Optimism Amid Federal National Mortgage Association Foreclosures
he level of bank foreclosures and Federal National Mortgage Association foreclosures in New York may not have risen to the level seen in hard-hit areas like Nevada and Arizona, but the housing crisis did affect the region. A recent poll conducted by the Siena Research Institute of Albany for the New York State Association of Realtors showed that state residents are feeling better about the housing market, but doubts continue to linger.
Even when foreclosed homes in Queens Village and in the rest of New York started rising, most residents reportedly have positive feelings about the region's residential property market. However, the foreclosure crisis did have some effects on this optimism, analysts have stated. During the first quarter of 2011, the survey showed that pessimism was still prevalent among some area residents, although not as much as what was seen during the 2010 fourth quarter.
The study revealed that local homeowners' outlook for the residential market in the state hardly changed from last year's fourth quarter. This, analysts stated, indicates that residents are expecting the real estate industry to improve by 2012 even with current problems with foreclosures in New York. Despite the seemingly positive outlook, analysts also claimed that most residents still have doubts over the direction that the housing market will take in the immediate future.
With bank foreclosures and Federal National Mortgage Association foreclosures remaining high in most local markets of New York, analysts stated that it is not surprising that sellers do not share the level of optimism felt by most homebuyers. For the past few years, homebuyers had the advantage as prices of homes plummeted and supply continues to expand. However, industry analysts asserted that sooner than anticipated, sellers might be the ones feeling better about the industry.
They noted that houses in foreclosure are still weighing down prices, but the whole residential property market is showing signs of improvement which could eventually lead to a sustained recovery. They claimed that the real estate sector of New York is starting to grow and signs are there that a balance within the market will soon emerge.
They did warn though, that it will take time before the impact of the oversupply of bank foreclosed properties and Federal National Mortgage Association foreclosures is shed out in the region. However, as the survey showed, most local residents have more belief in the ability of the New York real estate industry to recover compared with other residents in various areas of the U.S.