This return to normalcy also implies an improvement in residential construction employment. But many are wondering how many jobs will come out of this homebuilding rebound.
In its latest edition of Housing Insights, Fannie Mae studies the historical relationship between housing starts and residential construction employment coupled with Economic and Strategic Research’s housing starts forecast, to project future homebuilding employment.
If housing starts keep up with expectations and return to normal levels in 2016, it is predicted that residential construction employment will rise to nearly 2.5 million jobs.
Fannie Mae predicts housing construction will recover to a “normal” level of about 1.6 million units in 2016. But what does this mean for homebuilding employment?
Fannie’s forecast predicts that residential construction employment will increase by 412,000 jobs between 2012 and 2016. This 20% rise in homebuilding employment will nearly triple the forecasted pace of total job growth during this time period.
However, the pace of growth will not be quick enough to bring back all homebuilding jobs lost during the housing bust. In 2016, the number of residential construction jobs is expected to remain nearly 1 million jobs below peaks established during the housing boom.
Bedford New York Real Estate | Bedford NY Homes by Robert Paul Realtor » Blog Archive » Fannie Mae: Homebuilding jobs far from normal | North Salem Real Estate.