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Examining Homeownership Rates for Single Mothers

The homeownership rate for single mothers nationally in 2017 fell to 31%, which is the most current data available, according to a report by Redfin.  [1]

Redfin’s data shows that the 31% homeownership rate is on par with the 2016 rate, but down from 35.5% in 2010.

The overall homeownership rate nationally is 63.9%, which is also down from almost 70% in 2010. Over the same period of time, median home prices have increased form $207,000 in July 2010 to $291,000 in July 2017.

McAllen, Texas, was home to the highest homeownership rate among single mothers in 2017 at 46.6%. The typical home in McAllen sells for $165,000. Salt Lake City, Utah (41.7%), Grand Rapids, Michigan (41.5%), and Minneapolis, Minnesota (40.3%) followed. 

With the exception of El Paso, Texas, and San Antonio, Texas, all of the top-10 metros for single-mother homeownership have higher-than-national overall homeownership rates. 

“For single mothers, it can be difficult to purchase a home in housing markets where prices are going up and up,” said Salt Lake City Redfin agent Ryan Aycock. “Salt Lake City, along with other Utah communities, have been actively looking for ways to help single mothers and other people on budgets achieve home ownership, and many people have been able to through loan options like the Utah Housing Corporation and various government grants that assist with down payments. This ultimately leads to increased neighborhood stability through homeownership.”

California is home to the four cities with the lowest rates for single mothers: Fresno (20.5%), Los Angeles (20.7%), San Diego (22.4%), and Bakersfield (22.6%). These metros also have homeownership rates below the national average. 

Both Miami, Florida, and Memphis, Tennessee, saw single-mother homeownership rates drop by nearly 10%—the largest decrease in the nation. 

“Although more single moms have entered the workforce since 2015, thanks in part to a growing economy, single mothers haven’t yet been able to gain increased wealth through equity from homeownership. That’s because in many expensive metros, single moms aren’t able to access the benefits of homeownership due to a lack of affordable homes for sale,” said Redfin chief economist Daryl Fairweather.