Home Ownership Rate at Lowest Since 1995

The share of Americans who own their homes is at the lowest level since Q3 1995, standing at 65 percent. Home ownership is lowest in the western states, at 59.4 percent.  Economists predict home ownership levels could drop another 1-2 full points over the next three years considering 10 million Americans still owe more on their mortgages than their properties are worth.  In his 2012 book The Age of Deleveraging economist Gary Shilling predicted an additional 780,000 new renters each year in the U.S. through 2016 as home ownership rates continue falling.

City Identifies Gentrifying Neighborhoods, Recommends Solutions to Maintaining Economic Diversity

An article published in today's Oregonian summarizes a 95-page study recently completed by the City of Portland identifying neighborhoods next "at risk" for gentrification.  The study identifies potential methods for minimizing disruption for existing residents.  The Oregonian also provided an interesting interactive map.

Oregon Economy Continues to Improve

According to a report released this month by the Oregon Economic Forum, Oregon's economic Indicators continue improving:

• Oregon's economic activity rose to 0.33 in April.
• The manufacturing and services sectors contributed positively to the measure, while construction and household sectors dragged. 
• Overall, the Oregon economy is growing near to somewhat above its average rate since 1990.
• The University of Oregon Index of Economic Indicators™ has risen in each of the last seven months.
• Initial unemployment claims fell again, and are now in a region consistent with strong job growth. Initial claims were the lowest since May of 2007, prior to the onset of the last recession.
• Residential building permits (smoothed) are at their highest level since February 2008.

Download a PDF of the full report here.

PSU Releases Quarterly Commercial Real Estate Report

The PSU Center for Real Estate has released its quarterly real estate report. The report contains the news that high demand for rentals is expected to persist over the next several years.  Axiometrics, a leading provider of apartment data and market research, reports effective rent growth remained steady in February at a rate of 3.53 percent.  "...effective rent growth for Class A properties has really slowed down," said Ron Johnsey, president of Axiometrics. "Class B rates have remained relatively steady, but Class C rates have continued to increase," he said.  Click here to download the PDF of the apartment market analysis. For the complete analysis on industrial, retail and office properties, read the full report.

Apartment Rent Growth Holding Strong in Seattle

MPF Research reports that rents in Seattle/Tacoma jumped 2.0% in the first quarter of 2013 for an annual rent growth rate of 4.2%. The rate is impressive compared to other metros.

The Seattle metro area last reported at 4.3% vacancy rate.  Read more from MPF Research.