Economic Impact of Real Estate Activity: Idaho
The Real Estate Industry accounted for $9,444 million
or 16.1% of the Gross State Product in 2012.
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 Idaho
Income Generated from real estate related industries is $12,393
Additional expenditure on consumer items such as on furniture, appliances, and remodeling is $4,429
It generates economic multiplier impact. There is a greater spending at restaurants, sports games, and charity events. The size of this “multiplier” effect is estimated to be $8,075
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 $17,213
The Total Economic Impact of a Typical Home Sale in Idaho Median Priced Home: $137,700
Total income derived from a Sale of a Home: $42,109
Bureau of Economic Analysis; Macroeconomic Advisors, NAR, NHAB,