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Key Facts - Housing

• Numbers of housing units in the seven-county metro area totaled 1,047,240 as of April 1, 2000. The 125,000 new housing units added in the 1990s raised the region’s housing stock count to over one million. While this was substantial growth, fewer units were added during the 1990s than in either of the previous two decades. The Council’s building permit survey indicates that the numbers of apartment units built in the 1990s were less than half of the 61,000 new units constructed in either the 1970’s or 1980’s. Actual estimates of housing units by type (duplex, apartment, etc.) from the 2000 Census should be available by Fall, 2002. Unlike earlier enumerations, only long-form respondents were asked what type of units they live in.
• The Census Bureau defines housing units as the total housing stock, including units that are vacant. The term households, refers to units that are occupied. Very low vacancy rates in the metro area have been apparent since the middle of the 1990s—with some experts saying that the even multifamily vacancy rates were lower than two percent. Comparisons of the residential vacancy rates among the 25 largest metro areas in the U.S. showed the lowest vacancy (2.8%) in the Twin Cities. Twenty of the 25 had rates over 5%--the lowest rate considered by experts to indicate a healthy housing market. Boston (4.2%), Denver (3.8%) San Diego(4.4%) and San Francisco (3.5%) fell under 5% along with this MSA. The very low rates in the Twin Cities represented a very tight housing market—with not enough available rental units to keep up with demand. More recent reports show a move toward increased multifamily vacancy rates—or to a better market, providing more choice for renters.
• The region’s household count also topped one million with a 2000 Census figure of 1,021,454. Although not as high as the 21.4% household growth between 1980 and 1990, the region added almost 146,000 new households, a 17% gain from 1990 to 2000.
• High homeownership rates are often cited as an indication of regional economic prosperity. For the seven metro counties the rate is 71.4 % -- one of the highest in the nation. In fact, compared with the Census results of the 25 most populous metro areas in the nation, the Twin Cities 13-County MSA ranks first in ownership rates.
• The central cities of Minneapolis and St. Paul are home to about 44% of the region’s renters. About 49% of households in Minneapolis are renter-occupied and 47% of households in St. Paul. The older, fully developed suburbs surrounding the central cities also have a substantial share of lifecycle housing—housing for residents at all stages of their lives—from their young adult years through retirement years.
• As well as a healthy economy, the high ownership rates in the metro area may also signal a need for a more diverse housing stock in some areas of the region. The Council’s Livable Communities program promotes the provision of a range of housing of sizes, types and costs so that local residents can find the type of housing to fit their needs.
• Nearly two-thirds of households in the region are family households, or consist of two or more related individuals. Family composition didn’t change significantly during the 1990s; married couple families dropped from 53.8 percent of all households to just over half of all households in 2000. Married couples with children now make up only about 25% households in the region, state and nationwide.
• About 84,000 households are headed by a single-parent—the percentage of single-moms dropped slightly from 1990, and the percentage of single-dads rose from 1.4% in 1990 to 1.8% in 2000. The region had about 6.4% single-parent households through the seventies, and just over 8% in the 1980s and 1990s.
• One in three households was a non-family household made up of two or more unrelated individuals in 2000. Single person households increased from 25% of households in the 1970s and 1980s to 27.5% by 2000.