Robert R. Callis For Release 10:00 AM EDT, July 22, 1996 Alan Friedman CB96-112 (301) 763-8165 CENSUS BUREAU REPORTS ON RESIDENTIAL VACANCIES AND HOMEOWNERSHIP National vacancy rates in the second quarter 1996 were 7.8 (+/-0.3) percent in rental housing and 1.5 (+/-0.1) percent in homeowner housing, the Department of Commerce's Census Bureau announced today. The Bureau said that neither the rental vacancy rate nor the homeowner vacancy rate was significantly different from the rate last quarter or the rate in the second quarter 1995. Table 1. RENTAL AND HOMEOWNER VACANCY RATES FOR THE UNITED STATES: 1980 to 1996 (in percent) Rental vacancy rates Homeowner vacancy rates First Second Third Fourth First Second Third Fourth Year quarter quarter quarter quarter quarter quarter quarter quarter . . 1996... 7.9 7.8 1.6 1.5 1995... 7.4 7.7 7.7 7.7 1.5 1.6 1.5 1.6 1994... 7.5 7.4 7.2 7.4 1.4 1.4 1.4 1.6 1993r.. 7.8 7.6 7.0 6.9 1.4 1.4 1.4 1.4 1993... 7.9 7.6 7.1 6.9 1.4 1.4 1.4 1.4 1992... 7.4 7.7 7.3 7.1 1.5 1.6 1.6 1.5 1991... 7.5 7.3 7.6 7.3 1.7 1.8 1.8 1.6 1990... 7.5 7.0 7.2 7.2 1.7 1.7 1.7 1.7 1989r.. 7.5 7.4 7.6 7.1 1.7 1.7 1.9 1.8 1989... 7.3 7.3 7.3 6.8 1.5 1.6 1.8 1.6 1988... 8.0 7.7 7.8 7.3 1.6 1.6 1.6 1.6 1987... 7.4 7.5 8.1 7.8 1.7 1.7 1.7 1.6 1986... 6.9 7.3 7.5 7.7 1.5 1.7 1.6 1.6 1985... 6.3 6.2 6.8 6.7 1.8 1.9 1.8 1.6 1984... 5.6 5.5 6.0 6.3 1.6 1.7 1.7 1.7 1983... 5.7 5.5 5.8 5.5 1.4 1.5 1.6 1.6 1982... 5.3 5.1 5.3 5.5 1.4 1.6 1.5 1.6 1981... 5.2 5.0 5.0 5.0 1.3 1.3 1.5 1.4 1980... 5.2 5.6 5.7 5.0 1.3 1.4 1.4 1.4 rRevised. For rental housing, the vacancy rate was highest outside Metropolitan Areas (MAs) (8.8 percent). The rental vacancy rate in the suburbs (7.2 percent) was higher than the rate one year ago, while the rate in central cities (7.8 percent) was lower. There was no significant difference between the central city and suburban vacancy rate. For homeowner housing, the vacancy rate outside MAs (1.9 percent) was higher than the rate in the suburbs (1.2 percent), but not significantly different from the rate in central cities. The homeowner vacancy rate outside MAs was higher than the rate one year ago, while the rate in central cities (1.7 percent) was lower. Among regions, the rental vacancy rate was highest in the South (8.6 percent). The rental vacancy rates in the Northeast, Midwest, and West were not significantly different from each other. The rental vacancy rates in each region did not differ significantly from one year ago. The homeowner vacancy rate was highest in the South (1.9 percent). The homeowner vacancy rate in the West was lower than the second quarter 1995 rate, while rates in the Northeast, Midwest, and South showed no significant change from one year ago. Table 2. RENTAL AND HOMEOWNER VACANCY RATES BY REGION: SECOND QUARTER 1996 AND 1995 (in percent) Rental vacancy rates Homeowner vacancy rates Area 2nd 2nd Std err Standard 2nd 2nd Std err Standard Qtr Qtr on 1996 error on Qtr Qtr on 1996 error on 1996 1995 rate differ- 1996 1995 rate differ- . . United States....... 7.8 7.7 0.2 0.2 1.5 1.6 0.1 0.1 Inside MAs........ 7.5 7.6 0.2 0.3 1.4 1.6 0.1 0.1 In central cities 7.8 8.5 0.3 0.4 1.7 2.2 0.1 0.2 Not in central cities (suburbs). 7.2 6.5 0.3 0.4 1.2 1.3 0.1 0.1 Outside MAs...... 8.8 8.2 0.5 0.6 1.9 1.5 0.1 0.2 Northeast......... 7.6 7.5 0.4 0.6 1.4 1.5 0.1 0.2 Midwest........... 7.2 7.1 0.4 0.5 1.1 1.3 0.1 0.1 South............. 8.6 8.2 0.3 0.4 1.9 1.8 0.1 0.1 West............. 7.2 7.7 0.3 0.5 1.3 1.8 0.1 0.2 There were an estimated 114.2 million housing units in the United States in the second quarter 1996. Approximately 101.1 million were occupied, 66.1 million by owners and 34.9 million by renters. Of the 13.1 million vacant housing units, 9.9 million were for year-round use, while the remaining 3.2 million were intended for seasonal use. Approximately 3.0 million of the year-round vacant units were for rent, 1.0 million were for sale only, and the remaining 6.0 million were vacant for a variety of reasons. Table 3. ESTIMATES OF THE TOTAL HOUSING INVENTORY FOR THE UNITED STATES: SECOND QUARTER 1996 and 1995 (Numbers in thousands) Type Standard Standard 2nd 2nd error on error Qtr Qtr 1996 on 1996 1995 Estimate difference All housing units..... 114,207 112,743 238 331 Occupied......................... 101,082 99,932 246 342 Owner.......................... 66,147 64,668 240 333 Renter......................... 34,935 35,264 197 274 Vacant........................... 13,125 12,811 130 179 Year-round..................... 9,949 9,794 114 158 For rent...................... 2,975 2,969 64 88 For sale only................. 997 1,046 37 52 Other......................... 5,977 5,779 90 123 Seasonal....................... 3,176 3,017 66 90 During the second quarter 1996, the homeownership rate was 65.4 (+/-0.3) percent. The homeownership rate was higher than a year ago, but not significantly different from the rate last quarter. Table 4. HOMEOWNERSHIP RATES FOR THE UNITED STATES: 1980 to 1996 (in percent) Homeownership Rates1 Year First Second Third Fourth quarter quarter quarter quarter . 1996................. 65.1 65.4 1995................. 64.2 64.7 65.0 65.1 1994................. 63.8 63.8 64.1 64.2 1993r................ 63.7 63.9 64.2 64.2 1993................. 64.2 64.4 64.7 64.6 1992................. 64.0 63.9 64.3 64.4 1991................. 63.9 63.9 64.2 64.2 1990................. 64.0 63.7 64.0 64.1 1989r................ 63.9 63.8 64.1 63.8 1989................. 63.9 63.9 64.0 63.8 1988................. 63.7 63.7 64.0 63.8 1987................. 63.8 63.8 64.2 64.1 1986................. 63.6 63.8 63.8 63.9 1985................. 64.1 64.1 63.9 63.5 1984................. 64.6 64.6 64.6 64.1 1983................. 64.7 64.7 64.8 64.4 1982................. 64.8 64.9 64.9 64.5 1981................. 65.6 65.3 65.6 65.2 1980................. 65.5 65.5 65.8 65.5 1Standard errors for quarterly homeownership rates for the United States generally are 0.2 percent. rRevised. Homeownership rates in the second quarter 1996 were highest in the Midwest (70.5 percent) and lowest in the West (59.8 percent). The homeownership rates in Midwest and South were higher than in the second quarter 1995, while rates in the Northeast and West were not statistically different from a year ago. Table 5. HOMEOWNERSHIP RATES FOR THE UNITED STATES AND REGIONS: 1994 to 1996 (in percent) Homeownership Rates2 Year/Quarter U.S. total Northeast Midwest South West 1996 2nd Quarter 65.4 62.3 70.5 67.2 59.8 1st Quarter 65.1 61.4 70.4 67.5 58.9 1995 4th Quarter 65.1 61.6 70.1 67.5 59.0 3rd Quarter 65.0 62.2 70.1 66.6 59.1 2nd Quarter 64.7 62.3 68.5 66.5 59.8 1st Quarter 64.2 61.9 67.9 66.1 58.9 1994 4th Quarter 64.2 61.4 68.6 65.7 59.6 3rd Quarter 64.1 61.4 67.9 66.0 59.0 2nd Quarter 63.8 61.3 67.5 65.2 59.7 1st Quarter 63.8 61.7 66.8 65.6 59.5 2Standard errors for quarterly homeownership rates by region generally are 0.4 percent. Homeownership rates by age of householder ranged from 39.3 percent for householders less than 35 years old to 80.0 percent for householders 55 to 64 years old in the second quarter 1996. The homeownership rate for householders 65 years and over was higher than in the second quarter 1995, while rates for other age groups showed no significant change from a year ago. Table 6. HOMEOWNERSHIP RATES BY AGE OF HOUSEHOLDER: 1994 to 1996 (in percent) Homeownership Rates3 Year/Quarter U.S. Less than 35 to 44 45 to 54 55 to 64 65 years total 35 years years years years and over 1996 2nd Quarter 65.4 39.3 65.5 75.5 80.0 78.9 1st Quarter 65.1 38.8 64.6 75.5 80.2 79.1 1995 4th Quarter 65.1 39.1 65.5 75.2 79.5 78.7 3rd Quarter 65.0 39.1 65.4 75.4 79.3 78.1 2nd Quarter 64.7 38.7 65.1 75.2 79.9 78.1 1st Quarter 64.2 37.7 64.9 74.9 79.4 77.5 1994 4th Quarter 64.2 38.0 64.7 74.9 79.2 77.7 3rd Quarter 64.1 37.5 64.3 75.5 79.4 77.2 2nd Quarter 63.8 36.8 64.6 75.2 79.1 77.2 1st Quarter 63.8 37.1 64.4 75.0 79.3 77.4 3Standard errors for quarterly homeownership rates by age of householder generally are 0.4 percent. The homeownership rate in the second quarter 1996 was highest for White Non-Hispanic householders at 71.7 percent. The homeownership rates for White Non-Hispanic and Black Non-Hispanic householders were higher than in the second quarter 1995. Homeownership rates for Other race Non- Hispanic householders and Hispanic householders showed no significant difference from a year ago. Table 7. HOMEOWNERSHIP RATES BY RACE AND ETHNICITY OF HOUSEHOLDER: 1994 to 1996 (in percent) Homeownership Rates4 Non-Hispanic Year/Quarter U.S. total White Black Other Hispanic 1996 2nd Quarter 65.4 71.7 44.0 50.4 43.9 1st Quarter 65.1 71.4 44.2 51.5 41.4 1995 4th Quarter 65.1 71.2 44.6 52.1 41.1 3rd Quarter 65.0 71.1 43.3 52.0 42.5 2nd Quarter 64.7 70.9 42.3 50.6 42.8 1st Quarter 64.2 70.4 41.5 51.5 41.8 1994 4th Quarter 64.2 70.2 42.9 51.2 42.2 3rd Quarter 64.1 70.0 42.9 51.0 41.4 2nd Quarter 63.8 69.9 42.0 48.5 41.1 1st Quarter 63.8 69.8 42.4 52.5 40.3 4Standard errors for quarterly homeownership rates by race and ethnicity of householder generally are 0.2 percent for White Non-Hispanic, 0.5 for Black Non-Hispanic, 1.0 percent for Other Non-Hispanic, and 0.7 percent for Hispanic householders. The homeownership rate for households with incomes less than the median family income in the second quarter 1996 was 49.2 percent, compared to 80.3 percent for households with incomes greater than or equal to the median family income. The rate for higher-income households was higher than in the second quarter 1995, while the rate for lower-income households was not statistically different from last year. Table 8. HOMEOWNERSHIP RATES BY FAMILY INCOME: 1994 to 1996 (in percent) Homeownership Rates5 U.S. total Households with Households with Year/Quarter family income greater family income or equal to median less than median family income6 family income6 1996 2nd Quarter 65.4 80.3 49.2 1st Quarter 65.1 79.7 49.4 1995 4th Quarter 65.1 79.8 49.4 3rd Quarter 65.0 79.6 49.0 2nd Quarter 64.7 79.5 48.6 1st Quarter 64.2 79.1 48.1 1994 4th Quarter 64.2 78.8 48.6 3rd Quarter 64.1 78.3 48.9 2nd Quarter 63.8 78.4 48.0 1st Quarter 63.8 78.5 48.1 5Standard errors for quarterly homeownership rates by family income generally are 0.3 percent. 6Based on families or primary individuals reporting income. Note: This press release along with more detailed data is available on the Internet. Our Internet address is: https://www.census.gov/hhes/www/hvs.html The data in this release are the result of a sample survey and are, therefore, subject to sampling variability. For example, the standard error on the estimated rental vacancy rate of 7.8 is 0.2 percentage points. Consequently, the 90 percent confidence interval as shown by these data is from 7.5 to 8.1; i.e., the interval 7.8 +/- (1.6 x 0.2) percentage points. Thus, one can say with about 90 percent confidence that the average estimate derived from all possible samples is included in this confidence interval. The 90 percent confidence intervals are shown in the text above for selected items. The standard errors for other figures in this release are given in the tables. Hypothesis testing may be performed at various levels of significance, where a level of significance is the probability of concluding that the parameters are different when, in fact, they are identical. All statements of comparison in the text have passed a hypothesis test at the 0.10 level of significance. This means that, for differences cited in the text, the estimated difference between characteristics is greater than 1.6 times the standard error of the difference. In addition to sampling error, the figures in this release, both the estimates and their standard errors, are also subject to nonsampling error.