Racial and Ethnic Disparities in the Relationship Between Homeownership, Income, and Energy Insecurity

Homeowners generally have more control than renters over the energy efficiency of their home. In this way, homeownership can be protective against energy insecurity. For those with inefficient homes in disrepair, however, homeownership can increase the risk of energy insecurity. Using the 2020 Residential Energy Consumption Survey, we examine race/ethnic differences in the associations between homeownership and energy insecurity. Across most groups, homeowners report less energy insecurity than renters. But for low-income Black households, the reverse is true: homeowners face a higher likelihood of experiencing energy insecurity. This pattern does not appear among White households, for whom homeownership consistently reduces energy insecurity. Only at incomes at or above $100,000 do Black homeowners experience similar levels of energy security to White homeowners. These findings highlight significant racial disparities in how homeownership relates to energy insecurity, particularly for low-income households.