5 reasons the millennial home-ownership rate is low

5 reasons the millennial home-ownership rate is low
​Source: Housing Wire 
Millennials waited, and continue to wait, longer than previous generations to own a home, and new data from the Urban Institute reveals why.

The generation's homeownership rate was 37 percent in 2015, about 8 percentage points lower than the rate of Gen Xers and Baby Boomers when they were ages 25 to 34.
MAKING SENSE OF THE STORY

• Delayed marriage: Yes, delaying family formation is, in fact, a hindrance to homeownership. As it turns out, being married increases the probability of owning a home by a full 18 percentage points, after accounting for other factors such as age, income, race/ethnicity and education. If the marriage rate in 2015 had been the same as it was in 1990, the Millennial homeownership rate would be about five percentage points higher.
• Greater racial diversity: White households have the highest homeownership rate by-far, therefore the increasing diversity within the Millennial population also contributes to the lower homeownership rate. If the racial composition remained the same in 2015 as it was in 1990, the Millennial homeownership rate would be 2.6 percentage points higher.
• Increased education debt: Student debt has been a growing problem, and could even be turning into a crisis. But how much does it affect homeownership rates? The Urban Institute’s data shows a 1 percent increase in student debt decreases the likelihood of owning a home by 0.15 percentage points.
• Increased rents: Nationwide, rent just jumped to a new all-time high, surpassing an average $1,400 per month. And now, data shows that a 1 percent increase in a household’s rent-to-income ratio decreases the likelihood of homeownership by 0.07 percentage points.
• Delayed child bearing: Not only are Millennials taking longer to get married, but they are also spending more time before having children. For those who are married, having a child increases the probability of owning a home by 6.2 percentage points