Remember the Social Benefits of Homeownership!

Remember the Social Benefits of Homeownership! 1The great Toronto discussion is often centered on Real Estate and the market…is it up? is it down? is it a BUBBLE??

I have always felt that Torontonians are too focused on the monetary value of property and not the social value of Homeownership. Recently in the U.S. the National Association of REALTORS® released a study on the Social Benefits of Homeownership and I thought this would be a great reminder for those who have bought or are thinking of buying:

Social Benefits of Homeownership and Stable Housing

In addition to tangible financial benefits, research has shown that homeownership brings substantial social benefits for families, communities, and the country as a whole. Because of these societal benefits, policy makers have promoted homeownership through a number of channels. Homeownership has been an essential element of the American Dream for decades and continues to be so even today.

Some of the documented social benefits include:

 Increased charitable activity

 Civic participation in both local community and national issues (including voting)

 Greater awareness of the political process

 Higher incidence of membership in voluntary organizations and church attendance

 Greater social capital generated

 Greater attachment to the neighborhood and neighbors

 Lower teen pregnancy by children’s living in owned homes

 Higher student test scores by children’s living in owned homes

 Higher rate of high school graduation thereby higher earnings

 Children more likely to participate in organized activities and have less television screen time

 Homeowners take on a greater responsibility such as home maintenance and acquiring the financial skills to handle mortgage payments and those skills transfer to their children

 Lower teenage delinquencies

 General increase in positive outlook to life

 Homeowners reported higher life satisfaction, higher self-esteem, happiness, and higher perceived control over their lives

 Better health outcomes, better physical and psychological health

 Tremendous wealth gains for homeowners under normal housing market conditions (outside of the terrible bubble/bust housing years)

 Homeowners not only experience a significant increase in housing satisfaction, but also obtain a higher satisfaction even in the same home in which they resided as renters

 Family financial situation and housing tenure during childhood and adulthood, impacted one’s self-rated health (in particular, the socioeconomic disadvantaged indicated by not being able to save any money or not owning or purchasing a home are less likely to self-rate their health as excellent or very good).

 Less likely to become crime victims

 Homeowners better maintain their homes, and high quality structures also raise mental health -renter-occupied housing appreciates less than owner-occupied housing

 Housing prices are higher in high-ownership neighborhoods

 Maintenance behavior of individual homeowners is influenced by those of their neighbors

Please keep this list as a reminder! 

One Reply to “Remember the Social Benefits of Homeownership!”

  1. The huge benefit of homeownership is stable family, less problems, financial stability, secure life. Safe from paying rent. It makes you feel secure in your own home and improves psychological health.

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