Economic Impact of the Housing Market: New Construction
October 2016Following the housing market bubble burst, 7 years later the housing market has in part recovered to pre-recession times. But what does that mean for the economy?
According to data released by the National Association of Home Builders (NAHB) the economic impact of the housing has a substantial effect on the overall economy. For every 1,000 single-family homes built approximately 2.975 jobs are created and totals of $116 million in net business income. Looking deeper into the jobs created approximately half are in construction alone.
The impact of 2,000 apartments built result in 2 jobs created with about half of those in construction and manufacturing. This would bring a total of $46 million in net business income with $25 million in construction and $7 million in manufacturing.
For more information: NAHB