(Angus Reid Global Monitor) – Many adults in the United States believe now is a good time to buy a house, according to a poll by Gallup. 71 per cent of respondents agree with this notion, up 18 points since April 2008.
(Angus Reid Global Monitor) – Many adults in the United States believe now is a good time to buy a house, according to a poll by Gallup. 71 per cent of respondents agree with this notion, up 18 points since April 2008.
Since 2007, defaults on so-called subprime mortgages—credit given to high-risk borrowers—in the U.S. caused volatility in domestic and global financial markets and ultimately pushed the U.S. economy into a recession. A recession is defined as two consecutive quarters of negative growth. The crisis has affected the global financial and credit systems, and triggered layoffs in companies around the world.
Last year, the federal government—then under the leadership of U.S. president George W. Bush—took control of mortgage lenders Fannie Mae and Freddie Mac. Other financial institutions—including Bear Stearns, Merril Lynch, Lehman Brothers, American International Group (AIG), IndyMac Bancorp and Washington Mutual—have been sold, placed under bankruptcy protection, or received emergency loans from the Federal Reserve.
On Apr. 21, U.S. treasury secretary Timothy Geithner defended the federal government’s bank rescue program, saying, "A range of legacy assets, such as real estate related loans made during the housing boom, remain on the books of major banks, limiting their ability to extend credit and to raise new equity. (…) We need to put in place comprehensive regulatory reforms that deter fraud and abuse, protect American families when they buy a home or get a credit card, reward innovation and tie pay to job performance, and end past cycles of boom and bust."
Polling Data
For people in general, do you think that now is a good time or a bad time to buy a house?
|
Apr. 2009 |
Apr. 2008 |
Apr. 2007 |
|
|
Good time |
71% |
53% |
58% |
|
Bad time |
27% |
44% |
39% |
|
Unsure |
2% |
3% |
3% |
Source: Gallup
Methodology: Telephone interviews with 1,027 American adults, conducted from Apr. 6 to Apr. 9, 2009. Margin of error is 3 per cent.
