Americans’ Housing Confidence Edges Up on Millennial Optimism

The latest Zillow Housing Confidence Index, whose readings above 50 denote positive sentiment among consumers, jumped to 64.2 this summer from 63.7 in January. Confidence was up in 11 of 20 major metropolitan areas tracked. The Housing Market Conditions Index climbed to 62.1 from 60 over the same period, and the Homeownership Aspirations Index edged up to 62.7 from 62.4. However, the Housing Expectations Index dropped to 66.1 from 66.3. Millennials were most confident about their ability to afford a home someday (82 percent) and most optimistic that home values would rise more than 6 percent annually over the next decade (33 percent), compared to 64 percent and 21 percent, respectively, of Generation Xers and 48 percent and 15 percent, respectively, of Baby Boomers. Additionally, 65 percent of Millennials believe homeownership is central to the American Dream, versus 56 percent of Gen Xers and 55 percent of Baby Boomers. | Read More