In Some Markets Income Growth Outpaces Price Appreciation

first_img September 16, 2016 503 Views In Some Markets, Income Growth Outpaces Price Appreciation Home Price Appreciation Income Growth 2016-09-16 ScottMorgan1 in Daily Dose, Data, Headlines, Newscenter_img Times might still seem tough, but income growth is moving at a faster pace than its ever been, particularly in lower-income areas based on numbers from the U.S. Census 2015 American Community Survey, released this week. The news indeed came as a surprise, but it was not the only surprise in the numbers.Ralph McLaughlin, chief economist at Trulia, noted a second surprise‒‒metros with the lowest incomes had the highest income growth last year, a clear sign, he said, that regional income convergence is picking up.A look at the rate of income growth with the rise in home prices found that in several metros, income growth rate outpaced home price appreciation noticeably. Nashville, where income growth grew most in the country, saw 10.2 percent income growth in 2015, while median houses appreciated 7 percent. El Paso and Birmingham saw nearly 10 percent income growth and low home price growth. Birmingham homes appreciated 4.6 percent in 2015, whereas El Paso homes rose a mere 0.2 percent, the lowest price growth metro.The two anomalies in the 10 top income growth markets, Trulia reported, were Seattle and West palm Beach; Seattle because it was the only top-10 city considered a wealthy city, and West Palm Beach because it was the only top-10 metro where home prices grew faster than incomes (11.5 to 8.5 percent).In low-income markets in general, income growth rose about 5.5 percent as median prices rose 3 percent. This dynamic was shared with the highest income areas, where income grew 3.5 percent and median prices grew 3 percent in 2015.However, lower-middle, middle, and higher-income areas generally saw prices rise about a third more than incomes.Why are incomes growing?“It’s tough tell at this stage,” McLaughlin said. “In general, though, income growth can rise for a few different reasons.”Incomes tend to rise when the unemployment rate drops, employers raise wages to attract labor, productivity increases, and as a result of labor migration, McLaughlin said.“As firms open new locations and bring new employees with them, the multiplier effect of local spending generates more opportunity for supporting business,” he said. “Even if new employees aren’t paid any more than existing ones. While we can’t be certain which processes are dominating in individual markets, near full employment at the national level is certainly helping increase wages regionally.” Sharelast_img read more

Kolb is due a 2 million bonus if hes on the rost

first_imgKolb is due a $2 million bonus if he’s on the roster Friday afternoon and would count $13.5 million against the team’s 2013 salary cap if his deal wasn’t reworked.The Cardinals also signed free agent quarterback Drew Stanton to a three-year deal earlier this week. Former Cardinals kicker Phil Dawson retires 0 Comments   Share   The 5: Takeaways from the Coyotes’ introduction of Alex Meruelo Kolb and the team discussed various options for him to return, but both sides could not come to an agreement.— Adam Caplan (@caplannfl) March 15, 2013 However, the team has left the door for him to return, which is very interesting. It was assumed that they didn’t want him back.— Adam Caplan (@caplannfl) March 15, 2013center_img Grace expects Greinke trade to have emotional impact Top Stories It’s taken a lot longer than many thought it would, but it looks like Kevin Kolb’s tenure in Arizona is just about officially over.NFL insider Adam Caplan tweeted the news Friday morning:QB Kevin Kolb rejected the Cardinals contract restructuring and will be released by 4:00 PM ET, source confirmed.— Adam Caplan (@caplannfl) March 15, 2013 Derrick Hall satisfied with D-backs’ buying and sellinglast_img read more