Ohio house prices are soaring. We can't let 'forever renters' replace homeownership dream.

Scott Williams is CEO of Ohio REALTORS.

Headlines over the last few months from around the country and from right here in Ohio have made it clear that we are facing a startling reality: Homeownership is out of reach for far too many Americans.

Rising prices, high interest rates and housing shortages have made this part of the American dream, simply, unattainable, especially for adults under the age of 35. Those adults are postponing homeownership — in some cases, by as much as a decade as compared to 2013. Many are choosing to forego homeownership entirely, calling themselves “forever renters.”

This is not would-be homeowners’ fault. As recent news stories show, median home values have nearly doubled in the last 10 years. At the same time, household incomes grew by only about 13.5%.

More than white picket fences

Each and every one of us should be alarmed by these data points.

Homeownership is not just a white-picket-fence veneer. For many people, it provides the foundation for stability, security and a sense of community — things that renting often cannot supply. Owning a home builds equity and wealth. Homeowners can deduct mortgage interest and property taxes from their income taxes and benefit from appreciation when they sell or pass it on to the next generation.

Having an asset to borrow against provides financial flexibility. And while rents might go up, monthly mortgage payments generally remain stable over decades, helping homeowners manage housing costs during retirement.

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Higher homeownership rates benefit communities, too.

More homeowners mean more stable property tax revenues to fund public services. Engaged homeowners tend to demand quality schools, parks, libraries and public safety. Home ownership incentivizes people to have a long-term outlook, to invest in their property and neighborhoods.

But times are challenging for would-be homeowners. Interest rates are high. Inventory is low. Prices seem to be ever-increasing.

Headlines across the country describe this, and while housing challenges used to primarily affect large cities on the coasts, it is clear that in communities across Ohio, we must take action to ensure those who want to own a home are able to.

Home ownership does not have to be a thing of the past

Part of that happens at the community level, and this is where everyone — each and every one of us — can play a role. It is imperative that we support policies that foster easier paths to homeownership. That means more development, greater housing density, and zoning updates that permit things like accessory dwelling units.

And part of it happens through state programs and policies that ease the path for homeowners.

The most recent of those programs, launched in January, is Ohio Homebuyer Plus, which makes it easier to save for a down payment, and is something we at Ohio REALTORS advocated and pushed for. The program allows Ohioans to deduct up to $5,000 in down payment savings contributions from their state taxes each year and helps to grow that money with higher interest rates than traditional savings accounts — right now, 2.59% on top of a bank’s ordinary savings rate.

Ohio Homebuyer Plus| New state program offers down payment help to Ohio homebuyers

This program, we think, amplifies and supports existing programs that can help Ohioans buy a home, and that’s where knowledgeable, experienced Realtors can help. Not only do great Realtors bring expertise in local markets, but they also understand incentives and policies that can smooth the path to home ownership. And in Ohio, that expertise has maybe never been more important.

Recent news stories showed that Cleveland, Columbus and Cincinnati are among the top housing markets for 2024.

Making homeownership easier benefits all of us, by making our state a more attractive place to live, work and play, and by strengthening our communities.

I would agree that homeownership is not for everyone, and renting certainly makes sense for some, particularly during certain phases in life. But I have seen that smart policies and programs can help make homeownership more accessible. And when we do that, we all — individuals, families and communities — benefit.

Scott Williams is CEO of Ohio REALTORS.

This article originally appeared on The Columbus Dispatch: Renters forever? Why Ohio must save homeownership dream.