Heading into 2015 many people have their sights set on buying a home. The personal reasons differ for each buyer, with many basic similarities. Eric Belsky, the Managing Director of the Joint Center of Housing Studies at Harvard University expanded on the top 5 financial benefits of homeownership his paper - The Dream Lives On: the Future of Homeownership in America. Here are the five reasons, each followed by an excerpt from the study:
1.) Housing is typically the one leveraged investment available.
2.) You're paying for housing whether you own or rent.
3.) Owning is usually a form of “forced savings”.
4.) There are substantial tax benefits to owning.
5.) Owning is a hedge against inflation.
We realize that homeownership makes sense for many Americans for an assortment of social and family reasons. It also makes sense financially.
Credit: The KCM Blog