The FINANCIAL -- Homeowners continue to be skeptical about the value of their home in the short-term and even long-term confidence is limited.
A new Rasmussen Reports national telephone survey finds that only 15% of Adult Homeowners believe the value of their house will go up over the next year. Twenty-seven percent (27%) hold the opposite view and believe it will go down.
Those numbers reflect a further weakening of confidence from a month ago, and match the lowest level of optimism yet recorded.
Last April, 31% believed that the value of their home would go up in value over the coming year. That was the peak of confidence measured since December 2008.
Even looking out five years, just 43% believe the value of their home will go up. “That’s a devastating assessment for a nation that was brought up to believe that housing values would always go up,” noted Scott Rasmussen, President of Rasmussen Reports. Sixteen percent (16%) say the value of their house will go down, and another 33% think it will stay about the same.
Since December 2008 confidence in the long-term increase in home value has ranged from a high of 59% to last month’s low of 39%.
The survey of 680 Homeowners was conducted on May 14-15, 2011 by Rasmussen Reports. The margin of sampling error is +/- 4 percentage points with a 95% level of confidence. Field work for all Rasmussen Reports surveys is conducted by Pulse Opinion Research, LLC. See methodology.
Investors are more confident than non-investors about home values in the short and long-term.
Homeowners in all income ranges show little confidence in short-term recovery. When it comes to five years, those making over $60,000 annually are far more optimistic than those homeowners earning under that amount.
Most of all American adults continue to believe interest rates will be higher in one year's time, but a majority says the rates they're paying now haven't changed over the past year.