There’s hardly a facet of the Houston economy that isn’t impacted by oil prices. As 2016 began, oil prices were relatively low and seemed to continue to fall, resulting in energy industry layoffs and a stagnating economy. However, oil prices slowly began to increase again and the economy started to pick up steam. This ultimately resulted in an end-of-the-year surge in home prices and single-family home sales, generating excitement and a sense of optimism as the new year kicked off in 2017.
Now, there’s more reason to be excited. According to the Houston Chronicle, online retailer Amazon is planning to create more than 100,000 jobs across the country — many of which will be based in the Houston area. This is great news for residents of Houston as well as northwest Harris County, and this job creation may continue to spur the growth of the local real estate market.
Notable Facts About the Amazon Announcement
- By adding more than 100,000 employees to its U.S. workforce, Amazon will be increasing its domestic employees by more than 55 percent. By the middle of 2018, the e-commerce company plans to have more than 280,000 employees within the country.
- The jobs that are being created will be available to people with a diverse range of experience, ranging from entry-level positions to high-paying positions such as software developers and engineers. According to Geekwire, Amazon representatives said that job training will be available for many of the new positions.
- The company also claims that the jobs will be full-time positions that offer competitive pay, benefits, company stock options, and even extended parental leaves.
New Jobs and the Houston Housing Market
More than 91,000 deals were closed by real estate agents in 2016, according to Houston.org. Surely, an increase in local jobs will also mean good news for the Houston housing market. While experts and industry professionals are predicted a cooler, calmer year for the Houston real estate market, an unexpected surge in jobs may change the local trends in the area.
Inventory will continue to increase throughout 2017, which can be inviting to buyers who may feel intimidated by an overly-competitive market with low inventory. While mortgage rates are increasing, they are still historically low and provide home buyers with an opportunity to purchase a home for an affordable long-term price.
As the community rebounds from a slight economic downturn that resulted from changes in the oil industry, there’s hope for the people of Houston that 2017 will be a better year. More jobs are predicted to head to the area, and this will allow property values to continue to rise.