6 Foundational Advantages of Homeownership Today

Our homes have become more important in our lives than ever over the past year. They are much more than the homes in which we live. They serve as our workplaces, virtual schools, and safe havens, providing shelter, stability, and protection as the health crisis unfolds. Today, 65.8% of Americans are fortunate enough to have their own residence.

It's a great time to consider the advantages of owning a home as we think about the future, our goals for the year, and what we want to accomplish well beyond 2021. The National Association of Realtors (NAR) has provided some highlights and quotes on the advantages of homeownership. These items may give you a reason to believe that homeownership extends far beyond your financial investment, from feel-good motivations to economic and social impacts on the local community.

Non-Financial Benefits

A sense of happiness, satisfaction, and pride comes with owning a home.

• Pride of Ownership: It's nice to have a place that's truly yours, especially when you can customize it to your liking. “The personal satisfaction and sense of accomplishment achieved through homeownership can enhance psychological health, happiness and well-being for homeowners and those around them.”

• Civic Participation: Homeownership fosters prosperity, fosters a sense of community, and encourages civic participation. It's a way to boost the vitality of your community and add value to your property.

Financial Benefits

Purchasing a house is a long-term financial investment.

• Net Worth: Owning a home increases your net worth. Today, all homeowners have a median household net worth of $254,900, while renters have a median net worth of just $6,270.

• Financial Security: The financial benefits of owning a home include equity, appreciation, and more stable monthly housing expenses. The best way to change your long-term financial situation is to buy a home.

Economic Benefits

Homeownership is even a local economic driver.

• Housing-Related Spending: Housing-related expenditures accounted for more than one-sixth of the country's economic activity over the last three decades, making them a powerful economic force throughout the country.

• Entrepreneurship: Homeownership is also a form of forced savings that can provide entrepreneurial opportunities. “Owning a home enables new entrepreneurs to obtain access to credit to start or expand a business and generate new jobs by using their home as collateral for small business loans.”

Bottomline

The benefits of homeownership go well beyond the basics. Homeownership is truly a way to build financial freedom, find greater satisfaction and happiness, and make a substantial impact in your community. If owning a home is part of your dream this year, let’s connect so you can begin the homebuying process today.