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2010-09-09 16:24

Homeowners Overly Optimistic

According to a recent survey, 80% of homeowners don’t believe their homes will lose value over the next 6 months.  This is really optimistic compared to the average analyst’s prediction that homes will decline another 10-15% nationwide.  Homeowner optimism is one of the reasons why the housing crisis is taking so long to play out.

Many sellers seem to be pricing their homes at unreasonable levels and there aren’t any buyers willing or able to pay such prices.  I think a lot of this optimism has to do with the psychological aspect of our homes.  Realistically, we know that home prices are declining nationwide, but emotionally we feel that our homes are somehow immune to the problem.

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