Confidence in housing increasing, survey shows

While uncertain about the economy, jobs and national security, Americans’ confidence in the housing market continues to grow, showing an increase of 1.7 points from March, according to ValueInsured Modern Homebuyer Survey.

The confidence index hit 68.7 points in June, compared to 67 points in March. The survey links the increase to progress in national employment.

However, there are still obstacles leading to homeownership. Firstly, the housing crisis of 2008 has left a lasting impression on Americans. Whether its’ buying a first home or purchasing a new one, 63 percent of Americans, including nearly three-quarters (72 percent) of millennials have the crisis on their minds as a top concern before taking the plunge of homebuying. Jobs are also a worry to Americans. Fifty-five percent of Americans, including 71 percent of millennials, are concerned about a job loss or change that would impact their ability to afford a home.

Additionally, both the global and national economy have potential homebuyers feeling hesitant. Fifty-nine percent of Americans, including 68 percent of millennials replied that the global economy is a worry in regards to buying a house. Meanwhile, 63 percent of adults, including 70 percent of millennials are concerned about the national economy and its’ impact on the housing market. On that note, national security is also causing delays in homebuying. Forty-eight percent of Americans, including 61 percent of millennials, are concerned about national security, and that it is impacting their homebuying decisions.

The rise in confidence in the housing market may show a boost, however. Of those who want to buy a new home, 68 percent of Americans, including 81 percent of millennials, said they would look to buy or upgrade now if they felt more confident about the housing market.

Among those who want to buy or upgrade to a new home, 68 percent of Americans and 81 percent of millennials say they would buy or upgrade sooner if they had more confidence in the housing market.

“The survey reflects renewed confidence that housing is a smart investment, though it’s tempered by thoughtful consideration of the undeniable risks, especially given the recent uptick in security and economic events in the U.S. and abroad,” said Cleve Bellar, chief marketing officer of ValueInsured. “Those lingering risks, and the traces of doubt, spotlight the need to protect down payments just as securely as financial institutions protect their mortgages.”