Zillow: Homeowners' Perceptions Unrealistic

U.S. homeowners' perceptions about the value of their homes remained unrealistically bullish in the first quarter, as nearly three-quarters said they believed the value had increased or held steady over the previous year, according to a recent Zillow survey. Zillow.com, an online real estate community based in Seattle, said 72% of the homeowners surveyed expressed such a view despite the fact that 75% of U.S. homes had declined in value over the previous year. "While we assume there's a fair bit of owner denial reflected in these results, we also believe a large portion of the population simply isn't paying close attention to their housing market because they're not currently looking to sell or finance," said Stan Humphries, vice president of data and analytics at Zillow.com. "But even among those who say they're planning home-related activities this year, confidence appears strong despite continuing declines." The survey was conducted by Harris Interactive. Zillow can be found online at http://www.zillow.com.