A study issued by the Federal reserve in September of 2014 found that the mean home owner net worth is $764,600. while the mean Renter net worth was only $61, 300, less than one twelfth of the home owner.
The study also included the median net worth of home owners vs. non-home owners and the difference is even more dramatic. The median home owner net worth, in 2013, was $195,400, while the median Renter net worth was $5,400. By this measurement standard the home owners net worth is over 36 times greater than that of a non-home owner.
Referrencing home ownership and wealth creation the New York Times editorial says it best.
“Homeownership long has been central to Americans’ ability to amass wealth; even with the substantial decline in wealth after the housing bust, the net worth of homeowners over time has significantly outpaced that of renters, who tend as a group to accumulate little if any wealth.”
The New York Times also included a nifty little analyzer designed to help you answer the question, is it better to buy or rent?
If you would like to start building your net worth and become a home owner, sit down with an agent from John & Shannon Manning’s team who can explain the benefits of signing a real estate contract to purchase a home rather than signing a lease.
John Manning 801-979-9229
Shannon Manning 801-979-8539
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