Even though the peak spring real estate season is underway, fewer Americans believe now is a good time to buy a home. New poll data show that sentiment hit an 11-year low.
Currently, 61 percent of Gallup survey respondents say now is a good time to buy a home, the lowest since the 2008 reading of 53 percent. 2014 was the most recent high point in homebuyer perception that the market was favorable, but in the five years since, confidence has dropped most for key subgroups including young adults aged 18 to 34 years (-14 percent), individuals aged 35 to 54 years (-20 percent), people who live in the West (-21 percent), those earning $100,000 or more annually (-27 percent), and nonwhites (-18 percent).
Americans' reduced optimism about buying a home today comes as prices have again risen -- beyond those of the early 2000s housing bubble -- and mortgage rates are higher than they were after the recession. The price increases have been proportionately greater among lower-priced homes, leaving fewer affordable options for prospective buyers.
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