12 January 2008 - With the start of 2008, one New Year's resolution for a number of Utahns will be to purchase a home within the coming year. And they're not alone. Across the country, millions of people are expected to become homeowners this year.

The reasons for wanting to purchase a home vary from buyer to buyer, but a recent consumer survey shows that a desire to own a home of their own and to establish a household are the most common reasons homeowners cite for purchasing a home.

Thirty-three percent of all buyers, and a whopping 70 percent of first-time buyers, express these as prime motivators in their quest for a home purchase, according to the National Association of Realtors' "2007 Profile of Home Buyers and Sellers."

A wish for a larger home, a job-related move, a change in family situation, a desire for a home in a better area and an interest in being closer to jobs, relatives, school or transit are also high on the list of reasons for purchasing a home.

Interestingly enough, taking advantage of perfect market conditions has not been mentioned in the 26-year history of the survey.

That's because housing is a long-term investment with both financial and non-financial rewards. But while the financial gains have been significant for most owners, the survey found that it's the social and personal benefits that really influence consumers to buy a home. Social benefits include higher reading and math scores for the children of homeowners and lower crime rates.

The survey also found that the reasons for a home purchase vary quite substantially among different age groups. Three-quarters of home buyers between ages 18 and 24 report purchasing a home because they want to own a home of their own or establish a household. In fact, for all buyers 64 or younger, this is the most frequently cited reason for purchasing a home.

Home buyers 65 years and older reported that their primary reason for purchasing a home was to downsize to a smaller home (19 percent), retire (18 percent) or to be closer to family, friends and relatives (18 percent).

In addition to the motivations found in the above-mentioned survey, here are some more reasons why you can feel good about putting homeownership on the top of your list of New Year's resolutions:

• Over the past 30 years, home values have risen more than 6 percent annually, according to the National Association of Realtors.
• On average, the value of a home nearly doubles every 10 years, according to data from the National Association of Realtors.
• Sixty percent of a homeowner's wealth comes from their home's equity, says a policy brief from the Office of Housing and Urban Development.
• Homeowners benefit from the power of leverage. At an annual appreciation rate of 5 percent, a 10 percent down payment on a home will return 94 percent after three years. After five years, the rate of return increases to 225 percent and after 10 years, 623 percent, according to Harvard University's Joint Center for Housing Studies.

Because market conditions vary by location and because there are many factors to consider in finding the right home and the right financing, it's important for consumers to work with a real estate professional when considering one of the most significant transactions of a lifetime.

By the end of 2007, one of every 16 Americans had purchased a home. Those who hang on to their home for five to 10 years can expect a healthy return on their investment in addition to the priceless benefits of living in a home of their own.