I don’t view this poll result as being over-optimistic. In fact it is as bearish a poll as I’ve read about in about a decade.
Remember, this is a nationwide poll, not Southern California or San Diego.
If you read the article it says that 21% expect declines. ALso, to quote … The 60 percent that expect higher prices see a mean increase of just 2.9 percent, which is down from 3.9 percent six months ago and fails to keep pace with inflation.
So, nationwide you have an expectation by homeowners that their houses will increase less than inflation.
Last time I checked this was defined as a decline in the real price of a home.
Remember the polls that indicated people expected 15% increases ?
I think this poll indicates that there is a broad swath of the country (20%) girding for outright nominal price declines, and at least 80% expect a real decline in price.
