General survey findings:
Americans' attitudes towards the housing market are continuing to improve, despite stalling optimism about the economy and personal finances, according to a monthly survey by Fannie Mae.
What will interest rates do? The Fed is talking about more easing. Easing typically does not include increasing interest rates but the opposite. Keeping rates low for savers also causes them to invest in other than the most conservative and passive investments. If people save with low-earning investment vehicles, inflation will eat their capital. (See: "As Low Rates Depress Savers, Governments Reap Benefits," by Catherine Rampell. New York Times.)
Where will housing values go? This is a very complicated issue with many factors going into the modeling. For instance, few are privy to the inner workings of the deal making at Fannie and Freddie, etc., with huge, corporate bulk-buyers. Also very few know what Ben Bernanke privately discusses with the heads of the largest member banks of the Federal Reserve system.
Their non-transparent deals and the full thinking behind their decisions appears to be geared at best with the wealthiest aggregate in mind and almost not at all concerning sole, middle- and lower-class earners, savers, investors. It appears to be extremely weighted toward "Too Big To Fail" entities, their investors and executives, and equity-market positions. (See: "C.A.R. Calls for Transparency in FHFA Bulk Sales Pilot," by Tory Barringer. DSNews.com.)
What do you think? Let us know.