How a manufacturing renaissance is affecting the housing market.
COVID changed the way we work forever by introducing the mandatory work-from-home phenomenon. While employees hold onto their home office and leisurely commute, management is questioning the merits of the production and collaboration of WFM and other policies championed during that time. We believe other factors - affordability and job creation, will play a bigger role moving forward.
The Pandemic Altered Population Redistribution Trends in Both Rural and Urban America - ‘The turbulent economic, social, and epidemiological conditions fostered by COVID altered traditional demographic trends in both metropolitan and nonmetropolitan America….there is evidence of renewed population gains in many parts of nonmetropolitan America between April 2020 and July 2022. This modest nonmetropolitan population increase occurred because a net migration gain… ‘ Source
Why? Affordability and Jobs - The virtuous cycle
Another two factors that often get overlooked are affordability and jobs. Many places that have attracted people are cheaper with less restrictive new housing policies. More jobs typically equal more people. More jobs aren’t just being caused by people moving headquarters but by the manufacturing resurgence. Supply chains are just in the beginning phases of reshoring, forced upon them by the shocks that left them without inventory and geopolitical barriers.
The recent bills passed will only accelerate the migration. Many areas have already benefited from new growth but should continue to prosper. The recent bill passed by Congress will only induce further investment.
Don’t hesitate to contact us to receive our upcoming complete report or if you have any questions.