Percentage of young families renting homes jumps

Prof. Michel Straczynski: Families with children under 9 are forced to give up on their dream of owning a home.

The percentage of families with children under nine who are renting their homes jumped from 21% in 2003 to 33% in 2011, a new study has found. The research by Hebrew University Public Policy Institute and Van Leer Institute Prof. Michel Straczynski and Bank of Israel head of public sector analysis Dr. Adi Brender found that there was no such jump in groups without small children such as the over 50s and younger parents without children. The research will be presented Monday at a conference organized by Tel Aviv's Prof. Eran Yashiv for the JDC-Brookdale Institute.

Straczynski told "Globes," "The research data show that the housing crisis mainly hit household groups with small children under 9. They were the ones forced to give up on the dream of owning a home. "

The research also found that housholds with one child under nine that moved from owning an apartment to renting rose from 35% to 45% between 2004 and 2011, while the proportion of households with more than four children that moved from ownership to rental rose from 20% to more than 35%.

The research also compared the assistance given by the Israeli government to that in other OECD countries. Among households in which the woman does not work and the man earns up to 67% of the national average salary, the population that pays negative income tax, the level of assistance was 13.3% below the OECD average. The differential in assistance narrows the more a person earns.

Published by Globes [online], Israel business news - www.globes-online.com - on December 15, 2013

© Copyright of Globes Publisher Itonut (1983) Ltd. 2013

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