Kathy Sullivan Homes

Owning Home vs. Renting

Homeowners Are Happy! Renters? Not So Much.

Homeowners Are Happy! Renters? Not So Much. | MyKCM

When people talk about homeownership and the American Dream, much of the conversation revolves around the financial benefits of owning a home. However, two recent studies show that the non-financial benefits might be even more valuable.

In a recent surveyBank of America asked homeowners: “Does owning a home make you happier than renting?” 93% of the respondents answered yes, while only 7% said no. The survey also revealed:

  • More than 80% said they wouldn’t go back to renting
  • 88% agreed that buying a home is the “best decision they have ever made
  • 79% believed owning a home has changed them for the better

Those surveyed talked about the “emotional equity” that is built through homeownership. The study says more than half of current homeowners define a home as a place to make memories, compared to 42% who view a home as a financial investment. Besides building wealth, the survey also showed that homeownership enhances quality of life:

  • 67% of current homeowners believed their relationships with family and loved ones have changed for the better since they bought a home
  • 78% are satisfied with the quality of their social life
  • 82% of homeowners said they were satisfied with the amount of time they spend on their hobbies and passions since purchasing a home
  • 75% of homeowners pursued new hobbies after buying a home

Homeowners seem to be very happy.

Renters Tell a Different Story…

According to the latest Zillow Housing Aspirations Report45% of renters regret renting rather than buying — more than five times the share of homeowners (8%) who regret buying instead of renting. Here are the four major reasons people regret renting, according to the report:

  • 52% regret not being able to build equity
  • 52% regret not being able to customize or improve their rentals
  • 50% regret that the rent is so high
  • 49% regret that they lack private outdoor space

These two studies prove that renting is just not the same as owning.

Bottom Line

There are both financial and non-financial benefits to homeownership. As good as the “financial equity” is, it doesn’t compare to the “emotional equity” gained through owning your own home.

Posted on October 1, 2019 at 3:44 pm by Kathy Sullivan

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    Kathy Sullivan worked non-stop to help sell my parents home. The home is located on a very busy street and so many buyers thought it to be not a great location to raise a family even thought the house had a lot to offer. Adding to the difficulty was a down... (more)

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    I was very fortunate to have Kathy as my listing broker. She is the real deal. I give her my highest recommendation. As most of you know, selling or buying real estate is a very difficult process. This sale was no exception but Kathy got me through this with... (more)

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    Kathy just recently helped us with the purchase of our first home. We looked for a while and had no idea what we wanted (although even we didn't know that at the time). Kathy helped us focus on what was really important for us in a new home. We ended up in... (more)

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