A recent Pew Research Center study shows the decline in home prices since the housing bubble burst has not adversely affected Americans’ perceptions of home investment value. Eighty-one percent of adults agree that buying a home is still the best long-term investment, according to the study.
“Homeowners are not blind to what has happened to home prices, nor are they expecting a speedy recovery,” a report accompanying the study says. “Among the 1,222 homeowners in the nationwide Pew Research Center telephone survey, about half (47%) say their home is worth less now than before the recession began, and 31% say its value has stayed the same. Just 17% say their home is worth more.”
However, the vast majority agree that buying a home is still the best investment (see chart). Another survey finding suggests homeownership is high on the list of financial goals for many Americans.
Homeownership and “being able to live comfortably in retirement” were rated the highest of four financial goals; with 80% of respondents reporting that those goals are extremely or very important.
Written by Elizabeth Ecker