By Diana Olick | CNBC
After a strong surge in home sales over the past six months, suddenly consumers are concerned about the health of the housing market. Buyers and sellers felt significantly less confident about making a deal in December, according to a monthly survey by Fannie Mae.
The percentage of survey respondents who said it was a good time to buy a home fell to 52% from 57%, while the percentage who said it was a bad time to buy increased to 39% from 35%. On the sell side, just 50% said it was a good time to sell, down from 59% the previous month. Respondents who said it was a bad time to sell rose to 42% from 33%.
“The sell-side component fell for the first time since April, reversing most of the increases of the past three months and implying to us that, at least temporarily, potential home sellers might wait to list their homes,” said Doug Duncan, chief economist at Fannie Mae. “If so, this could have the effect of perpetuating already-tight inventory levels and supporting additional (albeit lesser) home price growth, which could contribute to a further moderating of home sales.”
