by on April 15, 2011
After a five-year swoon in home prices, many assume that housing may have lost its luster as an investment. However, a nationwide Pew Research Center survey shows this drop in values has done little to shake the confidence of the American public in the investment value of homeownership. According to the survey:
Fully eight-in-ten (81%) adults agree that buying a home is the best long-term investment a person can make.What do homeowners who have lost value think?
Even 82% of homeowners who say their homes are worth less now than before the recession began agree that homeownership is the best long-term investment a person can make.
As for rental housing being the desired choice of habitation for many, the survey shows:
Renters are hardly immune to the allure of homeownership, even in the face of the five-year decline in prices. Asked if they rent out of choice or because they cannot afford to buy a home, just 24% say they rent out of choice. And when renters are asked if they would like to continue to rent or if they would prefer one day to buy a home, 81% say they would like to buy.
Bottom Line
With so many questioning people’s desire for homeownership, we should remember:- 81% of adults still believe that homeownership is the best long term investment available;
- 82% of homeowners who have seen their house lose value still believe that homeownership is the best long term investment available and
- 81% of renters hope to be home owners in the future.
