Buying a home is a powerful decision, and it remains at the heart of the American Dream. Unlike renting, owning a home means more than just having a place to live – it offers a sense of belonging, stability, and freedom. According to Nicole Bachaud, Senior Economist at Zillow:
“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.”
Let’s explore just a few of the reasons why so many Americans continue to value homeownership.
The Financial Benefits of Owning a Home
One possible reason homeownership is viewed so highly is because owning a home is a significant wealth-building tool. That may be why Jessica Lautz, Deputy Chief and VP of Research at the National Association of Realtors (NAR), says:
“Homeownership is the number one way to build wealth in America.”
“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 . . .”
It can also provide meaningful financial stability compared to renting. When you buy with a fixed-rate mortgage, you can lock in your monthly housing payments for the length of your home loan.
The Non-Financial Benefits of Homeownership
But, owning a home offers more than just financial benefits—it benefits you socially and emotionally too. Your home provides feelings of achievement, responsibility, and more. In a recent survey, Fannie Mae outlines just a few of these more emotionally-driven benefits, including:
“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 freedom, stability, and prosperity, Bainbridge Island might just be the perfect canvas to paint your masterpiece. With its breathtaking scenery, vibrant community, and diverse cultural offerings, it's the ideal place to call home.
And, with mortgage rates on a downward trend, there's no better time to consider entering the world of homeownership. The incredible benefits waiting for you aren't just financial; they're the building blocks of a fulfilling life. Like Ksenia Potapov, Economist at First American says:
“...homeownership remains an important driver of wealth accumulation and the largest source of total wealth among most households.”
Bottom Line
Buying a home is a powerful decision, and it doesn't have to be daunting. Let's connect today to explore the possibilities and make your Bainbridge Island dream a reality. You'll gain more than just a house; you'll secure your financial future, create a haven for your loved ones, and embark on a journey of personal growth and fulfillment.