Real estate market expected to improve with new president


WASHINGTON – July 23, 2008 – A recent survey conducted by Harris Interactive on behalf of Move Inc. shows that 44 percent of homebuyers expect improvements in the housing market when the new president is installed next year.

However, 81 percent of buyers are "nervous" about the housing market at the present time.

Even so, 47 percent of renters expect to make a home purchase in five years; and 78 percent of respondents expressed their willingness to make sacrifices in order to achieve homeownership in the current market. Of these, 18 percent were willing to give up cultural and recreational amenities and 16 percent would sacrifice green components; but only 7 percent would give up storage space, and just 7 percent were willing to travel farther to get to work.

Also, 27 percent of prospective buyers would forfeit a vacation, 47 percent would cut coupons, 52 percent would go out less frequently, and 65 percent would cut back spending on personal luxuries along with apparel, shoes, and accessories.

With regard to barriers to homeownership, 31 percent cited high home prices; while 28 percent and 20 percent of respondents said downpayments and annual incomes, respectively, posed significant challenges.

Lorna Borenstein of Move Inc., which operates Realtor.com, notes, "These findings show that despite the difficulties home buyers face in the wake of the subprime crisis and their concerns about economic uncertainty, underlying demand appears relatively strong."

Source: RISMedia (07/22/08)

© Copyright 2008 INFORMATION, INC. Bethesda, MD (301) 215-4688

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