A majority of those surveyed by Housing Predictor still display a low level of confidence in the housing sector. With another 6 million foreclosures projected through 2012, there are ample reasons for the pessimistic mood. For more on this, see the following article from Housing Predictor.
Despite increasing home sales in many areas of the country, a large majority surveyed still lack confidence in the housing market recovering, the latest Predictor Poll has found.
The survey shows that despite government efforts to improve the housing market with multi-billion dollar bail-outs and incentives for first time home buyers, consumers still believe there’s not enough being done to help real estate recover. The survey was conducted over a three week period online, ending September 21st.
Some 64% of those polled said they are not feeling better about the state of the U.S. housing market, which has experienced near all-time deflation in the over-whelming majority of the nation. Slightly more than 1 out of 3 respondents said they are feeling better about the market.
The decline in home prices is attributed to the record volume of foreclosures, which just hit 4.3-million homes nationwide since the epidemic started more than two years ago. Banks and mortgage servicing companies have held back more than another 3-million properties from the marketplace to stimulate sales activity.
Sales of bargain priced homes have resulted as consumers await greater government action to at least slow the epidemic of foreclosures, which are hurting the overall national economy.
It’s been more than two years that housing markets have been declining, but home sales are up in many areas of the country.
Are you feeling better about the state of the housing market?
Majority Want Home Buyers Extension
A large majority want the first time home buyers tax credit extended and broadened to include all home buyers, according to the latest Predictor poll.
The survey found that 60% of all respondents favor an extension of the tax credit, adopted by Congress in efforts to re-energize the nation’s ailing housing market, which has seen home values fall at unprecedented rates in many of the nation’s markets. Consumers clearly see the tax credit as working to help ailing markets and prompt home prices to rise.
The remaining 40% said they do not want the tax incentive to be extended beyond the November 30th deadline for first time home buyers, despite more than 4-million homes being foreclosed in the worst foreclosure epidemic in U.S. history. At least another 6- million homes are forecast to be foreclosed through 2012.
Should the federal government’s first time home buyers tax credit program be extended and include all home buyers?
Survey Says Market Will Fizzle
The overwhelming majority surveyed say reviving home sales will fizzle once the first time home buyers federal tax credit expires, according to the latest Housing Predictor poll.
The survey, conducted online over a three week period, found that 77% of respondents say home sales will slow once the federal government’s $8,000 first time tax credit expires on December 1st. Only 23%, which is less than 1 out of 4 survey takers said the market would continue a rebound.
The collapse of the housing market was triggered by record numbers of foreclosures, which have now topped more than 4-million units nationwide. Renewed interest in home buying was prompted by the tax credit coupled with lower home prices. The tax credit may be extended by Congress when lawmakers reconvene in the fall.
Will improving home sales continue or fizzle once the first time home buyers $8,000 federal tax credit expires December 1, 2009?
This article has been republished from Housing Predictor. You can also view this article at Housing Predictor, a real estate analysis and forecasting site.