U.S. flag

An official website of the United States government

Skip Header


Evaluation Report Covering Mortgage Related Topics

Written by:

Executive Summary

Test Objective
  • In January through March of 2006, the American Community Survey (ACS) conducted the first test of new and modified content since the ACS reached full implementation levels of data collection. The results of that testing will determine the content for the 2008 ACS.
  • The objectives of the test questions on mortgages and other components of monthly owner costs were to improve the accuracy of the data, especially for mobile home owners with mortgages and/or installment loans. The analysis of the results from the Census 2000 and the American Community Survey suggest that some owners of mobile homes double reported dollar amounts in the mortgage question and the question asking about annual costs for miscellaneous mobile home fees.
Methodology
  • The Content Test compared two versions of the set of questions on mortgage. The control version replicated the wording and placement of the current ACS questions. The test version included the following changes:
  • Adding “mobile home installment loan” to the question and as a response option.
  • Adding the instruction Mark (X) all that apply
  • Combining the response option “mortgage, deed of trust, or similar debt” with “contract to purchase”.
  • Adding the phrase “or mobile home installment loan” to the instruction on regular monthly mortgage payment.
  • Combining the separate questions on inclusion of real estate and insurance costs into one question.
  • Moving the questions on annual real estate taxes and annual payment for fire, hazard, and flood insurance after the second mortgage question.
Research Questions and Results
  • Research Question 1: Given the changes, what proportion of people who own their mobile homes will report mobile home installment loans?
    The results support the hypothesis that mobile home owners who report mobile home installment loans report tenure consistently.
  • Research Question 2: Does making these changes reduce the (dollar amount) reporting of mobile home installment loans in the question on total annual costs for taxes and fees for the mobile home and its site?
    The results support the hypothesis that the changes to the mortgage battery of questions will not affect average mobile home costs.
  • Research Question 3: Does making these changes impact the item non-response rates for any of the questions in the series?
    The results do not support the hypothesis that the item non-response rates will be equal to or less than the control panels. In addition, the fact that real estate taxes are missing at a higher rate in the test version is problematic. In another evaluation report, a write-in entry for property value is being proposed. If we are to adopt that write-in, it is crucial to use the real estate taxes in a combined value/tax edit. A large increase in item nonresponse rates for taxes will be detrimental to the property value as well as the monthly owner costs.
  • Research Question 4: What impact do the changes listed above, particularly the revised ordering of the tax and insurance items, have on the dollar amounts reported for the taxes and insurance questions?
    The results support the hypothesis that the average amounts reported for the “real estate taxes” and “insurance” question are similar in the test and control panels.
  • Research Question 5: What impact do these changes have on the dollar amounts reported for the mortgage question?
    There are no differences in the median mortgage payment. This question is for informational purposes only.
  • Research Question 6: How do the changes to this series of questions impact the estimate of the number of mortgages in general, as well as the estimate of the number of mobile home installment loans?
    The data indicate no change in the percent of households with mortgages for all owneroccupied housing units, as well as owner-occupied mobile homes. This question is for informational purposes only.
Summary of Empirical Results

Although the selection criteria are being met for most of the items, the non-response rates are a big concern. If there is no improvement to the payment information, and people are less likely to respond to the questions, then valuable data are being lost. One important example is the increase in the item nonresponse rate for property taxes (see discussion in section 5.4). Although it would be desirable to obtain specific information on mobile home installment loans, the ultimate goal for the mortgage battery is the collection of accurate information on owner costs for all types of properties.

For the mortgage questions:

  • There is high internal consistency for the mobile home population.
  • There is no reduction in mobile home taxes, site rentals, and miscellaneous fees.
  • There is no reduction in reported amounts for taxes, insurance, and mortgage payments.
  • There is no change in the estimate of number of mortgages.
  • There is a higher nonresponse rate for four of the six items in the mortgage series.

Based on the empirical results, per the selection criteria, the test version offers no improvement over the control version in terms of data quality.

Page Last Revised - October 8, 2021
Is this page helpful?
Thumbs Up Image Yes Thumbs Down Image No
NO THANKS
255 characters maximum 255 characters maximum reached
Thank you for your feedback.
Comments or suggestions?

Top

Back to Header