As of the second quarter of this year, the U.S. home ownership rate has fallen to 62.9% of U.S. households – the lowest recorded level since 1965, according to the Census Bureau. But, according to Washington Post opinion writer Charles Lane, the dip may actually be good news, because the current group of home owners has the same amount of equity – 58% – that the record-high home ownership rate had in 2004.
This means the United States now has more economic home ownership than it did when the ownership numbers were high, and the economy might better resist another recession, according to Lane. There still exists an uneven distribution of wealth in the high equity rate, especially for African Americans and Hispanic Americans. Lane does not believe that the solution to this issue lies in government subsidy, as it confers little to no equity.