You likely remember the quote by Mark Twain, “The Reports of My Death Have Been Greatly Exaggerated.” I found it coincidental that if you listen to a lot of the media, you can agree with KCM's take on the real estate market, as seen by the general public. They used this quote to describe homeownership in America today and, boy, how appropriate! The Census Bureau recently revealed that the percentage of homeowners in the country increased for the first time in thirteen years.
Another quote, "Don't count me out" comes to mind as well! People will always need a home to live in and business savvy people will always choose homeownership over being a tenant...every day of the week. **Of course, there are exceptions - areas whose housing prices are so outrageously expensive that they are only affordable to a small percentage of the population. Those who know they are only going to be relocated under one year and the random other situation where tenancy is preferrable over homeownership.**
As we had many distressed properties across America from 2008 - 2013, it's no wonder it took Americans some time to correct their credit and earn the 'right' to purchase a home once again. I feel confident that this number will only continue to rise each year.
A story in the Wall Street Journal gave these new homeownership numbers some context:
“The annual increase marks a crucial turning point because it comes after the federal government reined in bubble-era policies that encouraged banks to ease lending standards to boost homeownership. This time, what’s driving the market is a shift in favor of owning rather than renting.
In a separate report comparing the rental population in America to the homeowner population, RentCafé also concluded that the gap is now shrinking.
“Undoubtedly, the recession had a great impact on homeownership…However, it looks like it takes more to discourage Americans from buying a house than that.
Pew Research recently asked consumers “How important is homeownership to achieving the American Dream?”
The results were a bit surprising to me:
- 43% said homeownership was essential to the American Dream
- 48% said homeownership was important to the American Dream
- Only 9% said it was not important
This Charlotte Real Estate Agent's Opinion
As KCM shared, 'Homeownership has been, is and will always be a crucial element of the American Dream.' If you read or listen to Warren Buffett, you'll hear, loud & clear, that real estate is the BEST investment you can make to help you achieve your financial goals. Just look at the current volitility in the stock market. Personally, my real estate investments are solid and many of my stock investments are well below last year's values. Granted, I'm not going to be selling either but, just as during the major stock market corrections and crashes, real estate is holding its own - my money is far safer there.
Obviously with homeownership at 64.2%, it makes me wonder where Pew did their polling to get the 43% response!
If you have questions about the real estate market in the Charlotte Metro region, let's talk! Call or text (704) 491-3310 or email DebeM@remax.net.
*Pictured Above – Mark Twain’s home in Hartford, Connecticut, provided by KCM
© Debe Maxwell | The Maxwell House Group | CharlotteBroker@icloud.com | Homeownership 2018 - “The Reports of My Death Have Been Greatly Exaggerated”