Studies show that most Americans see a home as the top investment.
Today’s Real Talk Segment is about how homes compare as investments for Americans and 3 benefits to today’s low rates. Porch.com, a major network helping homeowners with their renovation projects, recently conducted a survey which asked Americans: “What do you believe is the safest investment over the next 10 years?”. U.S. housing came in at number one at 27.2% a savings account was second 21.8 then gold at 16%.
The findings of the Porch.com survey also coincides with two previous surveys done earlier this year. The Federal Reserve Bank’s 2019 Consumer Expectations Housing Survey reported that 65% of Americans believe homeownership is a good financial investment, and that the percentage has increased in each of the last four years.
In addition, the Gallup survey showed that Americans have picked real estate as the “best” investment for six straight years. Based on all three surveys done this year, we can see that Americans still believe in homeownership as a great investment, and that feeling continues to grow. 35% see real estate as the best long-term investment
On another note, with interest rates so low right now it's a great time to invest in homeownership. What are some of the other benefits the low interest rates? One is Refinance. If you already own a home, you may want to decide if you’re going to refinance. It’s one way to lock in a lower monthly payment and save substantially over time, but it also means paying upfront closing costs too.
You have to answer the question: Should I refinance my home? Another option is to consider moving into a new home, putting the equity you’ve likely gained in your current house toward a down payment on a new one that better meets your needs - something that’s truly a perfect fit for your family. Lastly these low rates are great for first time homebuyers. There are many financial and non-financial benefits to owning a home, and the most important thing is to first decide when the time is right for you. You have to determine that on your own, but know that now is a great time to buy if you’re considering it.