The housing market is finally showing signs of recovery after the housing crash and Great Recession of the late 2000s. The number of foreclosed homes is shrinking, sales of homes are climbing, prices are rebounding and builders are ramping up construction. Yet the share of Americans who own their homes dropped to 65.5 percent in the third quarter — the lowest since 1997. Many of today’s buyers are investors who are snapping up houses in some of the hardest-hit neighborhoods and converting them into rentals, which experts say is a new trend. Analysts wonder whether many Americans are permanently rejecting homeownership in favor of renting. Meanwhile, policymakers are weighing how much the government should help the millions of remaining distressed homeowners and how to reform mortgage financing to avoid another housing debacle.

Barbara Mantel is a freelance writer in New York City whose work has appeared in The New York Times, the Journal of Child and Adolescent Psychopharmacology and Mamm Magazine. She is a former correspondent and senior producer for National Public Radio and has won several journalism awards, including the National Press Club's Best Consumer Journalism Award and Lincoln University's Unity Award. She holds a B.A. in history and economics from the University of Virginia and an M.A. in economics from Northwestern University.