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Homeownership, Stable Communities Go Hand in Hand

Homeowners are more active in their communities, benefit from improved education 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®, entitled “Social Benefits of Homeownership and Stable Housing,” explores the impact of stable housing and positive social outcomes resulting from homeownership.

The national Realtor group’s study cites research from government, industry and academia that identify the relationship between homeownership 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 homeownership 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 homeownership. Furthermore, studies have shown changing schools frequently due to moving negatively impacts a child’s educational outcome.

Civic participation is another social benefit resulting from homeownership 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 which 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 homeownership, it may take some time before the housing market fully recovers. The Commerce Department’s U.S. Census Bureau just 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 homeownership brings to families and communities. Homeownership is the preferred goal of most families, and our goal as Realtors is to assist them in achieving this goal,” said Jeff Bell, president of the Silicon Valley Association of REALTORS®.

The Silicon Valley Association of REALTORS® (SILVAR) is a professional trade organization representing over 4,000 REALTORS® and Affiliate members engaged in the real estate business on the Peninsula and in the South Bay. SILVAR promotes the highest ethical standards of real estate practice, serves as an advocate for homeownership and homeowners, and represents the interests of property owners in Silicon Valley.

The term "REALTOR®" is a registered collective membership mark which identifies a real estate professional who is a member of the National Association of REALTORS® and who subscribes to its strict Code of Ethics.

Variations of this article have appeared in local area newspapers.

For further information, please contact Rose Meily at SILVAR Public Affairs, e-mail , or phone (408) 200-0109.

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