WASHINGTON (9/11/14)--U.S. citizens don't expect big things from the housing market this year, according to a recent survey by Fannie Mae, with the overall labor market and a lack of personal income growth fueling the tepid expectations (CNBC.com Sept. 8).
The share of consumers who believe it's a good time to buy a home dropped for the second straight month, according to the survey.
Only 64% of those surveyed believe now is a good time to buy, tied for an all-time low.
"The August National Housing Survey results lend support to our forecast that 2015 will likely not be a breakout year for housing," Doug Duncan, Fannie Mae senior vice president/chief economist, told CNBC.com.
"The deterioration in consumer attitudes about the current home-buying environment reflects a shift away from record home-purchase affordability without momentum in consumer personal financial sentiment to compensate for it," Duncan added.
Home sellers also appear less optimistic.
Home-price appreciation has slowed considerably in 2014, according to recent market data, perhaps contributing to the fact that only 38% of those polled said now is a good time to sell a home.
This all despite mortgage rates still hovering near record lows.
"The drivers of the flattening have been continued rent growth, a slowdown in home-price growth and some easing in rates," analysts from Deutsche Bank said (CNBC.com).