New President Will Bring Better Housing Market

August 26, 2008

If the housing market doesn’t significantly improve during the last half of this year, it will improve when the new U.S. President takes office next January. That’s the opinion of 44 percent of the population, it was revealed in a recent survey by the research firm of Harris Interactive, a study commissioned by Move Inc.

The survey indicates a strong underlying demand for homeownership, according to Harris. Nearly half (41 percent) of current homeowners plan to purchase a home again, it was noted, while 80 percent of renters intend to buy a home at some point in the future, with 47 percent planning a purchase within the next five years. More people will do so for space-related (26 percent) and life-stage change reasons (17 percent), such as having children or downsizing to a smaller residence.

Most homebuyers are willing to make substantial sacrifices to save and earn extra income for down payments, and will compromise on features and amenities to acquire an affordable home. Many of their choices may reflect changing values, including a growing concern over the environment, the importance of community features and rising cost of fuel, according to the study report.

About four out of five homebuyers say they face barriers to buying a home in the current market. The greatest single barrier is high home prices, a concern that was much higher in the West than in the South or Midwest.

Posted in Real Estate