Buy now, say most respondents to real estate market poll

Home sales are moribund and home prices have been in a long decrease. People are not buying houses, however perhaps they would if they could. However it's a good time to purchase a house, in accordance with most of the individuals responding to a study released Wednesday. Source for this article - Housing market: most in U.S. think now is the time to buy a home by MoneyBlogNewz.

The buyer’s sector is clear

A lagging real estate market has been a drag on economic recovery, however a recent Gallup study found that when it comes to home buying, 67 percent of Americans feel that now is a good time. That isn’t really good news even though several study respondents believe it. The poll, taken earlier this month, involved a random sample of 1,018 adults. Just a year ago, this same poll of respondents had 72 percent thinking a buyer’s market was occurring. That was up from 1009 where it was 71 percent. Now the amount of homebuyers that are optimistic has gone down to 67 percent. The home values are declining as this happens too. Potential house buyers are waiting for home prices to bottom out.

The massive cut down in the price of a home

In 2007, home prices began to drop as they'll continue to do through 2011. In 2010 there were a record number of foreclosures shown by the real estate sector research firm Realty Trac. The homes have not even been marketed yet. That will occur leaving the home inventory bigger. That isn’t good. A report from Standard & Poor's said the average price of homes within the U.S. could fall by another 7 percent to 10 percent this year. Home prices will continue to go down in accordance with 27 percent of Gallup study respondents. Even more, 42 percent, are worried that their own homes will continue to lose value. Then there was the 21 percent that expected their community home values to go up. That was a bit surprising.

Seeking to what the real estate market will soon look like

To resuscitate the housing sector, the government pulled out all the stops last year. The government gave out a new house buyer tax credit. The mortgages got $8,000 in credit. Over $1 trillion in mortgage securities were bought by the Federal Reserve. That keeps mortgage prices low as well. But with joblessness still high, most American's believe the recession hasn't really ended. Fed chairman Ben Bernanke said last week that it could take at least three more years for employment to recover to pre-recession levels. It may be a good time to invest in a home since interest rates are so low right now though. Investing is not something Americans are willing to do today. Still, it's something they seem to think is a good idea.

Articles cited

MarketWatch

marketwatch.com/story/many-americans-say-its-a-good-time-to-buy-a-home-2011-01-18

24/7 Wall St.

247wallst.com/2011/01/17/americans-expect-home-prices-to-fall/

Seeking Alpha

seekingalpha.com/article/246909-housing-buyer-s-market-to-continue-for-now