Housing Stock

What is Housing Stock?

Housing stock is the total number of dwelling units available in a specific area at any given time. This metric includes both occupied and vacant units but excludes group quarters such as prisons, college dormitories, hospitals, hotels, and congregate housing. Housing stock is a critical concept in urban planning and real estate as it provides a snapshot of the available residential accommodation within a particular locality or region.

Examples

United States, 2014: In 2014, the housing stock in the United States consisted of approximately 134 million units. Out of these, around 119 million were occupied with an owner-occupied rate of 64.4%. There were also about 17 million vacant housing units included in the housing stock.
United Kingdom, 2021: In 2021, the housing stock in the UK was shown to have approximately 29 million dwellings. The majority were occupied, while a fraction on a similar scale to the US remained vacant.
Australia, 2020: Data from 2020 indicated that Australia had approximately 10 million dwellings in its housing stock, including high rates of both owner-occupied and rental properties, with a relatively smaller number categorized as vacant.

Frequently Asked Questions

What does housing stock include?

Housing stock includes all types of dwelling units, such as single-family homes, apartments, townhouses, and mobile homes. It encompasses both occupied and vacant units but excludes group quarters like prisons and dormitories.

How is housing stock measured?

Housing stock is measured by counting all residential units available in a specific area, typically through national or local housing censuses and surveys.

Why is housing stock an important metric?

Housing stock is an essential metric because it helps urban planners, policymakers, and real estate developers understand the availability of housing and plan for future residential needs. It also impacts housing prices and rental markets.

Does housing stock include temporary lodging facilities?

No, housing stock does not include temporary lodging facilities such as hotels or motels. It focuses on permanent dwelling units.

Vacancy Rate: The percentage of all available housing units that are vacant or unoccupied at a particular time.
Group Quarters: Forms of residential facilities that include group living arrangements, such as prisons, hospitals, and dormitories, which are typically excluded from housing stock.
Homeownership Rate: The proportion of occupied housing units that are owner-occupied.
Residential Real Estate: Properties and land designated for residential purposes, encompassing all types of housing units within the housing stock.
Housing Inventory: A broad term that encompasses various measures of housing units, comparable to housing stock but can also include additional categorizations.

Online Resources

HUD User: A portal to the U.S. Department of Housing and Urban Development studies and data on housing http://huduser.gov.
**Census Bureau Housing Data: **US Census Bureau provides extensive data on housing including housing stock http://census.gov/programs-surveys/ahs.
Office for National Statistics (ONS): UK’s central provider of housing statistics including housing stock http://ons.gov.uk/peoplepopulationandcommunity/birthsdeathsandmarriages.

References

U.S. Census Bureau. “American Housing Survey (AHS).” Accessed January 2023. http://census.gov/programs-surveys/ahs.
Office for National Statistics (ONS). “Housing, UK.” Accessed January 2023. http://ons.gov.uk/peoplepopulationandcommunity/housing.
Australia Bureau of Statistics. “Housing Stock Data.” Accessed January 2023. http://abs.gov.au/statistics/housing.

Suggested Books for Further Studies

“Urban Economics” by Arthur O’Sullivan: This book provides profound insights into the economics of urban areas, touching upon housing stock and its impacts.
“Real Estate Principles: A Value Approach” by David Ling and Wayne Archer: Offers detailed explanations on housing inventories and real estate markets.
“Housing Economics and Public Policy” by Anthony O’Sullivan and Ken Gibb: Addresses both theoretical and practical aspects of housing markets and policies affecting housing stock.

Real Estate Basics: Housing Stock Fundamentals Quiz

### Which types of units are explicitly included in housing stock calculations? - [x] Single-family homes and apartments - [ ] Prisons and dormitories - [ ] Hotels and motels - [ ] All of the above > **Explanation:** Housing stock calculations include single-family homes, apartments, and other permanent dwelling units but exclude transient accommodations like hotels and long-term group quarters like prisons and dormitories. ### What percentage of the housing stock does the vacancy rate represent? - [x] The total number of vacant dwellings - [ ] The total number of occupied dwellings - [ ] Only the owner-occupied units - [ ] Total housing units minus newly built homes > **Explanation:** The vacancy rate represents the percentage of the housing stock that is not occupied, encompassing all types of vacant dwellings. ### Which type of housing is included in housing stock but usually overlooked? - [x] Mobile homes - [ ] Temporary construction trailers - [ ] Prisons - [ ] Hotels > **Explanation:** Mobile homes are included in housing stock calculations, whereas prisons, temporary construction trailers, and hotels are typically excluded. ### Does housing stock include rental and owned properties? - [x] Yes, it includes both - [ ] No, it only includes owned properties - [ ] No, it only includes rental properties - [ ] No, it excludes commercial rental properties > **Explanation:** Housing stock includes both rental and owned properties, as it encompasses all types of dwelling units. ### What impacts does an increase in housing stock typically have? - [x] Can stabilize or reduce house prices - [ ] Always leads to increased house prices - [ ] Decreases rental demand - [ ] Reduces the need for commercial real estate > **Explanation:** An increase in housing stock typically can stabilize or reduce house prices due to an increase in supply vs. demand dynamics. ### Is it true that temporary lodging impacts housing stock data? - [ ] Yes, they are included in housing stock. - [x] No, they are excluded from housing stock data. - [ ] They are partially included. - [ ] Only included during short surveys. > **Explanation:** Temporary lodging facilities like hotels are excluded from housing stock data which focuses only on permanent residences. ### What does housing stock help urban planners to understand? - [x] The availability of residential housing - [ ] The need for more commercial spaces - [ ] The number of schools in an area - [ ] Trends in fashion retail > **Explanation:** Housing stock helps urban planners to understand and manage the availability of residential housing within a particular locality or region. ### How frequently is the data on housing stock usually updated? - [ ] Daily - [x] Periodically, such as annually or every few years - [ ] Monthly - [ ] Hourly > **Explanation:** Housing stock data is typically updated periodically, such as annually or as part of census surveys conducted every few years. ### What does an increase in vacant housing units indicate in terms of housing stock? - [ ] Increased prices - [x] Potential oversupply or declining demand - [ ] Improved housing conditions - [ ] Higher homeownership rates > **Explanation:** An increase in vacant housing units within the housing stock may indicate an oversupply or a decrease in housing demand. ### Which term does not directly relate to housing stock? - [ ] Vacancy Rate - [ ] Occupancy Rate - [ ] Group Quarters - [x] Stock Market > **Explanation:** The term "stock market" is unrelated to housing stock, whereas vacancy rate, occupancy rate, and group quarters are directly related terms.