By the Numbers – A look at the housing market

Attached is the “By the Numbers” piece from MFS.

Below are two interesting stats about the housing markets in the United States:

“Just 1 out of every 23 home mortgages in America (4.36%) was at least 1 payment past due as of the 2nd quarter 2018. That result is an improvement from the 1 out of every 10 home mortgages (9.85%) that was at least 1 payment past due as of the 2nd quarter 2010 or 8 years earlier.”

“American households headed by individuals under the age of 35 were split 44/56 between homeowners and renters in the 2nd quarter 2004, i.e., 14 years ago. American households headed by individuals under the age of 35 were split 36/64 between homeowners and renters in the 2nd quarter 2018”

While the first numbers indicate that the overall creditworthiness of Americans has improved, the second stat could imply that younger generations are burdened with other debt (student loans), making it difficult to take on the financial responsibility of a mortgage.

Peter Malone, CFA

Research Analyst

Direct: 617.226.0030

Fax: 617.523.8118

Crestwood Advisors

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Suite 500

Boston, MA 02109

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BTN 8-27-18.pdf