From the WSJ:
More than half of Americans now expect the country’s home prices to climb within the next year, illustrating a growing optimism toward the health of the housing industry, according to new data by mortgage-finance company Fannie Mae (FNMA).
“For the first time in the survey’s three-year history, the majority of Americans surveyed now expect home prices to increase,” said Doug Duncan, senior vice president and chief economist at Fannie Mae. “Crossing the 50% threshold marks a significant milestone as most Americans believe a housing recovery is truly occurring throughout the country.”
The share of respondents polled in Fannie’s April housing survey who expect home prices to go up rose three percentage points in April to 51%. At the same time last year, only 32% expected an increase in home prices.
The share of respondents who say now is a good time to sell climbed four percentage points in April to 30% compared with 15% at the same time last year.
According to the survey’s results, the average 12-month home-price-change expectation held steady at 2.7%. The share of respondents who say mortgage rates will go up fell three percentage points to 43%, while those who say they will go down increased slightly to 7%.