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Explaining the route to owner-occupation: A transatlantic comparison

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  • Andrew, Mark
  • Haurin, Donald
  • Munasib, Abdul

Abstract

Young adult homeownership rates in the U.S. are considerably lower than in Britain, even though overall homeownership rates in the two countries are almost identical. By implication, U.S. young adults have a slower rate of transition into homeownership. This paper employs a common theoretical and methodological framework to examine the reasons behind the differences in transition rates. The paper also highlights the main issues and barriers associated with entry into this housing tenure in each country. Based on our empirical results, partial simulations are conducted to assess whether the US and the UK require similar or different polices to resolve these issues and help young adults to make their first house purchase.
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  • Andrew, Mark & Haurin, Donald & Munasib, Abdul, 2006. "Explaining the route to owner-occupation: A transatlantic comparison," Journal of Housing Economics, Elsevier, vol. 15(3), pages 189-216, September.
    • Handle: RePEc:eee:jhouse:v:15:y:2006:i:3:p:189-216
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    Cited by:

    1. Guettabi, Mouhcine & Munasib, Abdul, 2015. "The Impact of Obesity on Consumer Bankruptcy," Economics & Human Biology, Elsevier, vol. 17(C), pages 208-224.
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    3. Jeffry Jacob & Abdul Munasib, 2009. "Housing Tenure Choice Implications of Social Networks," Economics Working Paper Series 0901, Oklahoma State University, Department of Economics and Legal Studies in Business, revised 2009.
    4. Jeffry Jacob & Abdul Munasib, 2020. "Do social networks promote homeownership?," International Review of Economics, Springer;Happiness Economics and Interpersonal Relations (HEIRS), vol. 67(2), pages 189-230, June.
    5. Hirota, Shinichi & Suzuki-Löffelholz, Kumi & Udagawa, Daisuke, 2020. "Does owners’ purchase price affect rent offered? Experimental evidence," Journal of Behavioral and Experimental Finance, Elsevier, vol. 25(C).
    6. Geoffrey Meen, 2013. "Homeownership for Future Generations in the UK," Urban Studies, Urban Studies Journal Limited, vol. 50(4), pages 637-656, March.
    7. Boehm, Thomas P. & Schlottmann, Alan M., 2014. "The dynamics of housing tenure choice: Lessons from Germany and the United States," Journal of Housing Economics, Elsevier, vol. 25(C), pages 1-19.

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    JEL classification:

    • R3 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location

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