Inventory rates slowly climbing, and mortgage rates hold steady did little to turn consumers on to the idea of buying a home last month. Fannie Mae reported it its Home Purchase Sentiment Index this week that net positive responses to the question about whether now is a good time to buy a home fell 8 points in April. This is a significant 15 percentage points lower than the same month last year.
Despite the negative sentiment about buying a home, consumers seem optimistic that conditions will continue to improve in the coming months. The share of those who believe rates will decline over the next year climbed 12 points over between March and April.
Historically, the net percentage of American’s who feel conditions are ripe to purchase a home increases in the summer months which are traditionally known as “home-buying season”.
Meanwhile, conforming no-point 30-year fixed mortgage rates are averaging 4.125 percent, 15-year rates are near 3.625 percent and the 5-year ARM is averaging 4.00 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.