2014 Conference

Homeownership has been regarded as one of the most important financial aspirations. Culturally, being a homeowner has been historically part of the “American dream” (Bostic et al., 2004).  This perception has been well influenced by numerous benefits associated with homeownership. Positive effects of homeownership are received through various angles. For instance, higher levels of homeownership have been associated with the nation’s growth, households’ wealth, accumulation, an increased education for children, residential stability, lower teen pregnancy rates, and a higher lifetime annual income for children (DiPasquale & Glaeser 1999; Glaeser & Shapiro, 2003).  Further, higher rates of homeownership have been linked to greater life satisfaction, and an improved physical and psychological health (Dietz & Haurin, 2003), among other benefits.  Using the data from NC1172 Complex Nature of Saving Behavior Research, we explore the psycho-socio-economic factors associated with homeownership among low-to moderate-income households (N=824). The results from the logistic regression show that parental modeling, self-efficacy, and job security are significant factors in the likelihood of homeownership for households with low-to- moderate income. Important implications derived from this study may serve policymakers committed to creating incentives for low-income homeownership; and housing educators and counselors who are assisting, and advising households about housing and financial decision-making.