With a new jobs report that shows nearly 120,000 more Americans are off the unemployment rolls, real estate insiders say the good numbers could impact home sales.
Jed Kolko, chief economist at real-estate website Trulia, explains that with jobs comes cash and the ability to buy a home. And if home sales pick up, local economies see more green.
Here’s a rundown of the important stats for housing you might have missed in today’s jobs report:
Unemployment among young adults
Unemployment fell sharply among adults 25 to 34 years old in November, but it’s still high at just more than 9 percent. Young adults were hit hard by the recession, with many “doubling up” to live with parents or friends rather than renting or owning their own place.
[Read: Great Recession Means a Diminished American Dream for Young Adults.]
That has sucked a lot housing demand out of the market, worsening the problem of houses sitting for years without a buyer.
And until employment prospects improve for the 25 to 34 crowd, demand for housing won’t pull the sector out of its malaise.
“[This age group] is very important for future housing demand,” Kolko says. “When their economic prospects
Read More from the Article Source: Full Article
