The Metro: Is owning a home still part of the American dream?

Owning a home has been a symbol of achievement in this country for generations. It’s the most common way to accumulate wealth, but home prices surged during the pandemic and haven’t come down.

The cost of buying a home has made younger generations look at homeownership differently. Sixty percent of Americans don’t believe homeownership is worth the return on investment it once was, according to a Harris Poll. 

Subscribe to The Metro on Apple Podcasts, Spotify, NPR.org or wherever you get your podcasts.

Today on The Metro, Thomas Sugrue, professor of social and cultural analysis and history at New York University, joined the show to discuss this trend and why the demand for homes is outpacing the supply.

“A lot of folks who have the good fortune of buying houses and getting mortgages on them when interest rates were low are hanging on,” Sugrue said. “They’re not letting go of their houses, because ultimately it would cost them to get new higher interest rates and move elsewhere.”

With all the additional costs that come with homeownership, there are a lot of homeowners in the city that may be better off renting, says Anika Goss, CEO of Detroit Future City — an organization working to create more opportunities for residents to become homeowners.

“There are a lot more costs than just the cost of the home itself that goes into ownership — the maintenance costs, taxes, all of that,” Goss said. “But at the same time trying to find and trying to create pathways for long-term renters — so that people who are renting, you know, for five years, 10 years, or a lot of people who rent like that, they should probably be owners at this point.”

Use the media player above to hear to hear the full conversation, and other stories from “The Metro.’

More stories from The Metro on Jan. 13, 2024: 

• The Detroit to Traverse City passenger rail study has entered its second phase. Transportation Specialist with Groundwork Center Michael Goldman Brown joined the show to discuss the project and what’s been done so far.
• This March marks five years since the COVID-19 pandemic caused officials to shut the country down. While COVID-19 is still here, there are other viruses getting the attention of physicians this season as well, including Norovirus and the H5N1 Bird Flu. To discuss this, Wayne State University infectious diseases professor Dr. Teena Chopra joined the show.
• The Department of Housing and Urban Development has awarded the city of Detroit $346 million to prevent basement flooding. Mayor Mike Duggan says some of the grant money will be used to repair outdated sewer infrastructure that led to severe flooding for many residents. Professor of Environmental Law and Interim Dean of the University of Detroit Mercy School of Law Nick Schroeck joined the show to discuss.

Listen to The Metro weekdays from 10 a.m. to noon ET on 101.9 FM and streaming on-demand.