The Federal Reserve Bank of Minneapolis introduces the homeowners-to-population ratio (HPOP), a new measure showing the U.S. homeownership rate is 53 percent, not the commonly cited 65 percent owner-occupancy rate. The traditional metric counts housing units occupied by owners, while HPOP measures the share of adults who actually own their homes.

Using a hypothetical cul-de-sac with five units and 14 adults, the owner-occupancy rate is 80 percent but HPOP is 50 percent. HPOP includes all adults, capturing 13.9 percent who live in owner-occupied homes but aren't owners themselves—such as adult children, elderly parents, and roommates—who are misrepresented in the standard statistic.

The difference is stark for young adults. The owner-occupancy rate for households headed by adults under 35 was 37 percent in 2024, but HPOP reveals only 22 percent of adults under 35 own homes. For 25-year-olds, HPOP fell from 20 percent in 2006 to 12 percent in 2015, then rose to 14 percent in 2024.

Among adults over 70, HPOP increased 5 percentage points over two decades, versus just 1 point for owner-occupancy, reflecting greater longevity and financial security.