Sometimes people will tell their children not to follow in their footsteps, but there may be a few reasons for kids to remain in lockstep with their parents.
Children of homeowners are three times more likely to own when they’re adults, according to four decades worth of data from the University of Michigan’s Panel Study of Income Dynamics (PSID).
Trulia reports that among 40-year-olds with a household income of $100,000, the children of homeowners were 79 percent likely to own a house, compared to the kids of renters, who had a 56 percent chance of owning one.
These findings indicate that the current drop in the homeownership rate may not be reversible, and that the share of renters will continue to grow.
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