Homeowners are more active in their communities, benefit from improved educational opportunities and report higher levels of self-esteem and happiness when compared to renters, according to leading research. A new report from the National Association of Realtors, titled “Social Benefits of Homeownership and Stable Housing,” explores the relationship between stable housing and positive social outcomes.
The national group’s study cites research from government, industry and academia that identifies the relationship between home ownership and stable communities. Homeowners move far less frequently than renters, and therefore are embedded into the same neighborhood and community longer. This allows for social cohesion, ultimately resulting in social benefits and stronger communities.
The studies also found home ownership has a positive impact on educational achievement. The decision to stay in school is significantly higher among teenage students raised by parents who are homeowners compared to those whose parents are renters. Access to economic and educational opportunities is also more prevalent in neighborhoods with high rates of home ownership. Furthermore, studies have shown changing schools frequently due to moving negatively affects a child’s educational outcome.
Civic participation is another social benefit resulting from home ownership and stable housing. Homeowners are proven to be more politically active and are more likely to vote in local elections compared to renters. They are more active in their communities, and have a higher membership in voluntary organizations. Studies have likewise shown homeowners have higher self-esteem and they self-report higher ratings on their physical health.
When it comes to property, homeowners have more invested both financially and emotionally. Homeowners are more motivated to deter crime by forming and implementing voluntary crime prevention programs. In addition, it is easier for homeowners to recognize perpetrators in stable neighborhoods because of extensive social ties. Unstable neighborhoods often display social disorganization that can lead to higher levels of crime.
Along with protecting their home and neighborhood from crime, homeowners spend more time and money maintaining their home than renters. Neighbors also influence other homeowners to improve their property, resulting in a better overall quality of the community.
Even with the long list of benefits derived from home ownership, it may take some time before the housing market fully recovers. The U.S. Census Bureau has announced housing starts in July rose 1.7 percent from June, although permits for new housing units declined 3.1 percent.
“The country’s housing market is currently experiencing a few bumps right now, but in time it will stabilize. There’s no denying the positive outcomes that home ownership brings to families and communities. Home ownership is the preferred goal of most families, and our goal as Realtors is to assist them in achieving this goal,” says Jeff Bell, president of the Silicon Valley Association of Realtors.
Information provided in this column is presented by the members of the Silicon Valley Association of Realtors at www.silvar.org. Send questions on any topic to rmeily@silvar.org.