Just a few thoughts based on some recent conversations: The key driver for new residential construction, both single family and rental properties, is household formation. And household formation is mostly driven by jobs. So jobs are the key driver for new residential construction.
But wait ... there are about 3 million fewer payroll jobs now than at the start of the recession. So why do we need any new housing units?
Read more...Calculated Risk: A comment on Jobs, Household Formation and New Residential Construction