The city where homeownership has fallen the most during the pandemic

Home sales have skyrocketed during the pandemic. Much of this is due to the relocation triggered by the spread of COVID-19 in large, expensive cities. People have moved to places that allow them to work remotely with a better quality of life. Sales were also boosted by low mortgage rates. Among the effects of this migration, homeownership rates rose in some cities and fell in others.

The rush for door-to-door sales has been a double-edged sword. Rising prices have made some homes unaffordable compared to a year ago. And, stocks collapsed as available housing was quickly recovered. These issues have put life in some cities beyond the reach of buyers who might have moved there not so long ago. The construction of new homes has been slowed by a surge in essential building materials like lumber.

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© Provided by 24/7 Wall St. studied the rise and fall of homeownership in the 75 largest metros using Census Bureau data. Their researchers looked at homeownership rates in the fourth quarter of 2020 and the first quarter of 2021 and compared them to the same quarter of the previous year. Chief Economist Danielle Hale commented:

“Some markets like Albany, Sacramento and Buffalo have clearly benefited from an influx of people leaving big cities like New York and San Francisco, but many other markets are just great places to live that have benefited from increased motivation. home buyers thanks to low mortgage interest rates and a lot of time spent at home over the past year. “

Video: Rents for single-family homes post biggest increases in nearly 15 years (CNBC)

Rents for single-family homes post the biggest increases in almost 15 years

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On the flip side, in some cities outside, investors have bought houses and turned them into rentals, and house prices in other markers have soared beyond affordability. Homeownership in some of these cities has plummeted.

The city where homeownership declined the most over the measured period was Syracuse, where the decline was 8.6%. experts explained:

Like pretty much everywhere else in the country, Syracuse has more potential buyers than homes for sale. This is one of the main reasons that homeownership is declining. The market is so hectic that buyers bidding 20% ​​of the asking price to outbid are commonplace.

Syracuse, however, remains affordable. The median price of a home is $ 220,000, which is at least $ 100,000 less than the national figure.

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