US Increasingly Shuns Home Ownership To Rent

Multifamily housing is only growth sector as vacancy rate is at a five-year low

WASHINGTON — Builders starting on new apartments are busier than ever these days as demand for rentals climbs and the once-sacrosanct American dream of home ownership fades.

The Commerce Department said Tuesday housing starts slipped 1.5 percent in July to a seasonally adjusted annual rate of 604,000 units. But starts on multifamily housing, often used for rentals, rose 7.8 percent to 179,000 units.

The rise in multifamily units reflects an underlying trend in which rentals are increasing while the national home ownership rate declines.

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