Fannie Mae’s Home Purchase Sentiment Index measures how Americans feel about their finances, the economy, their job, and the housing market. Based on a monthly survey, the index gauges whether consumers believe mortgage rates and home prices are headed up or down, whether they think it’s a good or bad time to buy or sell a home, and whether their personal finances and job security has improved or worsened over the past year. According to the most recent results, Americans are feeling cautious about the housing market, with an increasing number of survey respondents saying they believe mortgage rates and prices will continue to rise. But while participants are clearly worried about affordability, the vast majority say they think it’s still a good time to sell. In fact, 63 percent said they think now’s the right time. However, among them, a growing number list elevated rates as a reason to hold off. Doug Duncan, Fannie Mae’s chief economist, says homeowners aren’t eager to give up their current rate. “This indicates to us that many homeowners are probably not eager to give up their ‘locked-in’ lower mortgage rates anytime soon …” Duncan said. (source)
