Seattle Times number-cruncher Gene Balk recently reported that young adults age 25-34, until recently eager to become homeowners, are passing on the opportunity. Balk’s compelling charts show that in King County:
- Homeownership for this age group dropped from 50% in 1980 to 25% in 2013.
- More dramatically, after homeownership for median-income married couples age 25-34 stayed close to 80% from 1980 to 2007, it fell to only 50% in 2013.
While this trend can be seen across the county, “the rate of the decline here has been more than twice as fast as the national average.”
Possible reasons cited for the trend include:
- Expensive real estate, which is especially unaffordable for young people just starting careers.
- Delay of marriage (which is often paired with buying a home): 53% of King County’s 25- to 34-year olds have never been married compared to 27% in 1980.
- College debt – a 5-fold increase nationally – which can severely limit the ability to save for a down payment and qualify for a mortgage.
- Shifting attitudes towards homeownership, due in part to post-recession wariness, plus an appreciation of the flexibility and freedom from responsibility enjoyed by renters.
For more information on housing in King County, see recent Communities Count updates on:
- Trends of households paying at least 30% of income for housing
- The distribution of households by ownership and cost burden
- The income distributions of King County owners and renters
- The distribution, by income group, of renters and owners with mortgages paying >30% of income for housing
- Housing cost burden by race/ethnicity for renters and owners with mortgages
Additional housing updates will be posted in the coming weeks.