Top Reasons People Buy a Home
So the time has finally come for you to decide whether to buy or rent your home. As part of their ongoing series “The New American Consumer”, Gallup conducted their annual Economy and Finance survey in April. In the poll, Gallup asked participants the open-ended question, “Why did you decided to buy your home rather than rent?” After receiving responses from more than 2,000 Americans, including 1,406 homeowners and 496 renters, they identified the top 5 financial and non-financial reasons to buy.
Top 5 FINANCIAL Reasons
1) See owning as an investment
According to the survey, public optimism about an increase in home prices has grown and continues to do so. 51% of Americans expect home prices to rise in their area, up from 33% a year ago. Most homeowners (16%) cited viewing homeownership as an investment or appreciation in value as the top reason to buy a home.
2) The chance to build equity and credit
12% of participants cited the chance to build equity and credit as one of the top reasons to buy a home.
3) Smarter than paying rent
Coming in at 12%, smarter than paying rent tied with the #2 as one of the top reasons to buy a home. Many of the participants equated renting with “throwing money away”.
4) More cost effective than renting
11% of those who responded reasoned that buying was cheaper or a “better deal” than renting.
5) Financial security and stability
The financial security and stability that can be provided by homeownership ranked as the #5 top financial reason to buy, with 9% of participants providing this reasoning.
Top 5 NON-FINANCIAL Reasons
1) Belief in homeownership
The top non-financial reason for owning was the consensus of 12% of the participants, who said that they believed in owning or had always owned their own home.
2) Don’t Want to Live in a Rental
10% of participants said that their main reason for buying was due to their aversion to living in a rental or paying rent to others.
3) Better Place for the Family
Everyone knows that there’s no place like home. 7% of responses cited family reasons as their top reason for buying a home.
4) Ability to do What They Want
Many restrictions and issues can arise when living in a rental and tenants have no option but to go through the landlord to make any changes. 6% of responses cited freedom and having the ability to do what they want as a top reason for buying.
5) Pride of Ownership
Nothing feels as good as being able to call something your own. Tied with #4, having pride in ownership was the reason 6% of participants gave for buying.
So is it time for you to buy your own home? If so, contact Wilson Realty Group to get set up with one of our buyer specialists today!