Home sales create jobs. The construction and sale of homes generate revenues for the home builder, contract labor, and retailers. After a home is sold, the new homeowner purchases appliances and furniture to make the house a home.
Housing activity impact on the local (and state) economy is substantial, and effects national and global economies as well. The business of housing has a direct bearing on stocks, bonds, and commodities . The Mortgage Bankers' Association of America compiles data on home sales activity. The MBAA purchase applications index tracks trends for home builder stocks, mortgage lenders, home furnishings companies, and applications for home loans. This index is a leading indicator for single-family home sales and housing construction.
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