May 25, 2012
Sound bites from NAR’s 2012 Midyear Legislative Meetings in Washington, D.C.
- Housing represents 12% of GDP. 75 million homeowners pay 90% of the personal income tax. Every two houses sold provide 1 job. Each house sold provides $50-60,000 in ancillary services.
- Some demographic changes of buyers include: a median age increase, a higher share of married, a higher share with a second home. Demographic changes of sellers include: an average age of 53, $101,200 in income, 77% married, term of residency increased from 7 to 9 years.
- We should have a steady rise in owner occupied homes because we add 3 million people per year, but instead, since 2005, we’ve flat-lined with a slight decrease. We at the lowest home ownership rate in 15 years at 65.4%.
- Second home sales have started the recovery. Last year was mostly cash sales with a high number of investors. Owner occupancy sales have been falling, and right now we’re at the bottom. All cash deals are hiding the current dysfunctional mortgage market.