Americans are feeling financially confident and it’s good news for the housing market, according to the latest Home Purchase Sentiment Index from Fannie Mae. The survey – which measures consumers’ perceptions of buying and selling a home, job security, mortgage rates, prices, etc. – hit a new high in July. Doug Duncan, Fannie Mae’s chief economist, says it’s due to favorable mortgage rates and increased job confidence. “Consumer job confidence and favorable mortgage rate expectations lifted the HPSI to a new survey high in July, despite ongoing housing supply and affordability challenges,” Duncan said. “Consumers appear to have shaken off a winter slump in sentiment amid strong income gains. Therefore, sentiment is positioned to take advantage of any supply that comes to market, particularly in the affordable category.” In other words, Americans are feeling good about their income and may be ready to buy. In fact, the survey found a 3 percent month-over-month increase in the number of respondents who said now was a good time to buy a house. More here.
Home Purchase Sentiment Index Hits Record High