My wife and I don’t own a home yet. We plan on settling down in an area one day and purchasing, but now isn’t the right time for us, so we’re renting. But with real estate at ‘great prices’ today, I almost feel like I’m missing something if I don’t take advantage of the market. We keep hearing that it’s a ‘buyer’s market,’ and with so many great incentives, tax breaks, and low interest rates, the last few years have looked really attractive.
All the hype of homeownership has caused me to ask myself this simple question: Is homeownership a right or privilege?
Personally, I feel that homeownership is a privilege. Our freedoms outlined in the constitution don’t include a “3 Bedroom 2 Bath home with an attached garage.” We started as a land of opportunity and this includes the opportunity to save for a home.
Who Deserves A House?
I’m not saying that only the wealthy should buy homes and the rest of us should rent. In fact, I know doctors and lawyers who make good money, have a ton of debt, and probably shouldn’t be living in such an expensive house. Having a high paying job shouldn’t be a ticket into homeownership. Likewise, a person making $25,000 a year shouldn’t be forced into renting.
It Obviously Comes Down To Personal Responsibility.
No one really deserves a house unless they have the means to buy it. The unfortunate reality (for both rich and poor) is that a lot of people had false expectations (increasing home values) and tried to live beyond their means. The idea that we need to live better than our parents, or have a bigger and nicer home than the one we grew up in will set us up for financial failure.
It’s an awesome goal to want a home of your own. To have a place I call home one day will be a great feeling. What I don’t want is to make it my ultimate financial goal. Having a house is just one part of my financial picture – things like food, shelter, clothing, a job are more important than having a mortgage and saying that I’m a ‘homeowner.’
Planning For A Home
I don’t know if we’ll buy a home while the market is down. What I do know is that we don’t want to rush into a home because it’s the ‘American Dream’ or because it’s the ‘perfect time.’ When we feel comfortable with our jobs and have enough to put down on a home we love, we’ll be closer to buying – not because it’s our right, but because we’re in a place financially to do it.
What are your thoughts? Has homeownership become a ‘right’?
Echo says
It’s definitely a privilege, not a right. I don’t like when people pass judgement on renters, saying they’re throwing their money away. Sometimes renting makes a lot of sense. Look at all of the people who assumed real estate only went up and then had their homes foreclosed on.
You are right to wait until your own situation is perfect before rushing into home ownership.
Peter Anderson says
I agree that it’s a privilege, and unfortunately far too many in government have pushed the idea that it is part of the American dream – and that everyone should own a home – even those who couldn’t afford it. Unfortunately the mortgage companies and others went along with this, lending to people who couldn’t afford the loans, helping lead us into the sub-prime mess, and a real estate crisis.
I’m of the opinion that home ownership isn’t for everyone – and that it’s a privilege, and that there’s no shame in renting if it’s right for your situation. Don’t rush into buying a home if it isn’t the right decision for your situation.
Kacie says
It might just be semantics, sure, but you already have a “home.” Your home is where you and your wife live…no matter if you’re renting, paying off a mortgage or living debt-free.
Now, buying a HOUSE is a good thing when you are ready.
We hope we can buy a house within a year or so. Interest rates and house prices are low right now, but we can’t do anything immediately since we would like to move a few states away.
For now, renting is awesome for us because its’ cheap and easy for us to pick up and go.
Ken Faulkenberry says
Peter
I think it is sad that you even have to address this issue. But unfortunatly we live in a time when were being told by some policitians that we have a right to anything and everything (i.e. health care). The debate on privatizing Fannie Mae is wrapped up in our “rights” to cheap housing. I’m a constitutional conservative and believe the government owes us the right of the PURSUIT of happiness. That means protecting the country and providing a framework for repecting our laws. Beyond that it should ALL be questioned.
Thank you.
Noah says
Like most other things in this country (driving, having a job, etc.), owning a home is a privilege. I know a lot of people who say that American Dream means everyone has to succeed in this country and that it’s not fair that some fail or aren’t able to be as successful as others. The American Dream means we have the privilege to be able to succeed, but it’s no guarantee.
As for the housing market, the mere fact that the govt is keeping rates low and thinking about offering more incentives signifies that it’s still deeply in trouble and could collapse even further in many parts of the country.
Evan says
I agree with peter 100%! Home ownership is simply a privilege that the idiots in Washington decided everyone should have regardless of economics of not being able to actually pay for it lol
Jon | Free Money Wisdom says
It’s a PRIVILEGE! The biggest thing I took away from college is that there is no free lunch! I can;t stand the entitlement attitude of Americans these days. Work your butt off, then prove yourself with responsible money handling skills. Only then should someone buy a house.
Tim @ Faith and Finance says
I love reading everyone’s comments – great input! It really comes down to being responsible with your resources. If you don’t have the resources, you can’t buy the goods. This simple principle has been skewed today.
Paula @ AffordAnything.org says
I completely agree that home ownership is a priviledge … in fact, I’d call it a luxury. Most homeowners will see their costs rise once they have to start paying property taxes, insurance, and buying things they never had to purchase as renters, like new carpeting and a lawnmower. If you want to afford this luxury, you have to cut back in other areas of your life, like restaurants and travel. And, frankly, a lot of people would rather have OTHER luxuries. Home ownership is not for everyone.
Olivia says
Thought provoking post. The apostle Paul spoke about being content with food and clothing. I wonder if a mindset that sees everything as a privilege, a gift from God, is more appropriate. I wonder if we take American ideals and superimpose them on biblical ones.
If our homes were taken from us, as happened in the early church, could we be content? If we had property and sold it, like Barnabas did, to lay it at the apostle’s feet, to supply other’s needs, could we handle this? If a brother or sister in Christ lost everything, as happened in Japan, could we take them in?
This is hitting home, so thanks for bringing it up. I dream of having a small home of our own when we retire, like a Tumbleweed house or a small stationary place in the woods somewhere. (Especially as the time draws nearer.) And plan for it. And make floor-plans. And think about what furniture we could keep, if any, to fit. But what if it doesn’t happen? What if it’s all taken away? Can I be content in Christ? Why do I want to own a home in the first place? Are my motives good?
Just a thought. Our resources are a stewardship, so do we actually own anything? If we can practice hospitality and protect our families from the elements in a RV, or apartment. or purchased home, does it really matter? Americans discovered recently homes are not investments. So what are they?
Peter Anderson says
I agree that sometimes it’s easy to get caught up in all the things of this world, and forget that we’re only stewards of what we’ve been given, and that we need to find contenment in Christ, regardless of our circumstances. One of our staff writers wrote a great post about this a while back:
God’s Provident Plan: Contentment In Christ
Olivia says
Thanks Peter.
Pat Veretto says
Yes, it’s a privilege and home ownership doesn’t even make the best sense for everyone. It’s a lot easier to move if all you have to do is find another rental and pack your bags instead of selling a house and buying another one. And the upkeep, taxes and so on, can be very difficult for some.