Wealthy Americans Remain Confident Home Values Will Increase, Says PNC

Amid signs that the runaway real estate market is slowing down, the majority of wealthy Americans remain optimistic that their homes will continue to appreciate in value, according to survey findings released today by The PNC Financial Services Group, Inc.

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Amid signs that the runaway real estate market is slowing down, the majority of wealthy Americans remain optimistic that their homes will continue to appreciate in value, according to survey findings released today by The PNC Financial Services Group, Inc.

Sixty-five percent of those surveyed said they expect to see double-digit increases in the value of their primary homes over the next five years, with nearly one-third (31%) anticipating an increase of 20% or more.

“Our findings indicate that many among the wealthy will not believe there is a real estate slowdown until they see it reflected in their property values, especially in regions of the country where prices have skyrocketed during the past five years,” said Nicholas Buss, Ph.D., senior vice president and PNC’s real estate economist.

He added: “As an investment, real estate has been an increasingly dominant asset class over the past five years. The party may be over for those who have been ‘flipping’ houses and using real estate to get rich quick. But, in general, established wealthy Americans have not been speculative buyers and they remain solidly confident in the long-term value of their real estate holdings.”

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