Over the last decade, the housing market has gone through a dramatic swing. The large increase in unemployment which resulted from the recent recession coupled with nearly 4 million foreclosures since 2008 reduced the number of homeowners. As a result the homeownership rate fell nationally and in most states across the country.
In 2000, Michigan, Minnesota and Maine were all in the top 5 states as ranked by their homeownership rate. Michigan experience significant economic turmoil during the recession of 2001-2002 as did Minnesota and Maine following the housing bubble.
West Virginia and South Carolina were the only states to remain in the top five by 2011. Both states experienced an expansion of employment over the decade with relatively stable increases in home prices and limited exposure to subprime lending.
Ken Fears is the Manager of Regional Economics and Housing Finance Policy. He focuses on regional and local market trends found in the Local Market Reports and the Market Watch Reports . He also writes on developments in the mortgage industry and foreclosures.