Celebrating home (and the dream)
More than just a catch phrase for politicians on the campaign trail, the term “American Dream” has been entrenched in U.S. pop culture for decades. The phrase has roots in the Declaration of Independence where it states that “all men are created equal” with the right to “life, liberty and the pursuit of happiness.” It was later specifically defined in the 1931 book, “The Epic of America” by James Truslow Adams who wrote that “life should be better and richer and fuller for everyone, with opportunity for each according to ability or achievement.” Over the last century, the American Dream has become synonymous with homeownership.
How do Americans feel about homes? U.S. consumers are showing more confidence in the housing market than ever before according to the latest Fannie Mae (FNMA) Home Purchase Sentiment Index (HPSI), which reached an all-time high in April:
Renting became more common in the years following the housing crash of the late 00s and Great Recession; however, the number of people who believe that renting provides protection against rising home prices fell from 72% in 2015 to 65% in 2017. Once thought to be a “generation of renters,” Millennials have made up the largest percentage of home buyers for the fifth consecutive year according to the National Association of Realtors (NAR). And, renters in that age group are eager to join the homeownership ranks: 51% of Millennials who can’t afford to buy now say they would like to own a home at some point. Nearly everyone agrees…homeownership has definite benefits:
Harris Poll General Consumer Quick Query Omnibus Results
Bottom line: Americans have their hearts in homeownership.