The Fannie Mae (OTCQB:FNMA) Home Purchase Sentiment Index (HPSI) in November dipped by 1.7 points to 80.0, its first decline after three continuous months of increases; HPSI is down 11.5 points Y/Y.
Three of the six HPSI components decreased M/M, with consumers reporting a more pessimistic view of homebuying conditions, including mortgage rate expectations, but a more optimistic view of home-selling conditions and home prices.
"Drilling down a bit, home purchase confidence has recovered more for homeowners than for renters, in part because homeowners have been less likely than renters to have had their jobs and finances impacted by the pandemic," SVP & Chief Economist Doug Duncan commented.
The percentage of respondents who say it is a good time to buy a home decreased from 60% to 57%; percentage who say it's a bad time to sell decreased from 35% to 33%; percentage of respondents who say home prices will go up in the next 12 months increased this month from 40% to 41% while percentage who say home prices will go down decreased from 20% to 13%.\
The percentage of respondents who say mortgage rates will go down in the next 12 months decreased from 11% to 8%, while the percentage who expect mortgage rates to go up increased from 32% to 43%.
Until the mid of 2020, personal saving rate surged to 33%, highest on record, indicating available financial resources to increase consumer spending as the economy reopens.
In its mid-year forecast report, Fannie Mae indicated that many buyers who normally would have purchased homes in March and April were likely delayed due to the coronavirus pandemic, pushing the spring buying season later into the year.
No comments:
Post a Comment