Americans have long believed that purchasing a home is a good investment. Thanks to the recession, many experts hypothesized that many would no longer view home ownership as a great investment. According to a recent study conducted by Bankrate Inc., however, home ownership is still viewed as a solid investment by most.
According to the study, more than 9 out of 10 people who participated inn the survey still feel that owning a home is a good investment. This may seem like a bit of a shock considering that 25% of Americans currently owe more on their homes than what their homes are worth.
In addition to still believing that home ownership is a good investment, the recession does not seem to be making much of an impact on Americans in other areas of the financial world either. In fact, the same Bankrate Inc. survey found that only 17% of respondents have increased their savings since the onset of the recession. In addition, only 44% said they are saving the same amount as they were before the recession, while 36% said they are actually saving less. The study also found that only 35% of Americans who are currently employed have enough savings to sustain themselves for six months if they were to lose their job.
"These results provide an interesting illustration of the public's mindset in a difficult economy,” said Julie Bandy, who is the editor in chief at Bankrate.com, in a Biz Journals article. “While nine out of 10 still believe in the American dream of homeownership, nearly half worry about losing their homes. And even though American families are worried about reaching other financial goals – most notably retirement – most appear to be unable to save more money.”