Real estate hiring keeps pace with strong U.S. job growth

Real estate employers — a category that includes brokerages — added 6,100 jobs in April, a rate matching monthly job growth nationally.

The real estate sector saw another strong month of hiring in April, with domestic job numbers above expectations.

Real estate employers — a category that includes brokers, among other businesses in the space — added 6,100 jobs last month on a seasonally adjusted basis, according to the latest report from the Bureau of Labor Statistics.

The 0.3% growth rate matches that of the country as a whole, where employers added 428,000 non-farm payrolls to their payrolls in April.

According to Mike Fratantoni, chief economist and senior vice president of the Mortgage Bankers Association, the strength in the labor market also continued to benefit housing demand, as homebuyers found themselves on an increasingly financial footing. more solid.

“Although mortgage rates have risen sharply and home prices have continued to rise at a rapid pace, we expect many potential buyers will continue to be in the market given their strong financial position,” said Fratantoni in a statement.

As the economy continued to recover from the pandemic, it experienced one of the strongest periods of job growth in the past half-century, Fratantoni added.

The report also contained good news for workers in residential construction and other residential construction sectors. These companies added 3,500 seasonally adjusted jobs in April, an increase of 0.4% from the previous month.

Employment for residential trade contractors remained about the same month over month, with only 300 jobs added on a seasonally adjusted basis.

Although residential construction companies have created jobs, annual wage growth for these workers has slowed. Year-over-year hourly wages for non-supervisory workers in construction fell from 6.1% in March to 5.3% in April.

One way to attract and retain construction workers is to pay more, Odeta Kushi, America’s first deputy chief economist, said in a statement.

“Recall that the construction dropout rate jumped in March to the highest rate since 2005,” Kushi said in the statement. “We need more hammers on the job to build more homes, so higher quits are not good news for this labor-intensive industry.”

In the mortgage sector, the payroll news is not rosy. Leading companies have laid off workers in recent weeks as mortgage rates have risen and demand for loans has fallen from mid-pandemic highs.

But the jobs report also held hope for those recently laid off mortgage workers, Brothers said.

“While employment in the mortgage sector may be down due to the sharp decline in refinancing volume, overall employment in the financial sector is growing, which could well provide opportunities to displace employees from mortgages to other areas of finance,” Fratantoni said.

Email Daniel Houston

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