New data is showing that housing’s share of the U.S. GDP edged higher in Q1, 2022, while overall GDP growth declined at a 1.4% annual rate. The NAHB’s Eye on Housing is reporting that housing’s share of GDP increased to 16.7%, coming off of a 14-year high of 17.8% during Q2, 2020. In addition, they point out that Housing-related activities contribute to GDP in two basic ways. The first is through residential fixed investment (RFI) – which is effectively the measure of the home building, multifamily development, and remodeling contributions to GDP. The second impact of housing on GDP is the measure of housing services, which includes gross rents (including utilities) paid by renters, and owners’ imputed rent (an estimate of how much it would cost to rent owner-occupied units) and utility payments.
Click here to read the full report at the NAHB’s Eye on Housing.
