Benefits to Home Ownership
Being a homeowner is more than just having a roof over your head. Homeownership instills feelings of comfort, security, stability, and pride. However, in addition to these important benefits are substantial social benefits for families, communities, and the country as a whole. A few of these benefits are:
Higher Academic Achievement
One of the most important social benefits of homeownership is how it affects children and their academic achievement.
Several studies show that there is a direct correlation between homeownership and educational achievement. Time and time again, it has been proven that homeowners are more involved in their children’s lives, especially when it comes to schooling.1 Better social outcomes arise as parents provide a more supportive environment for their children.2
Another benefit is that homeowners tend to move less often than renters. This stability adds to a child’s success in school. A study by the New York Federal Reserve Bank found that “though homeownership raises educational outcomes for children, neighborhood stability further enhances the positive outcome.”3
1 “Measuring the Benefits of Home owning: Effects on Children”. Green, Richard K. and Michelle J. White 1997
2 “The Impact of Homeownership on Child Outcomes”. Haruin, Donald R., Toby L. Parcel and R. Jean Haurin 2001
3 “Effects of Homeownership on Children: The Role of Neighborhood Characteristics and Family Income” FRBNY Economic Policy Review. Harkness, J. and S. Newman 2003.
More Cohesive Communities
Homeowners tend to stay in their homes longer than renters. They also spend more money to improve their home and are more engaged in enhancing their community. Simply put, homeowners care more and take more action. Which leads to nicer neighborhoods, stronger communities, and more overall involvement in civic duties.
Better Connected Families
Along with being more involved in their communities, homeowners are more active and connected to their own families. Volunteering at schools, coaching athletic teams, becoming a scout or troop leader are just some of the types of activities homeowners are active in. Throw in simple things like family game night and your home becomes the perfect setting for a more connected, happier family.
Improved Health & Safety
Homeowners are happier and healthier than non-owners. In fact, one study found that people who recently became homeowners reported higher life satisfaction, higher self-esteem, and higher perceived control over their lives. In addition to being more satisfied with their own personal situation than renters, homeowners also enjoy better physical and psychological health.
Homeowners have a financial stake in the value of their homes. Therefore, owners have more incentive to deter crime by forming and implementing voluntary crime prevention programs. Homeownership also contributes to stable communities, and stable neighborhoods contribute to reduced crime rates.
Being a homeowner also has a positive economic impact in your neighborhood, your town, your city, and even on a national level. That’s because homeownership creates jobs: remodeling, landscaping, lawn and pool service, furniture and appliances, home improvement, real estate services. The list goes on and on. In fact, each home purchase generates as much as $60,000 of economic activity in the local and surrounding area.