When a home is purchased, the real estate agents aren’t the only ones to make money off the sale. Mortgage lenders, title insurance companies, real estate brokerages, rental and leasing companies, home appraisal companies, moving services, furniture companies, appliance companies, remodelers, restaurants, and sports teams are some of the other entities that benefit. Anything that contributes to establishing a home and experiencing what an area has to offer has the potential to benefit from a home purchase, and from there, money leaks into other areas of the economy through staff salaries and the company’s own purchases. This is why the housing industry is so important to the American economy.
The national average for money put back into the economy is $57.5k, but it varies from state-to-state. In North Carolina, it’s $48k. The state with the highest return is Hawaii, where it provides $177k.
Here’s an infographic showing every state:
A direct financial contribution isn’t the only thing home sales help with. They also generate jobs. According to the National Association of Realtors, two home sales equal one job on average. This is based on an average salary, but this too can vary from state-to-state.
No matter what the exact numbers are, it’s clear that a home sale has a positive impact on the economy and reaches far beyond the buyer, seller, and real estate agents. Remember that when you buy your next home and keep us in mind if you’re purchasing in the Wilmington area.