{"id":8555,"date":"2022-08-08T10:42:00","date_gmt":"2022-08-08T17:42:00","guid":{"rendered":"https:\/\/lamsari.com\/?p=8555"},"modified":"2022-08-08T10:42:01","modified_gmt":"2022-08-08T17:42:01","slug":"consumer-sentiment-about-home-buying-at-lowest-level-in-decade","status":"publish","type":"post","link":"https:\/\/lamsari.com\/consumer-sentiment-about-home-buying-at-lowest-level-in-decade","title":{"rendered":"Consumer Sentiment About Home Buying at Lowest Level in Decade"},"content":{"rendered":"\n

By Fannie Mae.<\/h3>\n\n\n\n

Surveyed consumers continue to express pessimism about homebuying conditions, with only 17% of respondents reporting it’s a good time to buy a home. Meanwhile, the percentage of consumers believing it’s a good time to sell has begun ticking downward in recent months, falling from 76% in May to 67% in July. Overall, four of the index’s six components decreased month over month, including the component associated with home price growth expectations, which has fallen meaningfully over the past few months but remains positive on net. Year over year, the full index is\u00a0down 13.0 points.<\/p>\n\n\n\n

“The HPSI has declined steadily for much of the year, as higher mortgage rates continue to take a toll on housing affordability,” said\u00a0Doug Duncan, Fannie Mae Senior Vice President and Chief Economist. “Unfavorable mortgage rates have been increasingly cited by consumers as a top reason behind the growing perception that it’s a bad time to buy, as well as sell, a home. Additionally, consumers appear to be indicating that selling conditions are softening, as the ‘Good Time to Sell’ component has declined meaningfully over the past two months, and, on net, fewer consumers expect home prices to go up. With home price growth slowing, and\u00a0projected\u00a0to slow further, we believe consumer reaction to current housing conditions is likely to be increasingly mixed: Some homeowners may opt to list their homes sooner to take advantage of perceived high prices, while some potential homebuyers may choose to postpone their purchase decision believing that home prices may drop. Overall, this month’s HPSI results appear to confirm our forecast for moderating home sales over the coming year.”<\/p>\n\n\n\n

Home Purchase Sentiment Index \u2013 Component Highlights<\/strong><\/p>\n\n\n\n

Fannie Mae’s Home Purchase Sentiment Index (HPSI) decreased in July by 2.0 points to 62.8.\u00a0The HPSI is down 13.0 points compared to the same time last year. Read the\u00a0full research report\u00a0for additional information.<\/p>\n\n\n\n