffrey P. and Gustavo A. Suarez (2015). “Exploring the Racial Wealth Gap Using the Survey of Consumer Finances,” Finance and Economics Discussion Series 2015-076. Washington: Board of Governors of the Federal Reserve System, http://dx.doi.org/10.17016/FEDS.2015.076.

[iii] Board's Division of Research and Statistics. (2017). Changes in U.S. Family Finances from 2013 to 2016: Evidence from the Survey of Consumer Finances. Retrieved from, https://www.federalreserve.gov/publications/2017-September-changes-in-us-family-finances-from-2013-to-2016.htm

show more

Selections

Data Provided By

Definitions:

This indicator reports the percentage of housing units occupied by householders and their related children that are owner-occupied and renter-occupied.

Data Source:

U.S. Census Bureau, 2007-2011 and 2012-2016 American Community Survey Estimates, Table B25012.