Americans who think now is a good time to sell homes hit a record high of 32 percent in May 2017, according to Fannie Mae’s latest Home Purchase Sentiment Index and reported by Realtor® Magazine. Accordingly, the number of Americans who say now is a good time to buy homes fell by eight percent to 27 percent, reaching a record low.
“High home prices have led many consumers to give us the first clear indication we’ve seen in the National Housing Survey’s seven-year history that they think it’s now a seller’s market,” says Fannie Mae Chief Economist Doug Duncan. However, he said that prospective homebuyers will likely face continued home price increases as long as the housing supply remains tight. “We continue to see a lack of housing supply as many potential sellers are unwilling or unable to put their homes on the market, perhaps due in part to concerns over finding an affordable replacement home.”
Additional points from the Home Purchase Sentiment Index include that 40 percent of Americans believe home prices will rise, 71 percent of Americans say they are not concerned about losing their jobs, and 18 percent of Americans reported their household income is “significantly higher” than it was 12 months ago.
The data was based on a housing market survey of about 1,000 Americans.
In May 2017, Fannie Mae’s Home Purchase Sentiment Index dropped 0.5 percentage points. However, the index is still up 0.9 percentage points compared to May 2016.