07 Feb '12, 5pm

Creating Jobs in Homebuilding: What It Will Take | David Goldstein's ...: Most new housing was built in suburban...

Paul Krugman wrote on February 6th that January’s favorable jobs report may be a harbinger of economic recovery . But he lists a precondition: that housing must recover. “The main thing standing in the way of a housing bounce-back is a sharp fall in household formation — econospeak for lots of young adults living with their parents because they can’t afford to move out. ” Why can’t they afford to move out? There are two related answers that are key to making the economy grow and generate jobs. The first answer is that the kind of housing that we have been constructing in America before the housing bubble burst truly is and will remain unaffordable. Most new housing was built in suburban sprawl: locations where driving to and from the house over the life of the mortgage will cost $350,000—more than twice the cost of the house itself. Many young adults truly cannot afford th...

Full article: http://switchboard.nrdc.org/blogs/dgoldstein/creating_job...

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Creating Jobs in Homebuilding: What Will it Take?: Filed under: Energy News

Creating Jobs in Homebuilding: What Will it Tak...

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