Monitoring Employment for Home Price Cues

Income growth is among the strongest and most consistent predictors of home price appreciation. But incomes are hard to measure at a geographically granular level and at high frequency. Instead, we think investors should focus on employment—a useful pro

Income growth is among the strongest and most consistent predictors of home price appreciation. That’s why studies aiming to isolate the effects of other factors, such as housing supply constraints, typically control for income before assessing the impact of other factors((See this recent paper)). In short, any credible model of housing prices must acco…