On the House
Charlie Lawson
Bulls & Bears in the House
There seems to be a difference of opinion between people who own homes and people who would like to buy them. The National Association of Realtors puts out what they call the Housing Opportunities and Market Experience (HOME) Survey every quarter and the latest one shows different attitudes between homeowners and potential buyers when it comes to timing. Check out the differences:
75% of potential buyers believe now is a good time to buy a home
56% of current homeowners believe now is a good time to sell a home – down from 61% during Q4 2015)
These numbers indicate a bigger appetite for buying homes than selling, but confidence is also slipping a bit regarding the economy:
48% of households feel the U.S. economy is improving – down from 50% in Q4 2015
To make a lame Wall Street reference, you could say that the bears own houses and the bulls are renting; but the last stat from the survey seems to show that everyone seems a little uneasy about the economy which is not uncommon in an election year (and this one is turning out to be a doozy). Lack of inventory (homes for sale) in certain price ranges has been an issue and widely reported and discussed for some time. The important takeaway for the public not to make assumptions because market conditions vary – even by neighborhood. We as real estate and lending professionals need to make sure we arm potential buyers and sellers with the latest local information so they can decide whether or not it is in fact a good time for them to buy or sell. ~Charlie