Is Homeownership Important?


Is Homeownership Important?
By Scott Rogers • February 24, 2011
Buy A Home! It is the American Dream! But why, you might ask? Well, here's a bit of the historical political context for the American Dream, per the National Association of Realtors: President Franklin Delano Roosevelt once said that a nation of homeowners is unconquerable. Margaret Thatcher, with a mantra that homeowners become responsible citizens, privatized and moved 1.7 million families from public housing into private ownership. President Bill Clinton has stated his belief that homeownership and decent housing are an essential part of the American Dream and wanted to make the dream of homeownership a reality for all Americans. President George W. Bush has said ownership has the power to transform people. It is probably safe to say that homeownership seems to be culturally important....but the last several years have left many wondering if the dream of homeownership is worthwhile to pursue. Forbes had an interesting article two weeks ago about whether the American Dream of homeownership is dead. They hypothesize that it is not dead, and base some of their findings on Trulia's recent research showing that 70% of Americans view homeownership as a part of their personal American Dream. But despite the fact that America has prioritized homeownership for decades, and most Americans strive to own a home, it seems that structural changes might be on their way that seem likely to decrease the ability of Americans to fulfill the American Dream. As reported by WHSV earlier this week, "The Obama administration released a report to Congress last week outlining what it wants to do to reform the housing finance market. Some of the proposals include larger down payments, increased fees and possibly ending 30-year mortgages." As summaryized in the Wall Street Journal, "The Obama administration outlined on Friday its plans to begin shrinking the government's broad support of the nation's crippled mortgage market, a process that officials said could take several years and would include phasing out Fannie Mae and Freddie Mac." What would the results be? Again, confirming my hypothesis: "The cost of mortgages is probably going to go up, and homeownership is probably going to go down," said Daniel Mudd, the former chief executive of Fannie Mae who is now CEO of Fortress Investment Group. "Both of those things arguably could be a good thing." This entire train of thought leaves me with more questions than answers, but it seems that we may continue to see some significant transitions in the housing market in the next year years. Stay tuned! Receive Updates by Email Recent Articles: There Are Plenty Of Types Of Houses That Exist That Just Are Not Available To Purchase Home Sales By Price Range In The City Of Harrisonburg Are You Compromising On Aspects Of Your Next Home That You Can Or Cannot Change Later? How Much Slower Are The Winter Months In Our Local Housing Market? Rockingham County and New Home Sales Drive Surge in Area Housing Market Find The Balance Between Optimistic And Realistic Home Pricing Room Size Is Difficult To Understand Solely From Real Estate Photos How Much Would You Value Not Having To Prepare Your Home For Showings? One Out Of Four Homes Is Taking Longer Than A Month To Sell Consider The Cost Of Your Planned Renovations When Planning Your Offer
Have any questions? Contact Scott Rogers at 540-578-0102 or scott@funkhousergroup.com
Based on information from the Harrisonburg-Rockingham Association of REALTORS® or its MLS, for the period Jan 1, 2000 through Nov 21, 2024 (unless otherwise noted).
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