This June, Celebrate National Homeownership Month

June is National Homeownership month. Americans often think of their homes as more than just a place to “hang their hats.” Homeownership has long been considered part of the greater “American Dream” that includes “Life, liberty and the pursuit of happiness” as mentioned in our country’s Declaration of Independence.

Here’s a rundown of key events related to homeownership dating back to our nation’s infancy:

The man who was the second vice president and third president of the United States believed that property ownership was a citizen’s right. Thomas Jefferson pushed for legislation that helped define property lines and a system for purchasing land that was the basis for how real estate and ownership are described and transferred today, called the Land Ordinance of 1785.
President Abraham Lincoln signed the Homestead Act into law, which helped establish the western part of the country through migration. Settlers who paid a filing fee and completed five years of continuous residence received ownership of 160 acres of public land. Homesteaders also had the option of purchasing the land from the government for $1.25 per acre. The Homestead Act led to the distribution of 80 million acres of public land by 1900.
Bank collapses, millions of jobs and life savings lost during the Great Depression resulted in up to a quarter of the nation’s mortgages going into default. The number of mortgages dropped dramatically from nearly 6,000 in 1928 to under 1,000 in 1933. U.S. homeownership dropped to its lowest levels of the century in 1940.
The Federal Housing Administration (FHA) was formed and provided access to flexible mortgage financing. Prior to establishment of the FHA, mortgages required 50% down payments and terms were generally five or ten years long and usually had large balloon payments due at the end.
Congress passed the Servicemen’s Readjustment Act – more commonly known as the GI Bill of Rights. The GI Bill helped veterans pay for college and buy homes. The Veterans Administration (VA) still insures low- to zero-down payment loans for veterans, active-duty service members and their spouses.
A storm was brewing as lending thresholds and interest rates dropped, making mortgages easy to get and driving home prices up.
The nationwide real estate bubble that formed due to frenzied demand amidst loose lending practices burst, and home prices began a multi-year decline that led to approximately eight million foreclosures.
First-time home buyer tax credits and other housing stimulus programs were established to help homeowners avoid foreclosure.
U.S. housing prices bottomed out in March, having dropped by 33%.
U.S. housing values recovered all $9-trillion dollars lost in the housing crisis of the prior decade.
After a long-anticipated span of rising mortgage interest rates that began in 2018, rates for 30-year fixed rate mortgages experienced the sharpest one-week drop in over a decade in late March, setting the stage for higher affordability heading into the traditionally busy home buying and selling season.
Questions about home values, mortgage interest rates or the path to homeownership?
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Sources: Library of Congress, CoreLogic, Freddie Mac, Zillow

National Homeownership Month

National Homeownership Month

Each June during National Homeownership Month, we reflect on the value of homeownership.

Smarter, Happier & Healthier

Americans strongly support homeownership, with good reason. Becoming a homeowner makes families smarter, happier, healthier, and wealthier. In a recent study, homeowners also reported improvement in their children’s well-being, school performance, attendance and higher participation in extracurricular activities.

Buy a Home, Create a Job

The housing market recovery has done more than add wealth and bring happiness to U.S. homeowners; it has also added jobs. According to a recently released report, after experiencing heavy job losses during the recession, the construction industry is building up its headcount again. Since 2011, the U.S. has added more than 187,000 construction jobs, an increase of 2 percent.

The Dream Continues

According to a recent survey, while 66% believe housing is a good financial investment, 75% see it as an important part of raising a family. A total of 87% of respondents said owning their home is something they have always wanted.

Become a Homeowner

It all begins with a plan. If owning a home is one of your goals, there are a lot of questions to ask yourself:

  • Are you ready? In order to qualify for a mortgage, you need a steady and reliable source of income and an established bank account. Your lender will also review your credit report to establish that you pay your bills on time and manage your debt well.
  • How much can you afford? Homeowners pay taxes, insurance and must be able to maintain the purchased property. When calculating your total monthly expenses, make sure you include regular payments that may not be reflected on your credit report, such as child care, groceries, and entertainment. Be honest with yourself about how much you can afford to pay each month now, to avoid any financial difficulties later.
  • Where do you start? Contact a licensed Inlanta Mortgage loan officer to discuss your unique financial situation and learn more about the road to homeownership. Find a loan officer near you using our branch locator or apply online now. When you apply online, we will connect you with a loan officer licensed to originate in your area.

More Resources for New Home Buyers

These resources are available all year long – not just during National Homeowership Month. Visit our blog often for more articles and resources for homebuyers.

 About Inlanta Mortgage

Inlanta Mortgage is proudly celebrating twenty years in business. Learn more about Inlanta’s twenty year history.

Inlanta Mortgage offers Fannie Mae/Freddie Mac agency products, as well as a full suite of jumbo and portfolio programs. The company is fully delegated HUD-FHA including FHA 203K, VA, and USDA approved. Inlanta Mortgage also offers numerous state bond agency programs. Review Inlanta’s mortgage loan programs.

Inlanta Mortgage is a multi-state mortgage banker based out of Brookfield, Wisconsin. NMLS #1016. Inlanta Mortgage is proud to be named to the Scotsman Guide Top Mortgage Lenders 2012 list and to be among the Top 100 Mortgage Banking Companies in America in 2012.