Fannie Mae’s Home Purchase Sentiment Index (HPSI) increased during November and came close to its all-time high in September.
The HPSI increased 2.6 points in November to 87.8. Fannie Mae attributed the improved score to increases in four of the six HPSI components.
“In November, the HPSI rebounded to near its all-time high, returning the index to its gradual upward trend and suggesting fairly stable consumer home-buying attitudes,” Fannie Mae Senior Vice President and Chief Economist Doug Duncan said in a release.
“These results are consistent with our expectation that the housing market will continue its modest expansion going forward. Next month’s survey should offer the public a first look at the influence that potential tax reform may have on consumers’ views toward housing and the broader economy,” Duncan said.
According to the HPSI, the net share of respondents who said now is a good time to buy a home increased 7 percentage points compared to October, but remains down 1 percentage point compared to the same period last year.
Respondents who said now is a good time to sell a home rose 4 percentage points in November and was up 21 percentage points year-over-year; while the net share who said home prices will go up in the next 12 months increased 6 percentage points in November.
The share of Americans who said they are not concerned about losing their job increased 4 percentage points. The net share of consumers who reported that their income is significantly higher than it was 12 months ago remained unchanged in November.