HPSI Returns to Gradual Upward Trend with November Jump
The Fannie Mae Home Purchase Sentiment Index® (HPSI) increased 2.6 points in November to 87.8, once again nearing its all-time high from September. The increase can be attributed to increases in four of the six HPSI components. The net share of respondents who said now is a good time to buy a home increased 7 percentage points compared to October but remains down 1 percentage point compared to the same period last year. Additionally, the net share who reported that now is a good time to sell a home rose 4 percentage points in November and is now up 21 percentage points year-over-year. The net share who said home prices will go up in the next 12 months increased 6 percentage points in November, while Americans also expressed a greater sense of job security, with the net share who say they are not concerned about losing their job increasing 4 percentage points. Finally, the net share of consumers who reported that their income is significantly higher than it was 12 months ago remained unchanged in November.
“In November, the HPSI rebounded to near its all-time high, returning the index to its gradual upward trend and suggesting fairly stable consumer home-buying attitudes,” said Doug Duncan, senior vice president and chief economist at Fannie Mae. “These results are consistent with our expectation that the housing market will continue its modest expansion going forward. Next month’s survey should offer the public a first look at the influence that potential tax reform may have on consumers’ views toward housing and the broader economy.”
On this webpage you will find a news release with highlights from the HPSI and NHS results and the latest Data Release highlighting the consumer attitudinal indicators.
Downloads and Related Links
November 2017 National Housing Survey Data Release (PDF)