June is National Homeownership Month! This month, we celebrate the value of owning a home and the benefits it presents to individuals and communities across America. Owning a home can help build wealth and set yourself up for a better future, and it’s a great way to become more invested in your community. However, we recognize the struggles and challenges that come with achieving homeownership. So today, we’ll go over the history of homeownership, how to celebrate this month and some current initiatives to remove barriers to homeownership.
Contents of This Article:
- What Is National Homeownership Month?
- History of National Homeownership Month
- How to Celebrate National Homeownership Month
- Removing Barriers to Homeownership
- Protect Your Investment With BMG
What Is National Homeownership Month?
Homeownership is a primary goal for many Americans, and it’s one of the best ways to build long-term wealth. After all, owning a home is an excellent investment that increases in value over time. In June, we celebrate National Homeownership Month and appreciate the value that homeownership brings to families, communities, and neighborhoods across America.
During the month of June, rental property management companies in Northern Virginia acknowledge and celebrate homeownership, whether you own a home or want to learn more about it. First, here are some facts about homeownership that you may not know.
Facts About Homeownership
- Buyers spend around ten weeks on average searching for a home.
- The US homeownership rate is approximately 66%.
- First-time homebuyers made up 26% of all homebuyers in 2022.
- The average age of a first-time homebuyer in America is 36 years old.
- 86% of buyers purchased their homes through a real estate agent or broker.
- The two most desired home features across generations are a laundry room and exterior lighting.
- 51% of buyers previously owned a home, whereas 37% rented before buying a home.
- The median home sales price in the US is around $440,000 as of the first quarter of 2023.
History of National Homeownership Month
National Homeownership Week started in 1995, an attempt by President Bill Clinton to increase homeownership across America. Then, in 2002, President George W. Bush expanded the week to the entire month of June. However, it’s important to understand the history of homeownership in the United States.
President Abraham Lincoln signed the Homestead Act in 1862, which aimed to promote homeownership by offering public land to settlers at little to no cost. The Homestead Act gave the head of each American household the right to claim a 160-acre homestead.
From there, homeownership increased, and the development of mortgage lending and the establishment of savings banks facilitated the financing of homes for more people. However, during the Great Depression, banks didn’t have money to lend to borrowers. As a result, people couldn’t afford to buy homes, while existing homeowners often failed to pay their debts.
So, throughout the 1930s and 40s, the US government implemented various initiatives to address the housing crisis. For instance, the Home Owners’ Loan Corporation in 1933, the Federal Housing Administration (FHA) in 1934, and the Federal National Mortgage Association in 1938 helped make homeownership more accessible.
Then, the GI Bill of 1944 changed the face of the housing industry. This bill provided subsidized mortgages for veterans of World War II, and homeownership continued to rise. Another milestone in American housing occurred when Congress passed the Fair Housing Act of 1968. The Act, signed by President Lyndon B. Johnson, banned discrimination in housing based on religion, race, gender, and national origin.
For nearly the past 89 years, the Federal Housing Administration has helped more than 44 million citizens become homeowners.
How to Celebrate National Homeownership Month
Celebrating National Homeownership Month is about appreciating the benefits of owning a home. That said, whether you own a home or not, there are several ways to support the dream of homeownership and get involved in your community. If you own a home, take the time to appreciate it and put in some extra care this month.
- Give Your Home Extra Care
- Get Involved in Your Community
- Give to Organizations That Address Housing Issues
Give Your Home Extra Care
If you’re a homeowner, take time during National Homeownership Month to put extra care into your home. If you’ve been neglecting certain maintenance tasks, like landscaping, cleaning, or organizing, take the time this month to get them done. Consider sprucing up the exterior of your home by power washing the exterior, or plant some new flowers that give your home a nice touch. The possibilities are endless–anything to appreciate your home and renew your sense of commitment.
Get Involved in Your Community
Whether you own a home or not, another great way to celebrate National Homeownership Month is by getting involved in your community. Unfortunately, homeownership is difficult for most people, but there are several organizations that help people accomplish that dream. So, consider volunteering at a local organization and encourage others to as well. There are several organizations to choose from, including:
- Habitat for Humanity
- Rebuilding Together
- Local Homeless Shelters
- Community Beautification Committees
Give to Organizations That Address Housing Issues
If you don’t have much time, donating to organizations that help address housing issues during National Homeownership Month is beneficial too. There are several housing organizations that could use help, including Habitat for Humanity, your local homeless shelter, the National Low-Income Housing Coalition, or 995 Hope. No matter how big or small the donation, every bit helps honor the American dream of homeownership.
Removing Barriers to Homeownership
Unfortunately, homeownership is merely a dream for many people. Over the past few decades, rising prices have forced many to spend over 30% of their income on housing, eliminating the chance of homeownership for some. As such, the Biden Administration, along with the Department of Housing and Urban Development (HUD) and the Federal Housing Administration (FHA), are working toward removing barriers to homeownership.
During the Covid-19 pandemic, the Biden Administration worked to extend foreclosure moratoriums for millions of households, delivered emergency rental payments, and paused eviction for several months. Additionally, they’ve recently awarded more than 19,000 new Housing Choice Vouchers to help individuals attain housing.
Now, they’re taking more steps to make housing more affordable. For instance, in February, the HUD made annual mortgage insurance premiums cheaper, allowing Americans to save around $800 per year. Additionally, the FHA made it easier for first-time homebuyers to qualify for mortgage financing by leveraging positive rental history.
Furthermore, the Administration is implementing a Housing Supply Action Plan to address and eliminate the root causes of the affordable housing shortfall by 2027. Future plans include:
- Providing down payment assistance to first-time, first-generation homebuyers.
- Creating a new tax credit to support building or renovating affordable homes.
- Helping fight restrictive zoning laws that stall new construction.
Protect Your Investment With BMG
Owning real estate in any capacity is an excellent achievement, whether it’s a rental property or an owner-occupied home. When you own a home, the possibilities of what you do with it are endless. For instance, you can make it a long-term rental property, use it as a summer home or Airbnb, or live in it full-time.
However, when you do achieve homeownership, you’ll want to protect your investment as much as possible. Comprehensive property management is one of the simplest ways for rental property owners to protect their properties. Bay Property Management Group is a full-service management company that cares for your investment just as you would.
Whether you need help marketing properties, screening tenants, collecting payments, or performing maintenance, we’ve got it covered. Contact us today to learn more about our services in Baltimore, Philadelphia, Northern Virginia, and Washington, DC.
