The Benefits of Homeownership May Reach Further Than You ThinkMore than ever, our homes have become an integral part of our lives. Today they are much more than the houses we live in. They’re
How Much "Housing Wealth" Can You Build In A Decade???
Dated: February 27 2020
Views: 53
How Much “Housing Wealth” Can You Build in a Decade?
Earlier this month, the National Association of Realtors (NAR) released a special study titled Single-Family Home Price Gains by Years of Tenure. The study estimates median home price appreciation over the last 30 years based on the length of homeownership.
Below are three graphs depicting the most important data revealed in the study.
How much have home prices increased?
One of the first measures of the financial benefits of homeownership is the net worth (in the form of equity) an owner can build over time. The study showed the average increase in home values based on how long homeowners stayed in a home.
What was the percentage of appreciation?
Another way to look at this is by the percentage increase in value over time, called appreciation:
Was this appreciation consistent throughout the country?
Today, when we think of markets that have done well over the last decade, we have a tendency to think about San Francisco, San Diego, Seattle, and other West Coast cities. Though it is true the West Region showed the highest price growth over the last three decades, we can see how every region of the country did quite well in ten-year increments:
This data validates the claim that homeownership is great for building wealth. The importance of this information was highlighted in the study’s first sentence:
“Homeownership is an important source of wealth creation, enabling current homeowners and succeeding generations to move up the economic ladder.”
Bottom Line
Homeownership has many financial and non-financial benefits. The accumulation of “housing wealth” through increased equity is a major one. If you’re thinking of buying a home for the first time or moving up to your dream home, the sooner you make the move, the sooner your net worth will begin to grow.
Jeff Mixson
Thank you for visiting my website. I am a Founding Partner and Realtor® at Accel Realty Partners. Growing up, my family owned a real estate office, so it is not a surprise that I followed in their fo....
Latest Blog Posts
6 Reasons Why Selling Your House on Your Own Is a MistakeThere are many benefits to working with a real estate professional when selling your house. During challenging times like the one
Housing Market Positioned to Bring Back the EconomyAll eyes are on the American economy. As it goes, so does the world economy. With states beginning to reopen, the question becomes: which
#1 Financial Benefit of Homeownership: Family WealthWhile growing up, we were taught by our parents and grandparents that owning a home is a financially savvy move. They explained how a mortgage is
Information provided by Intermountain MLS (IMLS) is deemed reliable but not guaranteed.
The data relating to real estate for sale on this website comes in part from the Internet Data Exchange program of the Intermountain MLS system. Real estate listings held by brokerage firms other than Advanced Idaho Real Estate Search are marked with the IDX icon.
IDX information is provided exclusively for consumer's personal, non-commercial use, that it may not be used for any purpose other than to identify
The data relating to real estate for sale on this web site comes in part from the IDX Program of the Snake River Regional Multiple Listing Service © 2021.
Information provided is deemed reliable but not guaranteed. All properties are subject to prior sale, change or withdrawal. The information being provided is for consumers’ personal, non-commercial use and may not be used for any purpose other than to identify prospective properties consumers may be interested in purchasing.
This content
Coeur D'Alene Association of REALTORS® All information deemed reliable but not guaranteed. All properties are subject to prior sale, change or withdrawal. Neither listing broker(s) or information provider(s) shall be responsible for any typographical errors, misinformation, misprints and shall be held totally harmless. Listing(s) information is provided for consumer's personal, non-commercial use and may not be used for any purpose other than to identify prospective properties consumers may be
Greater Pocatello Association of REALTORS® - All information deemed reliable but not guaranteed. All properties are subject to prior sale, change or withdrawal. Neither listing broker(s) or information provider(s) shall be responsible for any typographical errors, misinformation, misprints and shall be held totally harmless. Listing(s) information is provided for consumer's personal, non-commercial use and may not be used for any purpose other than to identify prospective properties consumers may be interested in purchasing. The data relating to real estate for sale on this website comes in part from the Internet Data Exchange program of the Multiple Listing Service. Real estate listings held by brokerage firms other than Advanced Idaho Real Estate Search may be marked with the Internet Data Exchange logo and detailed information about those properties will include the name of the listing broker(s) when required by the MLS. Copyright ©2021 All rights reserved.
Last Updated: June 23, 2021 11:15 AM UTC
