A recent survey of 2,000 American adults, half of whom are homeowners, found that 63% believe they can accumulate property, investments or other things with monetary value to pass down from generation to generation. ‘other.
Of these respondents, nearly three-quarters (74%) believe they have already built generational wealth.
But home ownership is not the only way to achieve this: people who live with their families and do not pay rent (83%) and tenants (75%) also believe they have already built up a heritage generational versus owners (72%). %).
The most popular wealth-generating tool for homeowners is planning to increase the value of their home (26%) or subletting part of their main residence (38%).
Produced by OnePoll on behalf of HomeLightthe survey also looked at other avenues of generational wealth creation, including people’s plans to fund further education and business ventures.
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Overall, the survey shows that those with access to family support and the foundation of generational wealth are already on the path to wealth accumulation. 77% of people currently living with their family plan to inherit a home.
The most expensive parts of the United States, the Northeast and West, have the lowest homeownership rates, but the highest number of those considering inheriting a home, 63% of people and 57%, respectively. Overall, about two-thirds (64%) of millennials expect to inherit a home.
“Despite the changes in the market, home ownership continues to be one of the surest ways to build generational wealth in the United States to buy,” said Vanessa Famulener, President of HomeLight Homes. .
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“Those who have built up equity in their home can take advantage of the many tax, repayment and interest rate advantages that home equity loans offer homeowners, especially to help reduce the costs of value-added improvements. “
However, more than a third (34%) of owners intend to sell their current home, compared to 20% who plan to live there until they pass it on to their children.
Fifty-seven percent are confident in their understanding of today’s housing market, including more millennials than baby boomers (60% vs. 49%) and 47% of people 77 and older.
However, less than half (45%) are confident they will sell their home at its highest value, with those in the West feeling the least confident (33%).
HOW DO AMERICANS PLAN TO BUILD GENERATIONAL WEALTH?
Invest in a condominium and rent it out – 33%
Savings and Investment Program – 31%
I live in a single family home that I own, hoping its value will appreciate over time – 30%
Invest in/sell stocks and bonds – 29%
Invest in a single-family rental property as a sole proprietor – 28%
Rent part of my main residence – 28%
Create a business/franchise that I own/co-own – 28%
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