Americans See Home Affordability Conditions Improving
Last year’s housing market had its challenges for sure. Though there was plenty of interest from home buyer, too few homes for sale, rising interest rates, and high prices dampened some of the enthusiasm.
Now, according to the recent Home Purchase Index from Fannie Mae, Americans are feeling more optimistic about their home purchasing options.
In addition to an eight percent increase in the number of respondents who say their income is substantially higher than it was at the same time last year, there is still a declining number who feel home prices and mortgage rates will continue to rise.
Consumers feel more confident in their money and see home affordability conditions starting to improve. Doug Duncan, Fannie Mae’s Senior Vice President and Chief Economist, says the optimism and more favorable market conditions will help home sales this year. “Overall, these results are in line with our forecast that, amid improving affordability conditions, home sales should stabilize in 2019 after declining last year for the first time in four years.” More here.