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Category: Real Estate Matters Real Estate Matters
Published: 07 June 2022 07 June 2022

Please see NAR’s latest reports on the Economic Impact of Real Estate Activity in New Mexico and in the U.S. overall. The reports highlight how the housing market is affecting the national economy as well as the local economies in all 50 states. These reports outline the total economic impact of real estate related industries on the state economy, as well as the expenditures that result from a single home sale, including aspects like home construction costs, real estate brokerage, mortgage lending and title insurance.

New Mexico: https://cdn.nar.realtor/sites/default/files/documents/2022-state-economic-impact-report-nm-04-28-2022.pdf 

National: https://cdn.nar.realtor/sites/default/files/documents/2022-state-economic-impact-report-us-04-28-2022.pdf 

Analysis and Maps: https://www.nar.realtor/blogs/economists-outlook/how-do-home-sales-affect-the-economy-and-the-job-market-in-your-state

Highlights:

In New Mexico, each home sale generated $93,800 of economic impact in 2021. Overall, the real estate industry accounted for $17.1 billion or 15.7% of New Mexico’s gross state product in 2021. Real estate is a major driver of the U.S. economy, accounting for $3,894.3 billion or nearly 17% of the GDP in 2021.Nationwide, NAR estimates that each home sale at the median generated about $113,000 of economic impact in 2021.NAR estimates that every home sale generates two jobs.

Top 10 states with the highest income generated from a home sale in 2021:

1.      Hawaii: $306,100

2.      District of Columbia: $280,200

3.      California: $246,700

4.      Massachusetts: $191,700

5.      Washington: $187,630

6.      Oregon: $176,460

7.      Colorado: $169,220

8.      Idaho: $160,600

9.      New Jersey: $158,100

10.  New Hampshire: $156,100