Purchasing a home is more than a transaction—it’s a pivotal part of the American Dream. Owning a home transcends the concept of merely having a residence; it represents belonging, stability, and autonomy. Nicole Bachaud, Senior Economist at Zillow, reinforces this sentiment:
The American Dream is still owning a home. There’s a lot of pent-up demand for ownership; that isn’t going to go away.”
Here are several reasons why homeownership continues to be highly valued in America.
The Financial Benefits of Owning a Home
A key factor in the high regard for homeownership is its role in wealth accumulation. Jessica Lautz, Deputy Chief and VP of Research at the National Association of Realtors (NAR), highlights this:
Homeownership is the number one way to build wealth in America.”
Owning a Triangle area home not only contributes to your personal net worth but also benefits future generations as this wealth is passed down. Habitat for Humanity states:
Overall, homeownership promotes wealth building by acting as a forced savings mechanism and through home value appreciation. Homeowners make monthly payments that increase their equity in their homes by paying down the principal balance of their mortgage. . . . In addition, owning a home promotes intergenerational homeownership and wealth building. Children of homeowners transition to homeownership earlier — lengthening the period over which they can accumulate wealth . . .”
Additionally, homeownership offers financial stability compared to renting. By securing a fixed-rate mortgage, Raleigh homeowners can stabilize their monthly housing costs for the duration of their mortgage.
The Non-Financial Benefits of Homeownership
Beyond financial gains, homeownership enriches lives socially and emotionally. It provides a sense of accomplishment, responsibility, and more. Fannie Mae’s survey reveals key emotional benefits:
The top three were having control over what you do with your living space (94%) to having a sense of privacy and security (91%) and having a good place for your family or to raise your children (90%) . . .”
What Does That Mean for You?
If your vision of the American Dream includes greater independence, safety, and prosperity, becoming a homeowner could be instrumental in realizing that vision. Now, with mortgage rates trending downward, it could be an opportune time to consider this step.
Ready to buy a home in the Triangle? The journey ahead promises not just a home, but a haven for wealth growth and personal fulfillment. As Ksenia Potapov, Economist at First American, notes:
…homeownership remains an important driver of wealth accumulation and the largest source of total wealth among most households.”
The decision to buy a Raleigh home is profound, embodying the essence of the American Dream. If your goal this year includes establishing a place of your own, contact Linda Craft Team Realtors and let’s begin this journey together.