A new survey administered by Gallup shows that many Americans consider real estate to be the best long-term investment opportunity available to them today.
The polling firm found that overall, about 30 percent of respondents consider real estate to be the most attractive investment option, in a field with five choices. Stocks and gold tied for second place, with each asset favored by 24 percent, while savings accounts were listed as the top choice by 14 percent and bonds came in last, with 6 percent.
In a summary of the survey results, Gallup's Rebecca Riffkin noted that individuals' perception of the opportunity presented by investment in real estate seems to be influenced by their experience with property ownership. Supporting this conclusion is the finding that those who currently own their own home are more likely to say real estate is the best investment, relative to renters. An income above $75,000 per year also correlated with both owning a home and holding the belief that real estate offers the best investment opportunity.
The current trend indicates that more Americans will come to view real estate as an attractive investment as the housing sector continues to recover and market prices rise. Gallup conducts this survey every year and the percentage of respondents selecting real estate as the best investment opportunity has increased by more than 50 percent since 2011, when houses were much less expensive and the price of gold was at a peak.
Those who look at their residential property as an investment have an especially compelling need to confirm that their home is insured for the right value. If a homeowner's insurance policy does not cover the full cost of replacing a property, the owner may have to pay out of their own pocket to rebuild the same structure after a disaster or rebuild less than the previous structure, cutting into the value of their investment.
This is a particular concern as we move forward into the spring and summer. These seasons may bring warmer weather, but they also come with a range of concerns about severe weather, including strong winds, tornadoes, heavy rain and flash flooding. Looking ahead, hurricane season will be arriving relatively soon, escalating the risks facing homeowners in coastal areas.
e2Value provides web-based property valuation solutions for all of your Insurance-to-Value (ITV) and collateral value monitoring needs. Our system draws on multiple data sources, and applies its extensive logic architecture and proprietary algorithms to produce accurate values for residential properties.