Becoming a home owner continues to be major goal for many.
Not only is there an emotional and lifestyle benefit to owning a home but, a recent study of older homeowners shows the long term financial benefits of owning real estate.
Studies show that individuals who are nearing retirement age, and are homeowners are more likely to generate far greater wealth that renters - in both equity and non-housing assets. According to the study from the Joint Center for Housing Studies at Harvard University*, the net worth for home owners over the age of 65 more than 47.6 times higher than the same-age renters, with 45% of their net worth from home equity.
Another finding is that 41% of homeowners over age 65 have mortgages on their homes, compared with about 20% in 1989. The study proposes that some homeowners with high net worth are choosing to not pay off their mortgages, because historically low interest rates are allowing them to pursue other investments.
With a growing population over age 50 now heading up 55% of households on our nation and populations over 70 expected to climb in the next few decades, this is an important housing trend to stay aware of.
Home ownership is one of the greatest investments you can make. Contact me today to start investing in your future.
Donnita Hill 931.526.4455 DonnitaHill.com