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Sunday, March 19, 2017

Consumer Confidence in Housing Hits All-Time High

Americans are more optimistic about buying homes – so much so that the Fannie Mae Home Purchase Sentiment Index (HPSI), created in 2011, hit an all-time high in February, 2017. 

Fannie Mae’s HPS Index was 88.3, a 5.6 percentage point increase in February. The Index was also up 5.6 percentage points compared with February last year.

Some of the highlights of the report:

  • ·       The percentage of Americans who say it is a good time to buy a house rose 11 percentage points to 40%, rebounding strongly from last month’s survey low.
  • ·        The percentage of those who say it is a good time to sell increased by 7 percentage points to 22%, reaching a new survey high.
  • ·        The percentage  of Americans who say that home prices will go up increased by 3 percentage points in February to 45%.
  • ·        The percentage  of those who say mortgage rates will go down over the next twelve months remained unchanged for the third consecutive month at a negative 55%.
  • ·        The percentage of Americans who say they are not concerned about losing their job rose 9 percentage points to a new survey high of 78%.
  • ·        The net share of Americans who say their household income is significantly higher than it was 12 months ago rose 4 percentage points to 19% in February, continuing the increase from January and reaching a new survey high.

The increased post-election confidence in housing is good news all around.  If you are thinking of selling or buying, it’s time to get things in motion. Sellers: it’s time to get your homes on the market. Buyers: it’s time to move on your plans to purchase before prices and  interest rates climb higher. 

At Beninati Associates, we keep an eye on the market, and a ear to the ground.  As a buyer or seller, short of a crystal ball, tracking the economics of the marketplace will help you decide what to do and when to do it.  You can rely on us – we listen, we care and we get results for you!


Source: Fannie Mae News Release, March 7, 2017

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