Renters have a different view of real estate economy than homeowners.

Source: PEW Research Center

It seems that renters are much more pessimistic about rising home prices. I’m not sure of the participants in this study were planning on buying a home in the near future, but this study does show something interesting about how you see the market when you own property versus when your at the mercy of a landlord.

More renters believe home prices are rising.

Are they pessimistic about their buying power? They may be feeling left out of the prosperity homeowners found during the boom years leading up to our current conditions.

Renters aren’t worried about the housing economy.

Renters expect prices to climb more than homeowners do. So why aren’t they buying? First-time home-buyers are seeing harder times with mortgage woes. It takes some patience and hard work to get a home loan, and perhaps renters aren’t willing to go through with it.

Americans are not optimistic about the economy.

Source: PEW Research Center

Yet this study is extremely interesting. We saw some of the greatest appreciations in Austin real estate in 2006. Many people sold out to collect their equity while late-comers created a building and flipping surge, especially in central Austin real estate. 2007 was much slower than 2006, especially in the last two quarters. Yet, the number of those who believe the economy is in poor shape has not increased as dramatically as I would expect. I think this shows how pessimistic people are about the economy anyway. We live in a fairly prosperous country and Austin has a steady growth rate which leads to steady real estate prices, yet I would expect similar numbers on a local study based on the fears and questions I receive.

Is this thing on?

I still wonder if anyone can actually hear me. Don’t be afraid to buy. We are currently in a RARE buyer’s market here in the Austin real estate market and at the same time, interest rates are at HISTORIC lows. I’m shopping for real estate in Austin now so don’t blame me if you don’t get in on this buyer’s market! Get your head out of that national news paper, turn off CNN, and get real. We’ve seen studies showing that people think the bottom is falling out of the American economy for years and it hasn’t. In fact, the primary reason for the housing slowdown and the buyer’s market here in Austin is the attitudes of people, not actual economic fact. Now that sellers are getting real, take a chance and think about investing in Austin’s real estate market. I’ll show you how!