According to a new interactive dashboard from Rice University’s Kinder Institute for Urban Research, homeownership rates in Houston and Harris County are dropping. The data shows that there are 14,000 fewer homeowners within the city of Houston and 19,000 fewer homeowners in Harris County compared to 2023.

Decline in Homeownership

The largest declines in homeownership are among Black homeowners. Kinder Institute research scientist Stephen Averill Sherman stated that these declines are larger than those during the Great Recession and the biggest since the data was tracked yearly starting in 2005.

Sherman noted that the rapid growth of multifamily and rental properties is a major factor affecting homeownership rates. About 60% of Houston households are renters, and as of 2017, Houston has more multifamily housing units, which are disproportionately renter-occupied, than single-family homes.

Concerns for Homeowners

A growing number of homeowners are expressing uncertainty about affording housing. Major concerns include being priced out of housing, affording housing costs, and being forced to move due to being priced out.

The data also shows that a majority of renters are now cost-burdened, spending more than 30% of their income on housing. This is an alarming trend in the market, according to Sherman.

The recent release of draft floodplain maps from the Federal Emergency Management Administration shows that 28% of housing units in Harris County are within the floodplain, adding another level of expense in home flood insurance.

Original reporting: Community Impact — Houston — read the source article.