NAHB poll finds consumers still confident on home values.

Americans remain highly confident about the nation's housing prospects, with more than four out of five homeowners expecting the value of their home to appreciate over the next five years and nearly seven out of 10 calling it their most valuable investment, according to the results of a nationwide survey commissioned by the National Association of Home Builders (NAHB), Washington, D.C.

The NAHB survey of 2,000 households found 81 percent of homeowners believe the value of their homes will rise over the next five years. Only 13 percent felt their home would fall in value, while 4 percent expected no change and 3 percent were unsure.

"The poll clearly debunks the more sensational media reports speculating on the demise of the housing market," said NAHB President David Pressly.

"It is interesting to note that other polls conducted by major news organizations have come up with similar results, indicating that despite the current housing market downturn, Americans resoundingly believe that buying a home is the best investment they can ever make."

In addition, 69 percent of the respondents listed their home as their most valuable investment. By contrast, this was followed by 401(k) and other retirement accounts, with just 11 percent of those polled citing this as their top investment, said NAHB.

Looking ahead, NAHB Chief Economist David Seiders noted the housing market is poised for solid and sustained growth in the future.

"We are in the midst of an inevitable adjustment following the housing boom of 2004-2005, when housing market activity soared to unsustainable levels," said Seiders. "Housing demand should stabilize in short order, and the downward adjustment to housing production should run its course by mid-2007."

The market that emerges from this correction will display good balance between supply and demand, and move to a healthy and sustainable trend based on solid underlying fundamentals, added Seiders.