Americans are still very pessimistic about the economy, home prices, and household finances, according to results from Fannie Mae's September National Housing Survey. Findings demonstrate that consumers are paying close attention to economic news and what policymakers are saying, and continue to link their personal financial situations with the current macro economic environment.
"The September survey showed a marked deterioration in consumer expectations of home prices over the next year—their weakest outlook since monthly tracking began in June 2010," said Doug Duncan, vice president and chief economist of Fannie Mae. "Despite a decline in negative economic headlines during September – in contrast to their ubiquity during the debt ceiling debate in August – consumers continue to demonstrate very negative attitudes. At the same time, the share of consumers expecting mortgage rates to go up dropped sharply to the lowest level we have recorded, likely influenced by the news that the Federal Reserve will attempt to keep interest rates low for years to come."
"The lack of a sense of urgency to buy homes, given expectations for further declines in home prices and continued low mortgage rates, coupled with general pessimism regarding their own personal finances and the economy, bodes poorly for the recovery of the housing market," Duncan continued.
Fannie Mae's monthly national consumer attitudinal survey report provides indicators offering a window into the opinions of Americans across the country. These behavioral insights convey what consumers think about the outlook for owning and renting a home and about their household finances, and may serve as key inputs for determining the future course of investment across housing types.
On this Web page you will find a news release with details about the Fannie Mae National Housing Survey monthly release and the September 2011 data release highlighting eleven consumer attitudinal indicators.
Downloads and Related Links
September 2011 National Housing Survey Data Release (PDF)