February's Construction Numbers Show that Housing is Back

As reported earlier today on Benzinga, the Labor Department was gushing with positivity after the addition of 236,000 jobs in February, a figure far greater than anticipated. The second largest gains were situated in the construction sector, which surged with a net gain of 48,000 jobs — a post-recovery high. The good news in the housing market is part of a growing trend. According to real estate firm Trulia, the economic recovery has added 125,000 residential construction jobs so far — plus more than 184,000 jobs in other housing-related industries. And there's room to grow. Chief economist at Trulia, Jed Kolko, said, "Yet housing-related employment is far below its peak. Residential construction jobs are still 39% below their peak during the bubble, and overall housing-related jobs are down 28% from their peak." Housing has also recovered quicker than other areas of the economy. The rise of 3.1% from residential construction jobs year-over-year is more than twice as much as the average US employment growth rate. The chart below from the Bureau of Labor Statistics illustrates the housing recovery nicely.