Homeownership is the Top Contributor to Your Net Worth

By
Linda Walters
posted
October 17, 2019
October 17, 2019

Many people plan to build their net worth by buying CDs or stocks, or just having a savings account. Recently, however, Economist Jonathan Eggleston and Survey Statistician Donald Hays, both of the U.S. Census Bureau, shared the biggest determinants of wealth,



“The biggest determinants of household wealth [are] owning a home and having a retirement account.” (Shown in the graph below):

Homeownership is the Top Contributor to Your Net Worth | MyKCM

This does not come as a surprise, as we often mention that homeownership can help you to increase your family’s wealth. This study reinforces that idea,

“Net worth is an important indicator of economic well-being and provides insights into a household’s economic health.”

Having equity in your home can help your family move in that direction, building toward substantial financial growth. According to the report noted above, people are not only creating net worth in the homes they live in, but many are also earning equity in rental property investments too. (See below):

Homeownership is the Top Contributor to Your Net Worth | MyKCM

John Paulson said it well,

If you don’t own a home, buy one. If you own one home, buy another one, and if you own two homes buy a third and lend your relatives the money to buy a home.”

Bottom Line

There are financial and non-financial benefits to owning a home. If you would like to increase your net worth, let’s get together so you can learn all the benefits of becoming a homeowner.

Read next

Sage Updates

Best Paying Cities for Millenials

The housing market was a shining star in 2020, fueling the economic turnaround throughout the country. As we look forward to 2021, can we expect real estate to continue showing such promise? Here’s what four experts have to say about the year ahead.

Read More
Sage Updates

Four Expert Views on the 2021 Housing Market

The housing market was a shining star in 2020, fueling the economic turnaround throughout the country. As we look forward to 2021, can we expect real estate to continue showing such promise? Here’s what four experts have to say about the year ahead.

Read More
A Day in the Life of a Main Line Realtor

How to buy or sell a home that needs work

As a Main Line Real estate agent, I often get asked about homes that need work. The question may be phrased “Can I get a loan to buy and fix up this house that I otherwise love?” Or, “Can I borrow to make repairs that I think my house needs before I can put it on the market?”

Read More

Connect with a Sage

Start a conversation with the Main Line's luxury home experts.
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
Connect with us
Sage Realty LLC
37 West Ave, Suite #202,
Wayne, PA 19087
PA license # RB065378
Linda Walters
Broker of record:
PA license # RM419313