Boise in Top 5 Housing Markets for Jobs, Sales Growth

5 Top Housing Markets for Jobs, Sales Growth

The creation of new jobs spurs household formation and leads to new construction and helps to boost consumer confidence.  “When employment is strong and growing, consumers are more confident about their present and future,” writes Jonathan Smoke, realtor.com®’s chief economist in his latest column.  “When consumers are more confident, they are more likely to buy a home (or sell an existing home to buy another one).”

As such, realtor.com®’s research team identified five major markets that have seen the most growth in jobs and homes sales over the past two years.  

• Portland, Oregon –  
  Only Portland can challenge Nashville for hipster and housing bragging rights. Like Nashville, the market—including nearby Hillsboro, OR, and Vancouver, WA –  has enjoyed twice the U.S. pace of job growth over the past two years, which amounts to almost 94,000 more people employed. Unemployment this summer was down to 4.3%. Home sales have grown at a compound annual rate of 12%. And home prices in Portland are now at record highs.
  Narrative:
  Home sales growth over the past 2 years: 12%
  Number of jobs created in 2 years: 94,000
  Unemployment rate: 4.3%

• Nashville, Tennessee – 
  Nashville is the hipster capital of the South, and the housing market has been as hot as its chicken. The market—including the surrounding Davidson County and nearby Murfreesboro and Franklin – has seen twice the pace of job creation as the U.S. has enjoyed over the past two years. Unemployment is down to 3.4%. Home prices are setting record highs, but the area’s relative affordability is enabling millennials to get into homeownership and drive a compounded annual growth rate in home sales of 10% over the past two years.
  Narrative:
  Home Sales growth: 10%
  Unemployment rate: 3.4%

• Charlotte, North Carolina – 
  The greater Charlotte metropolitan market includes both Concord and Gastonia. More than 75,000 jobs have been created over the past 24 months in Charlotte, which has resulted in unemployment falling to 5.2%. The housing market has followed these gains as home values are now fully recovered and sales have grown at a compounded annual rate of 11% over the past two years.
  Narrative:
  Home sales growth: 11%
  Number of jobs created: More than 75,000
  Unemployment rate: 5.2%

• Boise, Idaho –
  Boise has enjoyed a compound annual growth rate in home sales of 13% over the past two years, which is one of the highest sales growth rates in the country. That growth rate has been spurred by almost 17,000 jobs created over the 24 months ending in June. The unemployment rate has fallen all the way down to 3.6% this summer, providing a solid foundation for strong consumer confidence to keep the momentum going.
  Narrative:
  Home sales growth: up 13%
  Number of jobs created: 17,000
  Unemployment rate: 3.6%

• Raleigh, North Carolina –  
  Raleigh is setting new record highs for home prices amid continuing strong growth in home sales because of continued stellar growth in employment. The past two years have seen more than 47,000 jobs created, while unemployment has fallen to 4.6%.
  Narrative:
  Number of jobs created: 47,000
  Unemployment rate: 4.6%

Source: Realtor.com | Thursday, September 01, 2016