Four of five consumers describe buying conditions for homes as bad, a record in data going back to 1978, according to the University of Michigan’s consumer sentiment survey for November. The erosion in perceived buying conditions is at the highest level in 40 years. And Fannie Mae’s most recent Home Purchase Sentiment Index (HPSI) dropped to 56.7, down 4.1 points from September 2022 to the lowest level seen in the Index’s 11-year history. Just 16% of HPSI respondents indicated that “Now is a good time to buy a home,” while the percentage who now believe “Now is a good time to sell a home,” decreased to 51%. Home buying conditions are deemed to be the worst in a generation due in part to soaring mortgage rates in response to the Fed’s raising of interest rates in an effort to tame rampant inflation.