Survey finds three of four homeowners think housing market bottom reached

Although 60 percent of homeowners believe their own home lost value during the past 12 months, in reality 80 percent of homes across the country lost value during the past 12 months, according to Zillow’s Q1 Homeowner Confidence Survey. However, 74 percent of homeowners surveyed believe their home will not decline in value in the coming six months, effectively calling a bottom to their own home's housing slide, the report said.

A significant number of potential sellers are holding back due to the current market, according to the report. When asked about future plans to sell, 31 percent of home owners said they would be at least "somewhat likely" to put their homes on the market in the next 12 months if they saw signs of a real estate market turnaround.

"While homeowners are now more realistic when looking backward, they are still pretty starry-eyed when looking forward with three out of four homeowners believing that their own homes' prices will increase or be flat over the next six months,” said Dr. Stan Humphries, Zillow's vice president of data and analytics. “Unfortunately, there are few markets we expect to perform this well."