Homeownership remains a major component to financial security and continues to be the largest asset of the majority of households in the U.S. Primary residences account for a quarter of all household wealth, according to data from the Board of Governors of the Federal Reserve System’s Survey of Consumer Finances.
“Homeownership is a primary source of net worth for many Americans, and is an important step in accumulating personal financial assets over the long term,” says Randy Noel, chairman of the National Association of Home Builders.
In the fourth quarter of 2017, households in the U.S. saw a record $14.4 trillion of equity in their homes. However, the homeownership rate in recent years has slipped below its 25-year average. In the fourth quarter, it was at 64.2 percent compared to its historical average of 66.3 percent.
“We must continue to address the obstacles that remain for many potential home buyers,” Noel says.
June marks National Homeownership Month, and REALTOR® associations are reinforcing their commitment to protection homeownership and making it more affordable, attainable, and sustainable.
“REALTORS® pledge to continue to lead efforts that the dream of homeownership is not only possible, but very real, for any and all who want to achieve it, so they can have a place of their own to make memories, start growing their financial future, and build strong communities,” says Elizabeth Mendenhall, president of the National Association of REALTORS®. For resources to mark National Homeownership Month,
visit NAR’s Homeownership Matters.
Source: “Research Hails Housing’s Impact on Financial Security,” Mortgage Professionals America (June 4, 2018) and National Association of REALTORS®
