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Household Formation and Home Ownership: The Impacts of Demographics andTaxes

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Author Info
Patric H. Hendershott
Abstract

This paper summarizes the impact of economic, social and demographic variables on household formations and home ownership in the 1960-85 period and uses this knowledge to forecast household formations, and their split between owners and renters, through the year 2000. High and low growth forecasts are reported, both with and without enactment of the Tax Reform Act of 1986. The forecasts are compared with those of others. Net household formations are expected to be robust through 1990 (above 1 1/2 million per year), but to tail off sharply in the 1990s (down to 1 million by 2000). Home ownership should rise slightly in the 1990s.

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Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 2375.

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Date of creation: Sep 1989
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Handle: RePEc:nbr:nberwo:2375

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  1. Patric H. Hendershott & Joel Slemrod, 1983. "Taxes and the User Cost of Capital for Owner-Occupied Housing," NBER Working Papers 0929, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  2. Rosen, Harvey S & Rosen, Kenneth T, 1980. "Federal Taxes and Homeownership: Evidence from Time Series," Journal of Political Economy, University of Chicago Press, vol. 88(1), pages 59-75, February. [Downloadable!] (restricted)
  3. Patric H. Hendershott & Marc Smith, 1985. "Household Formations," NBER Working Papers 1390, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  4. Douglas B. Diamond, 1980. "Taxes, Inflation, Speculation and the Cost of Homeownership," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 8(3), pages 281-298. [Downloadable!] (restricted)
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This page was last updated on 2009-11-7.

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