Housing market relies on jobs to increase demand for homes

New York /
Jan.January 03, 2011 09:40 AM

With an abundance of unsold homes, housing markets across the country now are relying on job growth and the recovering economy as a way to boost demand and prevent loans from going into foreclosure, according to the Wall Street Journal. “The number one biggest risk is that, for whatever reason, the overall economy does not grow sufficiently to produce any meaningful rebound in jobs,” said housing economist Thomas Lawler, who founded Lawler Economic & Housing Consulting, which provides analysis and forecasts of housing trends.
For commercial real estate investors, less hiring has translated into fewer new jobs to fill empty office space and less consumer confidence to spur activity. The past year was a difficult one for the housing market, experts said. Home prices stabilized in the first half of 2010 as the government offered tax credits to encourage sales, but transactions dropped to 15-year lows after that stimulus expired. Many analysts expect home prices to decline by an additional 5 percent before stabilizing later this year. [WSJ]


Related Articles

arrow_forward_ios
(Image by Wolfgang & Hite via Dezeen)

Hudson Yards megadevelopment inspires a new line of sex toys

Hudson Yards megadevelopment inspires a new line of sex toys
Cammeby's International Group founder Rubin Schron and, from top: 194-05 67th Avenue, 189-15 73rd Avenue and 64-05 186th Lane (Credit: Google Maps)

Ruby Schron lands $500M refi for sprawling Queens apartment portfolio

Ruby Schron lands $500M refi for sprawling Queens apartment portfolio
Wendy Silverstein (Credit: Getty Images)

Wendy Silverstein, co-head of WeWork’s real-estate fund, is out

Wendy Silverstein, co-head of WeWork’s real-estate fund, is out
Gov. Andrew Cuomo (Getty, iStock)

State proposes zoning override for commercial-to-resi conversions

State proposes zoning override for commercial-to-resi conversions
President Joe Biden (Getty; iStock)

Biden to extend limits on evictions, foreclosures

Biden to extend limits on evictions, foreclosures
Gene Martinez (Compass)

Gene Martinez, early Compass recruit, dies

Gene Martinez, early Compass recruit, dies
(Photo illustration by The Real Deal)

This office redeveloper is going all in

This office redeveloper is going all in
Vijay Dandapani, president & CEO, Hotel Association of New York City (Getty)

Hotel owners ask NY for break on tax penalties

Hotel owners ask NY for break on tax penalties
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...