Now a Good Time to Sell, Say Homeowners
Seventy-one percent of homeowners say now is a good time to sell, reports World Property Journal. A new survey shows a growing confidence among homeowners about economic and financial prospects. However, non-homeowners haven’t forgotten about some of their tougher fiscal realities.
Midwest seller confidence at a high
According to the latest quarterly Housing Opportunities and Market Experience survey from the National Association of Realtors (NAR), 71 percent of current homeowners believe now is a good time to sell their home. This number is up from last quarter, at 69 percent, and up considerably from a year ago, when 61 percent of owners had confidence in the housing market. Notable in terms of regions, the Midwest reportedly surpassed the West for the first time in the survey, with home seller confidence at 76 percent over 72 percent, respectively.
“Perhaps this notable uptick in seller confidence will translate to more added inventory later this year,” Lawrence Yun, chief economist for NAR, told the news outlet. “Low housing turnover is one of the roots of the ongoing supply and affordability problems plaguing many markets,” he noted. Yun continued, noting that whatever the reason, be it contentedness, building equity, or buyer hesitation, not enough current homeowners are selling.
Optimism falling for renters, urban households
On the other end of the spectrum, the survey results show a decline in optimism among renters. Only 52 percent of surveyed renters thought now was a good time to buy, down from 56 percent last quarter and 62 percent a year ago. Confidence was reportedly most in retreat for younger households, urban households, and renters on the West Coast.
Economic optimism was also in decline. A reported 42 percent of urban respondents said they believed the economy was improving, down from 58 percent a year ago. Among all respondents, economic confidence fell to 54 percent. “Areas with strong job markets but high home prices risk a migration of middle-class households to other parts of the country if rising housing costs in those areas are not contained through a significant ramp-up in new home construction,” warned Yun.