What is the current rate of homeownership in the U.S.?

The final quarter of 2025 saw a slight increase in the rate of homeownership in the U.S. compared to the year’s previous quarters, data released by the U.S. Census Bureau shows.  

As of the end of 2025, the percentage of homeownership in the U.S. was 65.3%. 

If you are one of the 65.3% of homeowners, you may wonder what that means besides owning property. As a homeowner, you can tap into the amount of home you own, or equity, to help fund any expenses you may have.  

Two popular options homeowners use to tap into their equity are a refinance and home equity line of credit, or HELOC.  

To be connected with a Loan Officer and find out how much of your home equity you can tap into, start a refinance or HELOC application today. 

According to the National Association of Realtors (NAR), the median age of first-time homebuyers as of November 2025 is 40. This is up from the previous year’s median first-time homebuyer age of 38. 

In the same NAR news report from the end of 2025, the median age of repeat buyers is 62, and the median age of all homebuyers is 59. 

As of March 2025, just over 102 million people in the United States lived in rented homes. This means that around 31.4% of Americans are renters, while the same report also showed that 68.6% of Americans are homeowners. 

This is a key question many people have, and the answer depends on you and your financial situation.  

Buying a home does come with other expenses that renting does not have. But unlike buying a home, many people see renting as giving away money without getting anything at the end.  

Some see paying a mortgage as similar to renting, with the difference being that after your loan term ends, you will fully own your property. 

If the down payment is a concern for you, there are several loans with lower or zero down payment options, depending on your situation and the home you are looking to purchase. 

If you are a current homeowner or a potential homeowner curious about how you could use your home equity to improve your home, two popular options are a HELOC or refinance. 

Using your home equity to improve your home is one of the smartest uses for equity as it could build your home’s value, which could increase home equity as well. 

A HELOC typically offers borrowers a line of credit based on the amount of equity they own in their home. Think of it like a credit card with a limit related to the value of your home minus your mortgage balance. 

After you start a HELOC, you will have time during which you can borrow funds while only needing to pay interest on that amount. After this time, you will not be able to borrow more and will need to start paying back both your loan amount and interest. 

Many borrowers choose to use their HELOC for home improvements since these costs can change slightly as projects get going. And with a HELOC, you will only need to pay back the loan amount you end up using.  

Another positive is if a HELOC is used for home improvements, the interest paid on it could be tax-deductible. Be sure to talk with a tax expert to learn more about any questions you might have regarding deducting the interest paid on a HELOC*. 

Another option borrowers choose when looking to use home equity for home improvements is a refinance, specifically a cash-out refinance. Unlike a HELOC, which is a second mortgage, a cash-out refinance** replaces your current mortgage with one that has new terms. 

With a cash-out refinance, you will get a larger loan limit based on your home’s current value. If you have a mortgage, your funds will first be used to pay that off, giving you the difference in a lump-sum.  

Similar to a HELOC, the funds from your cash-out refinance can be used for any expenses you may have, including home improvements.  

A refinance will also change your loan length and rate. With a cash-out refinance, you will essentially restart your mortgage for however many years you and your lender agree on. This new mortgage will come with updated rates to reflect current mortgage rates. 

Whether you are looking to apply for a HELOC or refinance, you can begin your application online with a trusted lender.  

Online applications can be completed whenever you have time from the comfort of your own home. An online application will connect you with a professional Loan Officer who can answer your questions or help you if needed. 

Apply for a HELOC or refinance from the comfort of your home today! 

^{*Rate does not provide tax advice. The consumer should always consult a tax advisor for information regarding the deductibility of interest and other charges in their particular situation.} 

^{**Using funds from a Cash-out Refinance to consolidate debt may result in the debt taking longer to pay off as it will be combined with borrower’s mortgage principle amount and will be paid off over the full loan term. Contact Rate for more information} 

^{Applicant subject to credit and underwriting approval. Not all applicants will be approved for financing. Receipt of application does not represent an approval for financing or interest rate guarantee. Refinancing your mortgage may increase costs over the term of your loan. Restrictions may apply.} 

^{All information provided in this publication is for informational and educational purposes only, and in no way is any of the content contained herein to be construed as financial, investment, or legal advice or instruction. Rate does not guarantee the quality, accuracy, completeness or timelines of the information in this publication. While efforts are made to verify the information provided, the information should not be assumed to be error-free. Some information in the publication may have been provided by third parties and has not necessarily been verified by Rate. Rate its affiliates and subsidiaries do not assume any liability for the information contained herein, be it direct, indirect, consequential, special, or exemplary, or other damages whatsoever and howsoever caused, arising out of or in connection with the use of this publication or in reliance on the information, including any personal or pecuniary loss, whether the action is in contract, tort (including negligence) or other tortious action.}