10/08/2026
๐ ๐๏ธ๐ Traditionally, analysts have calculated homeownership rates as the percentage of units occupied by their owners. In a new report from the , analysts instead proposed and utilized microdata to construct an alternative metricโthe homeowners-to-population ratio or HPOPโwhich instead measures the share of adults who actually own homes. The intention of this paradigm shift is to capture information about adults who would not be classified as owner or renters under the conventional measure, such as parents living with their adult children or vice versa.
As the new measure expands the denominator of the homeownership calculation to include non-homeowners who are also not classified as renters, the HPOP for the U.S. and individual states are consistently lower than the traditional measure. In New Jersey, both the traditional homeownership rate and the HPOP declined between 2006 and 2024, with the traditional rate dropping 3.3 percentage points (ranking 48th among all 50 states plus D.C.) and the HPOP rate falling 2.7 percentage points (ranking 42nd).
Analysts at the Minneapolis Fed recently released a report describing a new approach to measuring homeownership. The authors observed that the traditional approach to calculating homeownership rates reflects the percentage of housing units occupied by their owners. Instead, they propose and use micr...