Northern Virginia Real Estate
America's Housing Sector and the Economy
In 2001, existing home prices appreciated at a rate of 6.3%, the largest increase in over a decade.The majority of studies indicate that households spend 30-40% of their disposable income on housing-related expenses. These expenditures assist in supporting other sectors of the economy. Nearly 70% of all tax revenues raised by local governments in the US derive from property taxes. Homeowners contribute roughly 43% of property taxes, and commercial property taxes contribute the remaining 57%. The National Association of Home Builders estimates that the construction of 1,000 single-family homes generates 2,448 full-time jobs in construction and related industries, $79.4 million in wages and $42.5 million in combined local, state and federal revenues and fees. Source: The Importance of America's Housing Sector to the Economy. On Common Ground, Winter 2003.
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