Main Street Surpasses Wall Street in Homeownership

Contrary to fears that Wall Street investors were crowding out average Americans from the housing market, the percentage of American households who own their homes has actually been on the rise since the start of the pandemic. The homeownership rate has climbed to 66%, nearly a full percentage-point increase from the end of 2019, with roughly 6.6 million more owner-occupied housing units today than four years ago. Meanwhile, Wall Street's foray into the housing market has slowed due to increased borrowing costs, unattractive home prices, and slowing rent growth. Regular homebuyers have been staging a comeback, accounting for a larger share of home purchases, and the gains in homeownership have been spread across ethnicities and regions. However, challenges in the housing market, such as supply shortages and demographic trends, continue to impact homebuyers.