Ohio housing by the numbers: ‘Severe burden’

(WKBN) — Homeownership in Ohio is declining after a period of improvement between 2017 and 2020. It was at a 10-year high back then. By the end of 2022, the rate had fallen 6% – lower than the national average for the first time on record, according to the Fiscal Year 2024 Ohio Housing Needs Assessment from the Ohio Housing Finance Agency.

In 2022, there were 209,612 homes purchased in Ohio – the lowest annual number since 2015. The median home price was 2.6 times the median household income, putting homeownership out of reach for many buyers, and interest rates are further putting prospective buyers on the sidelines.

Historic mortgage holders are spending less on monthly housing than ever before at $1,293, with the median share of income spent on housing at 19% for them. But at the same time, there is severe mortgage burden for recent home buyers. In 2021, 8.4% of Ohio mortgage holders were spending at least half their income on housing, up from a record low of 7.2% in 2019. Mortgage default is a real risk.

While evictions remained low during the pandemic because of moratoriums and state and federal assistance, eviction filings have returned to near pre-pandemic levels at 6.4% in 2022.

Rental vacancies hit their lowest rate in 2021 and remained low through 2022. From 2016 to 2021, there was a 38% decline in the number of vacant units available for sale or rent, but there was a 13% increase in the number of units for seasonal, recreational or occasional use, including short-term rental properties.

Many renters are cost-burdened and at risk of eviction. Median monthly rent in Ohio increased by 10% from $788 in 2012 to $870 in 2021. Rent is higher than in any year on record other than in 2021 when adjusted for inflation, with most spending 28% monthly on rent and 25% spending at least 50% — that’s up from a record low of 23% in 2019.

The report concluded there are not enough affordable rental units for the lowest-income Ohioans. While new residential construction has been steadily increasing since 2009, the pace is still below pre-recession levels. There has been a 29% increase in new construction since 2017, and while low, Ohio beat out neighboring states.

Ohio’s homeownership rate is at 64%. The national average is 66%.

For the latest news, weather, sports, and streaming video, head to WKBN.com.