Economic Impact of Real Estate Activity On Our Economy

SignThis report compiled by the National Association of Realtors:

The Real Estate Industry accounted for $171,017 million or 14.5% of the Gross State Product in 2011.

Economic Contributions are derived from …

–Home construction

–Real estate brokerage

–Mortgage lending

–Title insurance

–Rental and Leasing

–Home appraisal

–Moving truck service

–Other related activities


When a Home is Sold in New York,

Income Generated from real estate related industries is: $20,601

Additional expenditure on consumer items such as on furniture, appliances, and paint service is:  $5,647

Expenditure on remodeling within 2 years of purchase:  $4,833

It generates a multiplier impact.

There is a greater spending at restaurants, sports games, and charity events. The size of this “multiplier” effect is estimated to be: $14,919

Additional home sales induce additional home production. Typically one new home is constructed for every 8 existing home sales. Therefore, for each existing home sale, 1/8 of new home value is added to the economy which is estimate in the state to be: $28,613

The Total Economic Impact of a Typical Home Sale in New York

Median Priced Home: $228,900

Total Income Derived from a Sale of a Home: $74,612

There you have it!  Real Estate has always been the pillar of our economy!

Are you ready to purchase?  We are here for you as Real Estate Makes A Dramatic Comeback!