It’s no wonder that owning a home is often referred to as the American Dream. While statistics show that homeownership is down from historical levels, it is still an aspiration for 61% of Americans. That number is likely to rise as the housing industry continues to recover. That is good news not only for potential first-time homebuyers, but also for the overall economy.
The Importance of Homeownership
For many people, owning a home represents the stability, independence and freedom of reaching adulthood. While that perception may be changing to some degree as more people wait longer to buy homes, it is still a major milestone. Real estate is considered by many to be a sound investment that offers unique wealth-building opportunities.
Buying a home expands options for the future, whether you plan to sell and make a profit or leverage the equity in your home to pay for other major expenses.
Benefitting a Community
Homeownership also helps to improve the areas surrounding individual homes. The housing industry is closely tied to the economy—when home sales are up, so are jobs. Together, these complementary forces create a more stable local, state and national economy. This is why many economic analysts wait for the latest housing numbers to be released before announcing their forecasts, as these numbers help indicate where the overall economy is headed.
The community also benefits from the real estate taxes paid by the property owner. These funds are used for infrastructure services and projects including:
- government social services
- road repair
- library operations
- police and fire protection
- snow removal
- parks and greenways
- other enriching infrastructure projects
- construction of schools