 We Texans are certainly an outspoken bunch – especially when it comes to our economic situation. According to a recent Scripps Howard Texas Poll that asked Texans their opinions on the economy, 62% said they thought it was “fair” or “poor.” Despite that attitude, 37% of Texans still say the economy is excellent or good, and that number is up 14 percentage points since February 2003.
“There has been a lot of discussion about wage declines, jobs paying less. The claim is people’s incomes have gone down,” says Charles Plosser, an economics professor at the University of Rochester in New York, in a news story from Scripps Howard about the poll. “That may or may not be the case. If you look at national statistics, it is true that real wages appear to be flat or have declined in the past three years, but total compensation is up.”
The Texas poll was conducted in August by the Scripps Research Center in Abilene. The poll surveyed 1,000 adult Texans by telephone in a random sample.
Jobs, retirement, and the future
Meanwhile, Texans are optimistic about the future, with 57% saying they expect to be financially better off in a year. Eight percent expect to be worse off and 30% expect to stay the same financially. And most of us are happy with our current jobs – about 90%. In 1998, 87% of Texans were satisfied with their job, and 93% were satisfied in summer 2001.
That 90-percent figure is also in line with state statistics on job growth in Texas. According to statistics for the month of August compiled by the Real Estate Center at Texas A&M University, nine industries posted positive employment growth rates for the period from July 2003 to July 2004.
Those industries included the education and health-services industry (ranked first in job creation); professional and business services; and the leisure and hospitality industry. The state’s transportation, warehousing, and utilities posted three months of employment growth in July 2004 – after 32 months of employment losses.
And, when it comes to retirement, 44% of Texans believe they can afford to retire at a reasonable age; that’s more than thought that a year ago, according to the Scripps survey.
|
Confidence + money = real estate purchases
We might not think economic conditions are ideal, but most of us wholeheartedly agree that now is a good time to buy a house or make a major household purchase. In fact, 71% of those asked in the Scripps poll say it’s a good time to invest in real estate, up from 65% in 1999.
Experts say the recent push for housing has much to do with still-historically low interest rates and how much easier it is to borrow money these days. With lenders making it simple – and relaxing a bit on qualifying guidelines like no-money-down when other factors like a good credit history are present – potential homeowners are buying in droves.
“Just a small interest-rate change can change that monthly payment,” says Jack Harris, a research economist with the Real Estate Center at Texas A&M University.
A great investment for all
It appears that Texans have the same attitudes of most U.S. citizens. In another poll conducted in June of this year, most Americans said they believe that owning their homes can lead to overall success, including children who have better school performance, homeowners who have greater community involvement, and even increased personal financial security.
The survey from the Homeownership Alliance also found that:
- 66% of those surveyed believe that children who grow up in homes that their families own are more likely to do better in school
- 80% think that owning a home gives them a stronger connection to the community in which they live
- 87% believe that homeowners are more likely to be involved in community organizations and local government
- 76% agree that people who own their own homes are more likely to take time to vote in national elections
- 66% think the federal government should provide incentives to make housing more affordable
“The majority of Americans we see view homeownership as a superior financial investment, as well as a fundamental building block to a better life,” says Thom Riehle, president of Ipsos Public Affairs, which conducted the poll of 1,000 homeowners for the Homeownership Alliance.
|
