By Ovunc Kutlu
ISTANBUL (AA) - Consumer confidence in the US housing market remained near historically low levels in March, the government-sponsored Fannie Mae finance company said in a report on Friday.
Fannie Mae said its Home Purchase Sentiment Index (HPSI) rose 3.3 points in March to 61.3, but added that it remains just slightly above its all-time low set late last year.
The HPSI had plummeted to 56.7 in October, marking its eighth consecutive monthly decline and recording its lowest reading since the beginning of the index in 2011.
"The percentage of respondents who say it is a good time to buy a home remained unchanged at 20%, while the percentage who say it is a bad time to buy remained unchanged at 79%," the report said.
Fannie Mae Vice President and Deputy Chief Economist Mark Palim said a large majority of consumers continue to believe that it is a bad time to buy a home despite the spring homebuying season is approaching.
"Homeowners sharing this belief frequently cited 'unfavorable mortgage rates' as the primary reason for their pessimism," he said, adding that "consumers also expressed apprehension about the direction of home prices."
The percentage of respondents in the survey who believe that mortgage rates will go down in the next 12 months decreased from 15% to 12%, according to the report.