Homeownership builds financial security. The net worth of a typical homeowner is nearly 40 times the net worth of a non-owner. The total value of owner-occupied housing rose by $8.2 trillion in the last decade, and the typical homeowner has accumulated more than $200,000 in housing wealth due to price appreciation.
However, a historic 50-year record shortage of affordable homes available for purchase has restricted access to the residential real estate market. Coupled with mortgage rate spikes and rising home prices, homeownership opportunities are limited for many middle-class, first-time, and first-generation homebuyers.
To help more people reap the benefits of homeownership, we must first pursue solutions to increase housing supply. That’s why NAR was among the first to sound the alarm on our country’s severe housing shortage.
Last year, we commissioned a report that showed the U.S. is 5.5 million housing units short – a gap so large, it would take more than a decade to dig out of, even with accelerated new construction. A historic shortage of this magnitude requires a once-in-a-generation response. NAR continues to advocate for comprehensive actions that include zoning reform, money for new construction, expanded financing options, and tax incentives to spur investment, convert unused commercial spaces to residential, and increase the number of construction workers.
NAR is also working closely with the Biden administration, Congress, and state and local leaders on solutions to increase homeownership opportunities in America.
In March, the White House included a historic funding request for affordable housing in its fiscal year 2023 budget.
In May, thousands of REALTORS® descended on Washington, D.C., and hand-delivered to Congress a comprehensive list of actions they can take to address the housing shortage. About two weeks later, President Biden released a housing supply action plan.
Last week, the White House issued a Homeownership Month proclamation affirming the importance of expanding access to safe, affordable housing. The Department of Housing and Urban Development (HUD) also announced its “Our Way Home” initiative to connect communities across the country with the resources needed to combat the nation’s housing supply shortage.
Additionally, we’re collaborating with industry partners on a wide array of initiatives to expand homeownership.
NAR is a founding member of the Black Homeownership Collaborative and supports the 3by30 initiative, with the goal of adding three million net new Black homeowners by 2030.
In late May, NAR also co-hosted a policy forum with the Urban Institute focused on reforms that can open the door to more homeowners.
To help REALTORS® get more involved in expanding homeownership, NAR launched a new Homeownership Month landing page that gathers our policy priorities, research, and resources in one place. It includes links to REALTOR® Party grants and programs, social media graphics, and other assets you can use throughout June and beyond.
Every family deserves to have the opportunity to reap the benefits of homeownership – from building generational wealth to building memories for years to come. Together, we can make the American Dream of homeownership accessible to all.