Real Estate Is Still Considered the Best Long-Term Investment

 

Real Estate Is Still Considered the Best Long-Term Investment

All that's been circulating about rising rates and growing home prices may have you wondering if it still pays to buy into homeownership today. Gallup recently surveyed and found that, yes, it does. And actually, real estate took top spot as a long-term investment every single year for 11 years in a row, topping others like gold, stocks, and bonds (graph below):

If you are thinking of purchasing a home, be encouraged by this survey. In spite of all that is happening today, Americans know that owning a home is a good financial decision.

Why are Americans so Upbeat About Why Investing in a Home is a Good Idea?
Purchasing real estate has always been a sound long-term wealth-building strategy in America. According to Lawrence Yun, Chief Economist of the National Association of Realtors (NAR),:

“.. . owning a home is a wealth-builder across all strata of society. A mortgage payment is equivalent to a forced savings account that will allow a homeowner to create a net worth around 40 times that of a renter's.” That's because buying a house accumulates wealth over time as your house appreciates and as you pay down your mortgage. And, because it's going to take years to accrue that wealth, it may make sense to start as early as possible. If you wait and keep paying rent, you'll be losing those monthly payments that go towards your home equity.

Bottom Line Becoming a homeowner is a good choice. That's why so many believe residential real estate is a better long-term investment. Now that you're ready to start working your way to ownership, contact us today.