When most people think about buying or selling a home, the focus is understandably personal—new beginnings, growing families, job changes, or maybe just a desire for something fresh. But beyond the logistics of showings, offers, and inspections, there’s a larger, often overlooked ripple effect: how your move fuels the local economy.
Each year, the National Association of Realtors® (NAR) releases a report breaking down the economic impact of a typical home sale—and the numbers are eye-opening.
On average, the sale of an existing home contributes $60,287 to the local economy. That figure more than doubles for a newly built home, totaling $125,314. Why the difference? It’s largely due to the construction aspect and the army of professionals involved in bringing a new home to life—from architects and contractors to suppliers and tradespeople.
Let’s take a quick look at where that money goes (see attached visual):
- Income generated from real estate industries (commissions, fees, moving expenses, etc.): $35,114
- Expenditures related to home purchase (furniture and remodeling expenses): $5,620
- Multiplier of housing related expenditures: $19,553
- New home construction (only for new homes): $65,027
As Robert Dietz, Chief Economist at the National Association of Home Builders, puts it:
“Housing is a significant job creator. In fact, for every single-family home built, enough economic activity is generated to sustain three full-time jobs for a year.”
When you step back and think about it, each home sale supports a network of workers—local contractors, landscapers, inspectors, appraisers, escrow officers, and countless others. Many of these professionals are right here in the South Bay, feeding their families and reinvesting back into the community.
So whether you’re upsizing, downsizing, or relocating, your decision does more than just move you from Point A to Point B—it helps keep our local economy humming.
Final Thought
Moving isn’t just a personal milestone—it’s a community investment. Your real estate decision supports jobs, small businesses, and neighborhood growth right here in San Pedro and throughout the South Bay.
If you’re thinking about making a move in 2025, we’d be happy to chat through your options and share how your decision might impact both your future and your hometown.
As always, stay local and coastal.
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Mike Harper & Peter Hazdovac
Licensed Realtors® | HH Coastal Real Estate
