Despite rising interest rates, Americans feel generally positive about the state of the economy, housing and their own finances. Although Fannie Mae’s Home Purchase Sentiment Index fell 0.3 percent in September, the decline was not enough to erase the 1.5 percent gain from August.
Last month’s decline was in part due to a three-percentage point drop in the number of consumers who reported that their household income was higher than it was a year ago. However, 53 percent of respondents to the poll say they expect their income to improve in the coming year.
Even in the face of higher borrowing costs, the net share of Americans who say now is a good time to buy a home increased five percent. Today, conforming no-point 30-year fixed mortgage rates are averaging 4.75 percent, 15-year rates are near 4.25 percent and the 5-year ARM is averaging 4.25 percent.
Do you have a question for Real Estate & Mortgage Analyst Mehran Aram? Submit your queries about a home purchase, refinance, or reverse mortgage via Aramco.Biz, social media (#AramcoReport), or over the phone at (866) 381-8888 and your questions may be featured in an upcoming article.