Unaffordable housing and slower job growth go hand in hand
MarketPlace Mitchell Hartman Jan 15, 2020
Low housing supply and high demand have pushed home prices higher. Workers’ incomes haven’t kept up. And in some metro areas where the economy’s been booming, home affordability has tanked over the past five years, according to economist Lawrence Yun at the National Association of Realtors.
Yun said a new report from NAR documents “a slowdown in job growth in places like Boise, Tampa, and Salt Lake City due to affordability challenges.”
Other cities NAR identified with declining home affordability and job growth included Grand Rapids, Indianapolis, Louisville, Atlanta, Nashville, Raleigh-Durham-Chapel Hill, Jacksonville, and Las Vegas.
“Those areas that expect job creation to continue have to provide housing supply,” said economist Robert Dietz at the National Association of Home Builders. “Businesses have to make investment decisions, and they’re not going to locate jobs in a particular market if it’s too expensive for the prospective workers to live there.”...click here to read more.