{"id":2535,"date":"2022-03-28T14:27:17","date_gmt":"2022-03-28T14:27:17","guid":{"rendered":"https:\/\/phphouses.com\/blog\/?p=2535"},"modified":"2022-03-28T14:27:17","modified_gmt":"2022-03-28T14:27:17","slug":"key-building-wealth-homeownership","status":"publish","type":"post","link":"https:\/\/phphouses.com\/blog\/key-building-wealth-homeownership\/","title":{"rendered":"A Key To Building Wealth Is Homeownership"},"content":{"rendered":"
\"\"

A Key To Building Wealth Is Homeownership<\/p><\/div>\n

The link between financial security and homeownership is especially important today as inflation <\/a>rises.\u00a0 But many people may not realize just how much owning a home contributes to your overall net worth<\/a>. As Leslie Rouda Smith, President of the National Association of Realtors<\/em> (NAR), says<\/a>:<\/p>\n

\u201cHomeownership is rewarding in so many ways and can serve as a vital component in achieving financial stability.\u201d <\/em><\/p><\/blockquote>\n

Here are just a few reasons why, if you\u2019re looking to increase your financial stability, homeownership is a worthwhile goal.<\/p>\n

Owning a Home Is a Building Block for Financial Success<\/strong><\/h4>\n

A recent NAR report<\/a> details several homeownership trends and statistics, including the difference in net worth between homeowners and renters<\/a>. It finds:<\/p>\n

\u201c. . . the net worth of a homeowner was about $300,000 while that of a renter\u2019s was $8,000 in 2021<\/strong>.\u201d<\/em><\/p>\n

To put that into perspective, the average homeowner\u2019s net worth is roughly 40 times that of a renter<\/strong> (see visual below):<\/em><\/p>\n

\"Graph\"

The Difference in Net Worth is Significant<\/p><\/div>\n

\n
\n
\n

The results from this report show that owning a home is a key piece to the puzzle when building your overall net worth.<\/p>\n

Equity Gains Can Substantially Boost a Homeowner\u2019s Net Worth<\/strong><\/h4>\n

The net worth gap between owners and renters exists in large part because homeowners build equity<\/a>. As a homeowner, your equity grows as your home appreciates<\/a> in value and you make your mortgage payments each month.<\/p>\n

In other words, when you own your home, you have the benefit of your mortgage payment acting as a contribution to a forced savings account. And when you sell, any equity you\u2019ve built up comes back to you. As a <\/strong>renter<\/strong><\/a>, you\u2019ll never see a return on the money you pay out in rent every month.<\/strong><\/p>\n

To sum it up, NAR says it simply<\/a>:<\/p>\n

\u201cHomeownership has always been an important way to build wealth.\u201d<\/em><\/strong><\/p><\/blockquote>\n

Bottom Line<\/strong><\/h3>\n

The gap between a homeowner\u2019s net worth and a renter\u2019s shows how truly foundational homeownership is to wealth-building. If you\u2019re ready to start on your journey to homeownership, let\u2019s connect today.<\/p>\n<\/div>\n<\/div>\n<\/article>\n

Contact us:<\/strong>
\nPHP Houses
\n142 W Lakeview Ave
\nUnit 1030
\nLake Mary, FL 32746
\nPh:\u00a0(407) 519-0719<\/span>
\nFax:\u00a0(407) 205-1951<\/span>
\nemail:\u00a0info@phphouses.com<\/p>\n

Let\u2019s Connect:<\/strong>
\nFacebook<\/a>
\nLinkedin<\/a>
\nTwitter<\/a>
\nInstagram<\/a><\/p>\n

The information contained, and the opinions expressed, in this article are not intended to be construed as investment advice. The author does not guarantee or warrant the accuracy or completeness of the information or opinions contained herein. Nothing herein should be construed as investment advice. You should always conduct your own research and due diligence and obtain professional advice before making any investment decision. The author will not be liable for any loss or damage caused by your reliance on the information or opinions contained herein.<\/em><\/h5>\n

 <\/p>\n","protected":false},"excerpt":{"rendered":"

Here are just a few reasons why, if you\u2019re looking to increase your financial stability, homeownership is a worthwhile goal. Finish Reading A Key To Building Wealth Is Homeownership<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[69],"tags":[59,38,414,129,111,110,18,27,91,128,57,86,52,67,32,203,49,355,42,415,46,367,63,20,48,47,19,78],"_links":{"self":[{"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/posts\/2535"}],"collection":[{"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/comments?post=2535"}],"version-history":[{"count":1,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/posts\/2535\/revisions"}],"predecessor-version":[{"id":2538,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/posts\/2535\/revisions\/2538"}],"wp:attachment":[{"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/media?parent=2535"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/categories?post=2535"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/tags?post=2535"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}