Housing market sentiment down but optimistic for the future

RCLCO's quarterly National Real Estate Sentiment Survey found the current real estate market index for the third quarter of 2011 was 38, a 10-point drop from the third quarter of 2009. The index for the outlook of the housing market for the next 12 months was 53, down from 69 but still fairly optimistic for future expectations.

Charles Hewlett, the managing director of RCLCO, said political uncertainty in the United States and in Europe, a poor job market, the volatile stock market and a stubborn housing market have pushed consumer sentiment for the real estate industry down in the third quarter. Hewlett said both the current index and sentiments for the future of the housing market suggest there remains waning optimism in regards to the speed and durability of a housing recovery.
However, some markets are experiencing growth. NBI Realty recently reported that home prices in the Washington, D.C., area has been trending upwards, with increases in price in D.C., Maryland, Loudon County and Fairfax County, Virginia.

Augusto Arostegui, principal broker for NBI Realty, said the D.C. area has reported a 4.1 percent increase in prices compared to last year, and the local housing market has remained stable throughout the housing crisis.

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