This paper examines the relationship between homeownership and social capital, exploring whether homeowners are better citizens. Using data from the U.S. General Social Survey, the authors find that homeowners are more likely to invest in social capital, such as volunteering, participating in local government, and joining non-professional organizations. A simple instrumental variables strategy suggests that the relationship may be causal. The authors decompose the effects of homeownership into the incentives provided by ownership and the reduced mobility rates of homeowners. They find that a significant portion of the effect of homeownership on social capital may come from lower mobility rates. Additionally, using the German Socio-Economic Panel, they confirm a connection between homeownership and citizenship, controlling for individual fixed effects. Finally, they examine the impact of homeownership on local public expenditures, finding that areas with more homeowners spend less overall but allocate a larger share of their budget to education and highways. Overall, the results suggest that homeownership positively influences the formation of social capital, with much of the effect attributed to increased community tenure.This paper examines the relationship between homeownership and social capital, exploring whether homeowners are better citizens. Using data from the U.S. General Social Survey, the authors find that homeowners are more likely to invest in social capital, such as volunteering, participating in local government, and joining non-professional organizations. A simple instrumental variables strategy suggests that the relationship may be causal. The authors decompose the effects of homeownership into the incentives provided by ownership and the reduced mobility rates of homeowners. They find that a significant portion of the effect of homeownership on social capital may come from lower mobility rates. Additionally, using the German Socio-Economic Panel, they confirm a connection between homeownership and citizenship, controlling for individual fixed effects. Finally, they examine the impact of homeownership on local public expenditures, finding that areas with more homeowners spend less overall but allocate a larger share of their budget to education and highways. Overall, the results suggest that homeownership positively influences the formation of social capital, with much of the effect attributed to increased community tenure.