American homeowners’ perceptions of the value of their own homes moved more in line with reality at the end of 2008, at least when it came to hindsight.  More than half (57%) believe their homes lost value during the year, according to the Zillow, Q4 Homeowner Confidence Survey.  This is markedly more than the 38% who believed their home’s value was declining when asked during the second quarter of 2008.  In reality, 76 percent of all  U.S. homes lost value in 2008, according to Zillow.


          However, when asked what the near future will bring for their homes, most homeowners expressed optimism, and appear to believe that the worst may be over.  According to the survey, more than two thirds (70 percent) of the homeowners believe their home’s value will either increase or stay the same in the first six months of 2009.  Only 30 percent believe it will decrease.


Courtesy of Real Trends