Study: Homeownership Rates by State [2024]

We recently analyzed four years of homeownership data to determine which regions of the country have experienced the most significant changes in homeownership rates.

Although the reasons behind these shifts vary, it’s clear that certain states have drawn buyers to make home purchases while others see fewer buyers due to economic struggles like debt, inflation, and higher interest rates.

The table below illustrates our findings based on the percentage change in homeownership rates. Homeowner change data is calculated using County Health Rankings data.

Key Findings

We also analyzed the total numeric increase in homeowners over the same four-year period. Here are the top five results showing both the highest and lowest numeric changes by state:

Top States with Numeric Increases in Homeowners:

#1. Florida:

• Homeowners 2020: 4,954,601
• Homeowners 2024: 5,585,924
• Change: +631,323

#2. Texas:

• Homeowners 2020: 5,917,771
• Homeowners 2024: 6,545,727
• Change: +627,956

#3. California:

• Homeowners 2020: 7,085,435
• Homeowners 2024: 7,407,361
• Change: +321,926

#4. Georgia:

• Homeowners 2020: 2,339,981
• Homeowners 2024: 2,565,877
• Change: +225,896

#5. Arizona:

• Homeowners 2020: 1,606,065
• Homeowners 2024: 1,815,352
• Change: +209,287

States with the Least Numeric Increases in Homeowners:

#1. West Virginia*:

• Homeowners 2020: 535,880
• Homeowners 2024: 531,027
• Change: -4,853

#2. North Dakota:

• Homeowners 2020: 197,347
• Homeowners 2024: 202,213
• Change: +4,866

#3. South Dakota:

• Homeowners 2020: 232,636
• Homeowners 2024: 240,328
• Change: +7,692

#4. Wyoming:

• Homeowners 2020: 160,121
• Homeowners 2024: 168,393
• Change: +8,272

#5. Vermont:

• Homeowners 2020: 183,570
• Homeowners 2024: 193,222
• Change: +9,652

Overall Correlation Insights

A strong positive correlation exists between the number of homeowners in 2020 and 2024, indicating that areas with high homeownership rates in 2020 tend to maintain high rates in 2024.

Below, you’ll find a deeper exploration of homeownership in the states with the highest and lowest homeownership rates from 2020-2024:

A Closer Look at Florida

• Population Growth: Florida has experienced substantial population growth due to its warm climate, tax-friendly policies, and appealing lifestyle options. The influx of retirees and remote workers has driven demand for housing.
• Economic Opportunities: Florida's economy has thrived, with solid job markets in cities like Miami, Orlando, and Tampa. The tourism, healthcare, and technology sectors are key contributors to this growth and attract new residents.
• Housing Market: The state's real estate market has been relatively affordable compared to other states, attracting both domestic and international buyers. Additionally, low interest rates have made homeownership more accessible.

A Closer Look at West Virginia

• Economic Challenges: West Virginia has faced economic struggles, particularly with the decline of the coal industry, which has historically been a major employer in the state. This economic downturn has led to job losses and outmigration.
• Population Decline: The state has experienced a relative population decline, with more people leaving than moving in. Young people, in particular, are moving to other states for better job opportunities and living conditions.
• Aging Population: West Virginia has one of the oldest populations in the country. As older homeowners pass away or move to assisted living facilities, younger generations do not have enough demand to replace them.
• Housing Market: The housing market in West Virginia may not be as vibrant as in other states, with lower property values and slower growth. This lack of market dynamism can make homeownership less appealing.
• Limited Economic Diversification: Unlike states with diverse economies, West Virginia's reliance on a few industries makes it vulnerable to economic shifts. The lack of diversification limits job opportunities and economic resilience, affecting homeownership rates.

As housing markets continue to fluctuate, many states with higher homeownership rates experience population growth even as others decline. These post-pandemic shifts may continue into the near future due to the movement for economic opportunities and lifestyle options.

Consumers may be moving and purchasing properties in areas they feel have more job choices and increased earning potential as higher incomes help consumers pay off debts, manage expenses, and invest in the future.

* The apparent contradiction where the number of homeowners decreases but the percentage of homeowners increases can be explained by several factors: a faster decline in the total population than in the number of homeowners, migration patterns where renters move out of the state, and economic conditions leading to home foreclosures or property sales. These factors result in a higher percentage of homeowners, even if their absolute number declines.