Now is a good time to buy a home, say 61% of Americans
We might be in the middle of a pandemic, but consumers are feeling optimistic about homebuying and home selling conditions again.
That’s according to the latest Fannie Mae Home Purchase Sentiment Index, which increased 9 points in June to 76.5. While still down 15 points year over year, the survey points to a continued upward trajectory following May’s gains after approaching a survey low in April.
“A second month of improvement in June allowed the HPSI to regain some of the sharp losses in optimism observed in March and April,” said Fannie Mae Chief Economist Doug Duncan in a press release. “The share of renters who say it’s a good time to buy a home is now at its highest level in five years, suggesting favorable conditions for first-time homebuying, consistent with the recent rebound in home purchase activity.”
Although some respondents reported ongoing job and financial concerns, 74% said they were not concerned about losing their job in the next year while the net share of those who said their household income is significantly higher than it was 12 months ago increased 10 percentage points.
Perhaps more significant: More than 30% of respondents said they think home prices are going up, an increase of 18 percentage points, while the net share of Americans who say mortgage rates will go down over the next 12 months decreased 15 percentage points.