Investment value when buying a home, should not be the first consideration, with the changes in the market. Using homes as "piggy banks", did get many people in trouble. However, there are reasons why homeownership simply makes sense over renting, especially over a long-term basis.
1. Mortgages are cheap
Even though rates have spiked 1% over the past year or so, at a 4.5% interest rate, 30-year mortgages are still very cheap on a historical basis. This is significant because in many cases, it is actually cheaper on a monthly basis to own a home than rent.
2. Your life, your way
If you're a dog lover, finding an apartment can be a nightmare. Many who rent are stuck with kitchens that look like a 70's TV show, as their landlords seem to be in no hurry to update anything. The freedom to make your home truly your own is one of the best reasons to but a house.
3. Credit
This may seem somehow unimportant, since most people in a position to buy a home already have good credit. Regardless, a mortgage will certainly report to the credit bureau and a rental company will not. There are few items on a credit report that demonstrate financial responsibility and stability in life better than a long history of on time mortgage payments.
4. Equity
Having equity that can be tapped into in an emergency is a big plus for homeowners. Although it is not a good idea to use the equity in your home as a "piggy bank", simply having equity available in your home, makes it much easier for you to get a loan for anything else.
5. Not an investment, but still much better for your financial health
Even though you are making mortgage payments on your home. At the end of the mortgage, you own your home. If you paid rent for the same 30 years. You most likely would have spent more money, as rent often rise, with nothing to show for it.
If you are still one of the renters, 2014 would be a good year to change things. Think about buying a home, the best thing for your financial future.