Why we refer to 'HOME OWNERSHIP' as the American Dream
Posted by Teena Regan Team on Friday, September 8, 2023 at 7:00 AM By Teena Regan Team / September 8, 2023 Comment
Why do we refer to home ownership as The American Dream?
When interest rates are high and unstable, it is a roadblock on the road to the American Dream, however, it's not a dead end! If the ultimate goal is the dignity and responsibility of owning your own home, then you have to look around the roadblock and ask yourself "Where do I want to be in 2-5 years?" The assumption is most of us don't live for free, so our avoidance of home ownership causes us to pay into someone else's dream. We call it rent but it's really us contributing to someone's dream and not our own. Now, I know there are times that short-term rental makes sense, both financially and conveniently, but it's generally not someone's "dream".
Your first home is the most important one you will ever buy. Your first home is the one that will start building that equity pot that will contribute to every other home after that, and that equity pot can make you mortgage free by your 50's. But the first home is also the hardest. $1,000 rent is the same amount of money to someone but it comes with an easy out. 60 days notice. The only way out of a mortgage is to pay it off and that requires long term commitment. It's scary! But 5 years down the road of paying a mortgage vs 5 years down the road of paying rent looks very different. You are either in the position of renewing a lease or you have your house on the market to sell so you can go to your next house. Average time spent in your first home is 5-6 years, not 30.
The American Dream has always had roadblocks. People bought and sold homes when the interest rates were 18%. People bought and sold homes during covid. Every single day! There will always be something that makes us hesitate, but if we are committed to being good stewards of our finances and good caretakers of our homes, then the American Dream is alive and well! Live yours not someone else's!
There is nothing we do as Agents that is more important than helping a first (or second, or fifth) time homebuyer make a wise, sound, long-time beneficial, decision. It is probably the most rewarding experience for us. It matters to us!