Are you considering the idea of buying a home in the near future? Sure, there are concerns about higher mortgage rates, escalating home prices, and affordability challenges that might make you hesitate. But don’t let these factors overshadow the incredible long-term advantages of homeownership!
Think about this: when you speak to folks who made the leap into homeownership 5, 10, or even 30 years ago, you’ll be hard-pressed to find anyone with regrets. Wondering why? Well, it all boils down to how home values steadily appreciate over time and how this growth significantly boosts your own wealth. That’s why a recent Fannie Mae survey revealed that a whopping 76% of respondents believe that buying a home is a sound investment.
Now, let’s take a peek at how the magic of home price appreciation can truly add up over the years.
Soaring Home Prices Over Time
The map below, using data from the Federal Housing Finance Agency (FHFA), illustrates just how impressive price gains have been over the past five years. To provide a broader perspective, the map breaks down these trends regionally:
When you observe the percentage increase in home prices, you’ll notice that, on average, home prices across the nation surged by more than 57% in just five years.
While some regions may slightly exceed or fall short of this average, the overall trend is crystal clear – home prices have made remarkable progress in a relatively short period. And if you extend this time frame even further, you’ll gain an even greater appreciation for the benefits of homeownership and the substantial gains that homeowners have reaped over the years (check out the map below):
The second map reveals that, on a nationwide scale, home prices appreciated by an astonishing average of over 297% over approximately three decades.
This nationwide average tells us that the typical homeowner who purchased a house 30 years ago watched their home value nearly triple over that time span. This is a significant reason why so many homeowners who made that decision years ago are still overjoyed with their choice.
And don’t be swayed by rumors of a housing market crash – it simply hasn’t materialized. In fact, experts anticipate that home prices will continue to rise for years to come.
If you’re wondering whether now is a good time for you to embark on your homeownership journey, remember to keep your focus on the immense long-term advantages it brings. When you’re ready to take the plunge into homeownership, “Let’s Connect and Get You Moving.”
The information contained, and the opinions expressed, in this article are not intended to be construed as investment advice. Keeping Current Matters, Inc. or Mary Ann Uhrenholdt, Licensed Salesperson does not guarantee or warrant the accuracy or completeness of the information or opinions contained herein. Nothing herein should be construed as investment advice. You should always conduct your own research and due diligence and obtain professional advice before making any investment decision. Keeping Current Matters, Inc. or Mary Ann Uhrenholdt Licensed Salesperson will not be liable for any loss or damage caused by your reliance on the information or opinions contained herein.