Housing Sentiment Springs Back from March Loss
After moving along a nearly flat track for several years, consumer sentiment regarding whether “now” is a good time to buy a home started to rise and fall like the tides in late 2016. April saw increasing positives sentiment; the net share of those saying it was a good time gain 5 percentage points to 35 percent after rising and then falling by ten points in February and March.
The results of Fannie Mae’s National Housing Survey (NHS) also included a shift in the “good time to sell” sentiment, which has always lagged well behind the “buy” responses. Its net percentage began to increase in November and hit a survey high of 31 percent in March but it dropped five points in April.
These two questions are among the six from the survey that make up Fannie Mae’s Home Purchase Sentiment Index (HPSI) which rose 2.2 percentage points in April to 86.7.
The index was rebounding from a March dip and gained 3.0 points over its level in April 2016. The “good time to sell” component was the only one of the six to lose ground during the month.