Owning Your Home Brings Benefits
The most recent Housing Pulse Survey released by the National Association of Realtors (NAR) revealed the 2 biggest reasons people want to own a home rather than rent are:
- The opportunity to build equity
- A stable and safe environment.
John Taylor, CEO of the National Community Reinvestment Coalition, explains that those who lack the opportunity to own a home have lesser ability to reinvest their money:
“We traditionally have been huge supporters of homeownership. We see it as a way to provide stability for households but also as an asset-building strategy. If you continue to be a renter, locked out of the homeownership arena, increasingly those things are further and further out of reach. They’re joined at the hip. They perpetuate each other.“
You may question if owning your home really creates a more stable environment for your family. A survey of property managers conducted by rent.com disclosed two reasons renters should be concerned about their housing situation:
- 68% of property managers predict rental rates will continue to rise in the next year by an average of 8%.
- 53% of property managers said they were more likely to bring in a new tenant at a higher rate than negotiate and renew a lease with a current tenant they already know.
Real Estate Bottom Line
Homeownership offers a more stable environment than renting and gives the opportunity to build your family’s net worth.