Homeownership is a major part of the American Dream. As evidence of that, 91% of Americans believe that owning a home is either essential (43%) or important (48%) to achieving that “dream.” In a market where some people may be unsure about the benefits and possibilities of buying a home, it is important that we remember this.
Homeownership is NOT just about the money. In fact, some of the major benefits are non-financial. Here are a few of those benefits as per the National Association of Realtors:
- Consistent findings show that homeownership does make a significant positive impact on educational achievement.
- Several researchers have found that homeowners tend to be more involved in their communities than renters.
- Early studies of homeownership and health outcomes found that homeowners and children of homeowners are generally happier and healthier than non-owners, even after controlling for factors such as income and education levels that are also associated with positive health outcomes and positively correlated with homeownership.
Homeownership means something more to people and their families than just the financial considerations.
Report: Homeownership Is a Precondition of the American Dream
Hearth just released their 2017 State of the American Dream report which showed that Americans still see homeownership as an integral piece of the American Dream. The report confirmed that “all generations–including millennials–agree homeownership is very important to achieving the American Dream.”
Americans ranked “owning a home I love” higher than any other options (including “starting a family” and “finding a fulfilling career”) as an important part of the American Dream.
Despite some claims that homeownership’s importance to the American Dream is in decline, the report found that the dream of homeownership remains strong. Home Buying Checklist
Of Americans who said they think achieving the American Dream is important, 70% think homeownership is important to the dream, and 41% think homeownership is very important to the dream. Home Buying Checklist
What about Millennials?
84% of Americans Believe Buying a Home is a Good Financial Decision
According to the National Association of Realtors®’ 2017 National Housing Pulse Survey, 84% of Americans now believe that purchasing a home is a good financial decision. This is the highest percentage since 2007 – before the housing crisis. Those surveyed pointed out five major reasons why they believe homeownership is a good financial decision: Home Buying Checklist
- Homeownership means the money you spend on housing goes towards building equity, rather than to a landlord
- Homeownership creates the opportunity to pay off a mortgage and own your home by the time you retire
- Homeownership is an investment opportunity that builds long-term wealth and increases net worth
- Homeownership means a stable and predictable monthly mortgage payment
- Homeownership allows for various deductions on federal, state, and local income taxes
The survey also revealed that the majority of Americans strongly agree that homeownership helps create safe, secure, and stable environments. Home Buying Checklist
Are You 1 of the 59 Million Planning to Buying A Home This Year?
According to a survey conducted by Bankrate.com, one in four Americans are considering buying a home this year. If this statistic proves to be true, that means that 59 million people will be looking to enter the housing market in 2017.
The survey also revealed 3 key takeaways:
- Those most likely to buy are ‘Older Millennials’ (ages 27-36) or ‘Generation X’ (ages 37-52) Home Buying Checklist
- Minorities, particularly African-Americans, were twice as likely to respond that they were considering purchasing a home this year than white respondents. Home Buying Checklist
- Many potential buyers believe they need to put 20% down and need to have perfect credit to own and are unaware of programs that would allow them to buy now. Home Buying Checklist