Two major personal wealth goals – homeownership and net worth – work hand-in-hand. Below are just a few reasons why, if you’re looking for financial security, homeownership should be a top priority.
The gap between homeowners and renters continues to widen. That’s because homeownership contributes massively to an individual’s overall net worth. Odeta Kushi, Deputy Chief Economist at First American, highlights this idea. “. . . between 2016 and 2019, housing wealth was the single biggest contributor to the increase in net worth across all income groups . . . .” When we look even closer at the most recent data from 2019, the average homeowner’s net worth is more than 40 times greater than that of the average renter.