Affordable new home construction generates employment opportunities for the community and energizes the local economy in many ways. Most of the jobs created are in the areas of construction, engineering, maintenance, property management, architecture and retail. Many of the employment opportunities come directly from the construction activity, including the businesses that provide products or services to home builders and buyers. Jobs are created where lumber, lighting fixtures, concrete, sheet rock, heating/air equipment and other products for homes are produced. Jobs are also created for real estate agents, lawyers and brokers who provide services for home builders and home buyers.
In 2008, NAHB estimated that building affordable new homes created the following:
- 05 jobs and $89,216 in taxes (from building an average new single-family home).
- 1.16 jobs and $33,494 in taxes (from building an average new multifamily rental unit).
- 1.11 jobs and $30,217 in taxes (from $100,000 spent on residential remodeling).
As used here, taxes are a shorthand for government revenue from all sources, including construction-related fees imposed by local governments.[1]
Jobs are created during the construction of the homes and from new consumer spending after the homes are occupied. It attracts more retailers to the area which provides additional jobs. Affordable housing development generates employment opportunities for the community and stimulates the local economy in the following ways:
- Creating short-term and long-term jobs
- Increasing consumer spending
- Attracting employers and employees
- Increasing job security by providing settled housing
- Generating tax revenue for local and state governments
- Lowering the risk of evictions or foreclosures
- Offering better transportation options
New home construction presents opportunities for decent jobs and quality apprenticeships. It provides a boost for the construction industry and supports supply chains as well. An added benefit is helping to save the environment. New homes are made to be more energy efficient which helps people cut down their energy use and reduce their household bills. Retail revenue is increased in the local area as homeowners buy products for their household. New home construction is a benefit for the community.
[1] http://www.nahbclassic.org/generic.aspx?genericContentID=103543
