The Future of Household Formation and Homeownership in Louisiana

Forecasting State Homeownership Trends

Trends in household formation and homeownership have important implications for states’ housing markets and broader economies. They also reveal who has benefited from homeownership and who has been shut out of this critical wealth-building tool. To better understand the past and future of household formation and homeownership in Louisiana, we look at trends by age, race, and ethnicity. Our projections, using data from decennial censuses and the American Community Survey, show what will happen over the next two decades if current policies stay the same. For more details on the methodology, see our report.

Household Formation

We look at changes in the number of households (defined as one or more people who live in a housing unit) for four racial and ethnic groups: Hispanic, non-Hispanic white, non-Hispanic Black, and people of other races, which includes Asians, American Indians, Alaska Natives, Native Hawaiians, other Pacific Islanders, and multiracial people (all of whom are non-Hispanic). We also examine household formation trends for people younger than 65 and people ages 65 and older.

Number of Households and Household Growth

Number of Households in Louisiana, by Race or Ethnicity
 
  1990 2000 2010 2020 2030 2040
Total 1,494,123 1,655,821 1,728,340 1,741,407 1,752,902 1,725,485
White 1,046,667 1,105,908 1,113,060 1,077,442 1,040,258 976,274
Black 403,239 475,236 507,710 534,728 563,250 575,734
Hispanic 28,038 34,102 57,770 76,997 88,521 102,329
Other 16,179 40,575 49,800 52,240 60,872 71,147
  Household Growth: Louisiana Household Growth: Nationwide
2010–2020 2020–2030 2030–2040 2010–2020 2020–2030 2030–2040
Total 0.8% 0.7% −1.6% 5.9% 6.4% 5.4%
White −3.2% −3.5% −6.2% 0.1% 0.5% −1.3%
Black 5.3% 5.3% 2.2% 9.9% 10.1% 8.8%
Hispanic 33.3% 15.0% 15.6% 22.1% 19.2% 17.3%
Other 4.9% 16.5% 16.9% 20.9% 20.0% 18.4%

Sources: Decennial censuses, the American Community Survey, and Urban Institute projections.
Notes: Values for 2020, 2030, and 2040 are projected values. The “Other” category includes Asians, American Indians, Alaska Natives, Native Hawaiians, other Pacific Islanders, and multiracial people.

Number of Households in Louisiana, by Age


 

Number of Households in Louisiana, by Age, Race, and Ethnicity
 
  Younger than 65 65 and older
White Black Hispanic Other White Black Hispanic Other
1990 813,360 324,822 23,688 14,814 233,307 78,417 4,350 1,365
2000 848,793 394,377 28,975 35,607 257,115 80,859 5,127 4,968
2010 843,330 420,320 50,630 42,950 269,730 87,390 7,140 6,850
2020 742,720 411,202 65,705 43,130 334,723 123,526 11,292 9,110
2030 649,995 397,346 69,453 47,359 390,262 165,904 19,068 13,513
2040 592,182 395,268 75,303 55,476 384,092 180,466 27,027 15,671
Number of Households in the United States, by Age, Race, and Ethnicity
 
  Younger than 65 65 and older
White Black Hispanic Other White Black Hispanic Other
2000 60,344,232 9,972,344 8,293,773 4,728,999 18,748,904 1,835,658 928,629 627,564
2020 55,784,880 11,872,258 14,733,722 7,456,779 26,591,297 3,379,648 2,550,232 1,616,708
2040 48,524,107 13,051,680 19,825,205 10,817,807 33,236,589 5,553,598 6,026,735 3,088,951

Sources: Decennial censuses, the American Community Survey, and Urban Institute projections.
Notes: Values for 2020 and 2040 are projected values. The “Other” category includes Asians, American Indians, Alaska Natives, Native Hawaiians, other Pacific Islanders, and multiracial people.

Household Racial and Ethnic Composition, by Age, in Louisiana, and Nationwide

Sources: Decennial censuses, the American Community Survey, and Urban Institute projections.
Notes: Values for 2020, 2030, and 2040 are projected values. The “Other” category includes Asians, American Indians, Alaska Natives, Native Hawaiians, other Pacific Islanders, and multiracial people.

Homeownership

We look at changes in homeownership for four racial and ethnic groups: Hispanic, non-Hispanic white, non-Hispanic Black, and people of other races, which includes Asians, American Indians, Alaska Natives, Native Hawaiians, other Pacific Islanders, and multiracial people (all of whom are non-Hispanic). We also examine trends in the number of homeowners and renters younger than 65 and people 65 and older.

Louisiana Homeownership Rates, by Race or Ethnicity
 
  1990 2000 2010 2020 2030 2040
Total 66.0% 67.9% 67.2% 65.9% 65.4% 64.2%
White 72.3% 75.7% 76.0% 77.3% 78.2% 78.5%
Black 50.9% 51.8% 51.1% 46.1% 45.0% 44.0%
Hispanic 53.1% 51.8% 46.1% 47.4% 49.1% 47.8%
Other 54.4% 57.6% 60.7% 61.6% 58.6% 55.8%
National Homeownership Rates, by Race or Ethnicity
 
  1990 2000 2010 2020 2030 2040
Total 65.3% 66.2% 65.1% 64.7% 63.6% 62.2%
White 70.1% 72.4% 72.2% 73.0% 72.5% 71.4%
Black 45.2% 46.3% 44.3% 41.9% 41.1% 40.6%
Hispanic 43.3% 45.7% 47.3% 49.0% 50.2% 51.3%
Other 53.7% 53.0% 56.3% 58.1% 57.9% 57.4%

Sources: Decennial censuses, the American Community Survey, and Urban Institute projections.
Notes: Values for 2020, 2030, and 2040 are projected values. The “Other” category includes Asians, American Indians, Alaska Natives, Native Hawaiians, other Pacific Islanders, and multiracial people.

Homeowners and Renters, by Age, in Louisiana and Nationwide

Louisiana Homeownership Rates, by Age
 
  1990 2000 2010 2020 2030 2040
Younger than 65 62.4% 64.6% 63.4% 60.2% 59.2% 59.0%
65 and older 79.4% 80.4% 81.2% 81.1% 77.7% 73.9%
National Homeownership Rates, by Age
 
  1990 2000 2010 2020 2030 2040
Younger than 65 62.3% 63.0% 61.6% 59.5% 57.5% 56.5%
65 and older 75.8% 78.1% 77.5% 78.4% 76.0% 73.0%

Sources: Decennial censuses, the American Community Survey, and Urban Institute projections.
Note: Values for 2020, 2030, and 2040 are projected values.

Millions of Owners and Renters in Louisiana and Nationwide, by Age

Sources: Decennial censuses, the American Community Survey, and Urban Institute projections.
Note: Values for 2020, 2030, and 2040 are projected values.