Based on information made available from the National Association of Realtors, responsible homeownership – buying a home you can afford and keep up – is still a financially sound decision. Home ownership offers long term economic benefit. Even though the market has suffered as a result of bad mortgage lending practices, statistics show that homeownership makes financial sense.
Did you know that: 1. Over the past 41 years home values have risen an average of 5.5% annually. 2. The net worth of your average homowner is 46 times that of a renter. 3. Equity in their home is 43% of an average homeowner’s wealth.
Moreover the tax benefits of homeownership are not available to renters.
Here on the Philadelphia Main Line in Pennsylvania, where prices have for the most part held their own, with exceptions, it is clear that responsible homeownership is the choice of the financially savvy.
The economic benefit, while important, is not the only benefit. Freedom of lifestyle and emotional identification with your neighbors is found in homeownership. It is good for the pocketbook, good for the neighborhood and good for the soul.