Real Estate: Why It’s Still the Best Long-Term Investment
With all the news about changing home prices and increasing mortgage rates, you may be questioning if homeownership is still a good investment. Fortunately, a recent poll from Gallup shows that yes, it is. Real estate has been voted as the best long-term investment for 11 years in a row now – beating out other options like gold, stocks, and bonds (see graph below):
If you’re interested in buying a home, this poll shows that Americans still view it as a great financial decision. Despite recent economic events, investing in real estate remains a strong choice for creating lasting wealth.
Why Do Americans Still Feel So Positive About the Value of Investing in a Home?
Purchasing real estate has been a reliable way to accumulate wealth in America, according to Lawrence Yun, Chief Economist at the National Association of Realtors (NAR). As he states,
“. . . homeownership is a catalyst for building wealth for people from all walks of life. A monthly mortgage payment is often considered a forced savings account that helps homeowners build a net worth about 40 times higher than that of a renter.”
As you own a home, your net worth will continue to grow as the value of your home increases and you make progress on paying off your mortgage. Building wealth takes time, so it’s wise to start as soon as possible. When you wait to purchase a house or keep renting, you won’t be taking advantage of housing payments that contribute to building your equity. Investing in real estate is one of the best ways to create long-term financial security and build wealth for generations to come.
Bottom Line
Making a decision to purchase a home is an incredibly powerful one. No surprise that so many are turning to real estate as the best long-term investment option. Ready to begin your journey toward homeownership? Get in touch with us today! We are here to support your journey and help you make the most of your long-term investments. Invest in real estate now and take control of your financial future!