Housing: A Key Push to Economic Recovery

A new NAHB report concludes that housing is critical in uplifting the nation’s economy in 2002.

According to Housing: The Key to Economic Recovery (available at www.nahb.com), the lowest home mortgage interest rates in 30 years, strong demand for new homes from the 1 million-plus households formed annually and healthy gains in home values bode well for the industry — and the national economy.

“Housing is crucial to the performance of the U.S. economy, accounting for about 14% of the nation’s gross domestic product,” the report says. “It is also vital to local and state economies, creating jobs and generating taxes and wages that positively influence the quality of life.”

The construction of 1,000 single-family homes generates 2,448 jobs in construction and construction-related industries, the report finds, and approximately $79.4 million in wages and more than $42.5 million in federal, state and local tax revenues and fees. Construction of 1,000 multifamily homes generates 1,030 jobs in construction and related industries, $33.5 million in wages and more than $17.8 million in federal, state and local tax revenues and fees.

These numbers are particularly important because they demonstrate how essential it is for the NAHB to “stand up for housing” and advocate for our industry, housing and housing consumers.