For decades, homeownership has been a staple of the “American Dream,” and continues to be so today. Owning your own home is one of the most rewarding purchases you’ll ever make. It provides you and your family a sense of confidence and stability. Your home shows a commitment to your community and your family’s future. But, there are also many aspects of your family’s everyday life that improve with homeownership.
The social benefits of stable housing and homeownership were studied in the National Association of REALTORS®’ (NAR) study, Social Benefits of Homeownership and Stable Housing. The research supports the view that homeownership brings substantial social benefits. Specifically, the report emphasizes the positive impact that homeownership has on the educational achievement of children. Studies show that children of homeowners have high levels of achievement in math and reading, as well as fewer behavioral problems. The sense of stability and community that arise from owning the same home year after year reflect directly on children, too.
The study also found that homeownership can lead to better health benefits. Owning your own property and space provides a sense of self-esteem and a higher perceived “control” of your life. Of course, each person’s situation is unique, but the confidence that arises from your commitment to a home and community reflects on you and your family. The study even cited an improvement in self-esteem from people whom had previously been renting the same home that they now owned.
Even financially, owning a home is less expensive in the long run. The current mortgage interest rate for a 30-year fixed mortgage hovers around four percent. At this rate, investing in a home ends up saving money versus renting the same home. According to Forbes, buying remains cheaper than renting, as long as mortgage rates are below 10.5 percent. In fact, at the current 3.9 percent for a 30-year fixed rate, buying a home is 41 percent cheaper than renting.
The important takeaway here is that owning a home provides you and your family a stable environment, one in which all of you can thrive. But, you must be sure that you’re ready for the responsibilities of owning your own home, and make sure that you can afford it. Talking with your REALTOR® is the best way to start this process. Your REALTOR® will know the proper steps to prepare you for this important investment. Stay tuned to AustinHomeSearch.com for more homeownership tips and trades, and best of luck on finding the perfect home in Central Texas.