Monday, May 23 2011
Americans expressed cautious optimism about the housing market and the value of home ownership in Fannie Mae’s first quarter 2011 National Housing Survey.
The survey uncovered newfound optimism about home prices, the economy, and personal finances balanced by concerns about rising household expenses, which may require Americans to remain cautions about the recovery.
Despite consumer caution, 57% of Americans still believe that buying a home has a lot of potential as an investment—ranking higher than other investments, such as buying stocks or putting money into an IRA or 401(k) plan.
“Despite moderate signs of improvement in the housing market and the overall economy, consumer attitudes continue to be shaped by ongoing concerns about the recovery and their own financial situations,” said Fannie Mae Chief Economist Doug Duncan. “Uncertainty regarding the improving labor market, expectations of little home price and interest rate movement, and rising household expenses has left consumers feeling less financially secure and translates into weak mortgage demand. While we have seen indications of improving economic activity in recent months, especially the strengthening of private sector employment, consumers’ attitudes improved only marginally, and in some areas not at all, from a year ago, reflecting the continued unevenness and uncertainty of this recovery.”
Other survey highlights:
Source: Fannie Mae
Read more: http://www.houselogic.com/news/articles/most-americans-believe-their-home-good-investment/#ixzz1M9Q8ML00