A combination of higher home prices and strong buyer demand is convincing more current homeowners that selling their house may be a good idea. According to Fannie Mae’s most recent Home Purchase Sentiment Index – which measures Americans attitudes toward buying and selling a home, renting, household finances, mortgage rates, etc. – April saw a 16 percent increase in the number of consumers who said now was a good time to sell a house. Doug Duncan, Fannie Mae’s chief economist, says that could be good news for both current homeowners and prospective buyers. “We can partially attribute the sizable gain in April in home selling optimism both to a correction for last month’s unexpected dip and to typical seasonal strength in housing activity in the spring and summer,” Duncan said. “Even after accounting for these factors, tight housing supply has led to renewed strength in home price appreciation, making selling a home a more attractive prospect this year in particular. This improved sentiment could provide an extra boost of much-needed supply for the spring selling season.” An increase in available homes for sale would help balance the market, slow down the rate of home price increases, and provide house hunters with more homes to choose from. More here.
