Even though attitudes toward homeownership continue to be negative, as 23% of those surveyed in Fannie Mae’s October National Housing Survey expect home prices to decline in the next year, the number of respondents saying they’d buy their next house is more than double those who would rent.
For the fifth month in a row, survey respondents think home prices will decline, by an average of 0.3%. Just 19% believe home prices will increase in the next twelve months (a 1% increase from September), says Fannie Mae, while a majority, at 55%, think home prices will stay the same.
Source: FNMA October 2011 National Housing Survey
In keeping with these expectations, many think it’s a buyer’s market, at 69%, with a slight increase in the percentage of respondents who think it’s a good time to purchase a home.
Only 10% think it’s a good time to sell, however, unchanged from the previous month.
More than a third of Americans think mortgage rates will go up in the next year, at 36%, but 66% say they would buy their next home if they move, compared to 31% who say they’ll rent.
Written by Alyssa Gerace