What are you prefer to own, bitcoin, or a property?
Most people claim that property values are significantly higher than the world's largest digital currency, and the two assets have traveled in different directions recently.
According to the Case-Shiller Home Price Index, home prices increased by 19.8% in the 12 months through February. Bitcoin has decreased by 30.1% in the previous year.
According to a consumer finance guide, 40% of homeowners and renters believe cryptocurrency is a superior investment than a property.
According to 50% of respondents, stocks are a better investment than a house.
According to the survey, 44% said they had spent more than they had anticipated for the property. The average over-spend was $10,334.
73% of homeowners said that owning a house increased their self-esteem. On the downside, 29% of homeowners said that owning a house has created stress.
63 percent of Generation Z (those born in 1997 and after) prefer owning, with 69 percent of millennials (those born from 1981-1980) prefer owning; 85% of baby boomers (those born 1946-1964) prefer owning.
The third highest reading in the 35 years of the index was as for the 3.8 percent increase in home prices mentioned above.
"That level of price rise indicates a large increase in the housing market, which is exactly what we continue to observe," Craig Lazzara, managing director of S&P DJI, said in a statement.
Shelf life is limited.
The price rise may not last.
"The macroeconomic environment is rapidly changing, and it may not permit extraordinary home price rise for long periods," he said.
"The continuing economic recovery from Covid has stoked inflation," said the Federal Reserve in response to increasing interest rates. We may soon begin to see the implications of rising mortgage rates on property prices."
In March, the Federal Reserve raised rates by 25 basis points, and many investors anticipate at least another 50 basis points in May and June.
In the week ended April 21, the average rate for 30-year fixed mortgages rose to 5.11%, the highest level in 11 years.
In the meantime, single-family home sales increased by 6.6 percent in March, compared to February, and 6.7 percent the same month that happened a year earlier.
"A combination of factors has contributed to this decline, including increase interest rates and rising prices, which both have dragged purchasers' purchasing power," Kelly Mangold, the company's principal, said in a statement.