A recent survey of current and potential homeowners shows the majority have a bright outlook on the nation’s housing market and economy for 2014—which may translate to a more active market.
LendingTree released recently the results of an online survey conducted near the end of the last year. The survey collected responses from 609 individuals who either currently own a home or are considering purchasing in the next year.
According to the findings, more than two-thirds—69 percent—of respondents have a positive outlook on housing this year, and 63 percent hold a similar view for the economy at large.
With hopes this high, 71 percent of respondents said they are considering selling their home in 2014.
“As home values continue to improve across the country, sellers who have been sidelined due to low property values will start to take action in the market,” said Doug Lebda, founder and CEO of LendingTree. “Although it’s unlikely that 70 percent of current homeowners will sell this year, it’s a positive sign for the housing market that more homeowners are considering the possibility of moving.”
According to the survey, 72 percent of respondents said home prices in their area increased throughout 2013, while 20 percent said values were down, and 8 percent said they were flat.
In areas where home values were said to have increased, prices rose an average of 10.2 percent; among those areas where respondents said values fell, the average decrease was believed to be 9.2 percent.
The most recent Case-Shiller home price data shows prices in the nation’s 20 biggest markets were up an average 13.6 percent year-over-year as of October.
While those kinds of gains may discourage potential homebuyers as affordability slips, they’ll be necessary to draw sellers in: Of the 71 percent of homeowners who are thinking about selling this year, 47 percent said they plan to sell if they see an increase in their home value. Only 24 percent said they would sell regardless.
By: Tory Barringer for DS News