Housing and Wealth Accumulation: Intergenerational Impacts

It has long been argued that promoting homeownership among low-income households is worthwhile because owned housing may be an important source of savings for these families, and that children raised in owned housing are likely to be more successful well-adjusted members of society. This paper employs the Panel Study of Income Dynamics and a dynamic estimating technique to examine the effect of parents’ housing choices on the likelihood of homeownership and wealth accumulation by their children…