{"id":541,"date":"2022-03-28T04:21:00","date_gmt":"2022-03-28T04:21:00","guid":{"rendered":"https:\/\/johnsonteamrealestate.com\/?p=541"},"modified":"2022-04-24T04:37:44","modified_gmt":"2022-04-24T04:37:44","slug":"a-key-to-building-wealth-is-homeownership","status":"publish","type":"post","link":"https:\/\/johnsonteamrealestate.com\/index.php\/2022\/03\/28\/a-key-to-building-wealth-is-homeownership\/","title":{"rendered":"A Key To Building Wealth Is Homeownership"},"content":{"rendered":"\n
\"\"<\/figure>\n\n\n\n

The link between financial security and homeownership is especially important today as inflation<\/a> rises.  But many people may not realize just how much owning a home contributes to your overall net worth<\/a>. As Leslie Rouda Smith, President of the National Association of Realtors<\/em> (NAR), says<\/a>:<\/p>\n\n\n\n

\u201cHomeownership is rewarding in so many ways and can serve as a vital component in achieving financial stability.\u201d<\/em><\/p><\/blockquote>\n\n\n\n

Here are just a few reasons why, if you\u2019re looking to increase your financial stability, homeownership is a worthwhile goal.<\/p>\n\n\n\n

Owning a Home Is a Building Block for Financial Success<\/strong><\/h4>\n\n\n\n

A recent NAR report<\/a> details several homeownership trends and statistics, including the difference in net worth between homeowners and renters<\/a>. It finds:<\/p>\n\n\n\n

\u201c. . . the net worth of a homeowner was about $300,000 while that of a renter\u2019s was $8,000 in 2021<\/strong>.\u201d<\/em><\/p>\n\n\n\n

To put that into perspective, the average homeowner\u2019s net worth is roughly 40 times that of a renter<\/strong> (see visual below):<\/em><\/p>\n\n\n\n

\"A<\/a><\/figure><\/div>\n\n\n\n

The results from this report show that owning a home is a key piece to the puzzle when building your overall net worth.<\/p>\n\n\n\n

Equity Gains Can Substantially Boost a Homeowner\u2019s Net Worth<\/strong><\/h4>\n\n\n\n

The net worth gap between owners and renters exists in large part because homeowners build equity<\/a>. As a homeowner, your equity grows as your home appreciates<\/a> in value and you make your mortgage payments each month.<\/p>\n\n\n\n

In other words, when you own your home, you have the benefit of your mortgage payment acting as a contribution to a forced savings account. And when you sell, any equity you\u2019ve built up comes back to you. As a <\/strong>renter<\/strong><\/a>, you\u2019ll never see a return on the money you pay out in rent every month.<\/strong><\/p>\n\n\n\n

To sum it up, NAR says it simply<\/a>:<\/p>\n\n\n\n

\u201cHomeownership has always been an important way to build wealth.\u201d<\/em><\/strong><\/p><\/blockquote>\n\n\n\n

Bottom Line<\/strong><\/h3>\n\n\n\n

The gap between a homeowner\u2019s net worth and a renter\u2019s shows how truly foundational homeownership is to wealth-building. If you\u2019re ready to start on your journey to homeownership, connect with Mike Bredeson today. You can reach him by calling 360.303.2734 or emailing Mike@JohnsonTeamRealEstate.com.<\/p>\n","protected":false},"excerpt":{"rendered":"

The link between financial security and homeownership is especially important today as inflation rises.  But many people may not realize just how much owning a home contributes to your overall net worth. As Leslie Rouda Smith, President of the National Association of Realtors (NAR), says: \u201cHomeownership is rewarding in so many ways and can serve as a vital component in achieving […]<\/p>\n","protected":false},"author":1,"featured_media":543,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","footnotes":""},"categories":[1],"tags":[],"class_list":{"0":"post-541","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-uncategorized","8":"entry"},"featured_image_src":"https:\/\/johnsonteamrealestate.com\/wp-content\/uploads\/2022\/04\/Mike-Bredeson-29-3-600x400.png","featured_image_src_square":"https:\/\/johnsonteamrealestate.com\/wp-content\/uploads\/2022\/04\/Mike-Bredeson-29-3-600x600.png","author_info":{"display_name":"fawn","author_link":"https:\/\/johnsonteamrealestate.com\/index.php\/author\/fawn\/"},"_links":{"self":[{"href":"https:\/\/johnsonteamrealestate.com\/index.php\/wp-json\/wp\/v2\/posts\/541","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/johnsonteamrealestate.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/johnsonteamrealestate.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/johnsonteamrealestate.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/johnsonteamrealestate.com\/index.php\/wp-json\/wp\/v2\/comments?post=541"}],"version-history":[{"count":3,"href":"https:\/\/johnsonteamrealestate.com\/index.php\/wp-json\/wp\/v2\/posts\/541\/revisions"}],"predecessor-version":[{"id":546,"href":"https:\/\/johnsonteamrealestate.com\/index.php\/wp-json\/wp\/v2\/posts\/541\/revisions\/546"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/johnsonteamrealestate.com\/index.php\/wp-json\/wp\/v2\/media\/543"}],"wp:attachment":[{"href":"https:\/\/johnsonteamrealestate.com\/index.php\/wp-json\/wp\/v2\/media?parent=541"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/johnsonteamrealestate.com\/index.php\/wp-json\/wp\/v2\/categories?post=541"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/johnsonteamrealestate.com\/index.php\/wp-json\/wp\/v2\/tags?post=541"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}