Economic gains spur additional real estate activity
Posted on Wednesday, January 16, 2013 at 3:11:11 PM
As the national economy continues to build momentum, this could result in additional real estate activity during the course of 2013.
At the end of last year, data from the U.S. Bureau of Labor Statistics indicates employers expanded payrolls by an estimated 155,000 positions, which could give more Americans the financial stability them need to qualify for residential financing.
"As we begin 2013, the economy is undoubtedly at a better place now than at this time in 2012," said Freddie Mac vice president and chief economist Frank Nothaft. "And despite the clouds of fiscal uncertainty facing the country, positive jobs reports and the strengthening housing market continue to be the bright spot as we begin the New Year."
The economy and housing market are fairly synonymous with one another. Economic gains made in the first 11 months of 2012 resulted in an unemployment rate below 8 percent - one of the few times this mark was surpassed following the end of the recession. During this same 11-month period, home sales spiked 9 percent on an annual basis, according to Freddie Mac. Similar gains are expected by November this year.