Consumers report heightened confidence in homeownership
Posted on Friday, April 5, 2013 at 4:25:48 PM
As an increasing number of consumers begin to express strengthening confidence in the possibility of purchasing property, the rate at which residential lending is requested may rise considerably.
According to a recent study by Mayflower, 47 percent of Americans report they feel more comfortable buying a house today than at any point during the last five years. In addition, almost a third of respondents said are currently ready to make a move.
Compared to the first quarter of 2012, residential moves were reportedly up 16 percent in the last three months. This data may point toward busy spring and summer homebuying season in the near future, as January through March is generally a slow time of year for moving.
Adding to the possibility of increased home sale figures is the recent dip in mortgage rates, allowing consumers to obtain affordable residential financing. Freddie Mac reported fixed-rate mortgage products saw declines in the week ending April 4. Average 30-year FRMs were seen at 3.54 percent last week, while 15-year FRMs averaged 2.74 percent.
Not only did the popular FRM products depreciate week-over-week, they showed positive annual changes. During the first week of April 2012, 30-year FRMs were recorded at 3.98 percent and 15-year FRMs registered at 3.21 percent.