![\"attitudes](\"https:\/\/i0.wp.com\/dankrell.com\/blog\/wp-content\/uploads\/2018\/11\/survey-good-time-to-buy.png?ssl=1\")
<\/a>An October 19<\/a>th<\/a><\/sup> NAR news release<\/a> (nar.realtor) reported that September\u2019s home sales were the weakest in several years.\u00a0 The nationwide trend affected all regions.\u00a0 NAR chief economist Lawrence Yun stated:<\/p>\n\n\n\n “This is the lowest existing home sales level since November 2015\u2026A decade\u2019s high mortgage rates are preventing consumers from making quick decisions on home purchases. All the while, affordable home listings remain low, continuing to spur underperforming sales activity across the country<\/em>.\u201d<\/p><\/blockquote>\n\n\n\n First-time-home-buyers<\/a> are finding the housing market increasingly challenging. This segment\u2019s participation needs to be strong for a healthy home sales. September\u2019s low thirty-two percent first-time-home-buyer participation is attributed to rising interest rates and home prices.<\/p>\n\n\n\n But low housing inventory is also an issue<\/a>. September\u2019s housing inventory decreased to 1.88 million existing homes available for sale (from the 1.91 available during the previous month). NAR President Elizabeth Mendenhall stated:<\/p>\n\n\n\n “Despite small month over month increases, the share of first-time buyers in the market continues to underwhelm because there are simply not enough listings in their price range<\/em>.\u201d<\/p><\/blockquote>\n\n\n\n Economists at Fannie Mae believe that the housing market will continue to disappoint.\u00a0 In an October 18th<\/sup> press release (fanniemae.com) Fannie Mae Chief Economist Doug Duncan stated:<\/p>\n\n\n\n “Our expectations for housing have become more pessimistic. Rising interest rates and declining housing sentiment from both consumers and lenders led us to lower our home sales forecast over the duration of 2018 and through 2019. Meanwhile, affordability, especially for first-time homebuyers, remains atop the list of challenges facing the housing market<\/em>.\u201d<\/p><\/blockquote>\n\n\n\n But what do economists really know about the future? Let\u2019s hear it directly from the consumer!<\/strong><\/em><\/p>\n\n\n\n NAR\u2019s Housing Opportunities and Market Experience survey<\/a> tracks opinions from renters and homeowners about homeownership, economy, and the housing market.\u00a0 The release of their third quarter 2018 survey indicates that sixty-three percent of respondents strongly or moderately believe that it\u2019s a good time to buy a home.\u00a0 Although optimism is somewhat diminished from the second quarter\u2019s survey, there continues to be a positive sentiment about buying a home.\u00a0 The survey\u2019s positive sentiment continues even though a majority of respondents believed that home prices will continue to increase in the immediate six months.\u00a0 Additionally, a majority of respondents believe that qualifying for a mortgage may be an obstacle to a home purchase.<\/p>\n\n\n\n The survey also concurs with other metrics indicating high consumer sentiment for the economy<\/a>. In light of the recent slide in home sales, NAR\u2019s recent Housing Opportunities and Market Experience survey reveals \u201ca <\/em>near-record high of sixty percent of households believe that the economy is improving<\/em>.\u201d<\/strong> Adding to the strong sentiment is the survey\u2019s increased monthly Personal Financial Outlook Index, which indicates that respondents believe that their financial situation will be better in six months.<\/p>\n\n\n\n The survey also indicates a record high of home sellers who believe it is a good time to sell a home<\/a>. But given the seasonal decline of housing inventory, it is likely this will translate to a surge of home listings in the spring. The added inventory combined with high consumer sentiment will boost the housing market. So sayeth the consumer.<\/p>\n\n\n\n By Dan Krell\u00a0\u00a0\u00a0\u00a0 Original located at https:\/\/dankrell.com\/blog\/2018\/11\/01\/attitudes-real-estate-market\/<\/p>\n\n\n\n If you like this post, do not copy; instead please:Home buyer and seller attitudes about real estate<\/h3>\n\n\n\n
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