RICHMOND – Governor McAuliffe announced today the release of a new study measuring the economic impact of Virginia’s housing industry. The study found that Virginia’s housing industry generated $47.8 billion in economic activity in 2015, with $21.8 billion in direct output, making it the sixth largest private sector industry in Virginia by direct output.
“The economic impact study showcases Virginia’s housing industry as an economic driver that generates thousands of jobs and billions of dollars in economic activity, making it a central component of our economic strategy,” said Governor McAuliffe. “Housing is a key indicator of any community’s vitality, and we will continue to develop strong housing policies as we build a new Virginia economy.”
The impact study reveals that the housing industry in Virginia supported more than 314,000 jobs paying more than $14 billion in annual wages, salaries and benefits in 2015 making it one the largest contributors to the Virginia economy. Using only direct output as a measure of industry performance, the housing industry is the sixth largest private sector industry and provides approximately 8 percent of Virginia’s jobs, including agricultural and government employment. The Virginia housing industry is a diversified group of economic sectors representing construction, finance, retail trade, transportation, professional services and residential services.
“Given the size of the housing industry’s contributions to the Virginia economy, we know that having a robust housing market is key to any economic development effort,” said Secretary of Commerce and Trade Maurice Jones. “This research proves that the housing industry is a link to economic opportunity, and housing is a major component in determining the quality of life for individuals, families and the Commonwealth’s general prosperity.”
Created as a result of Governor McAuliffe’s Executive Order 32, “Advancing Virginia’s Housing Policy,” the Housing Policy Advisory Council is chaired by Secretary of Commerce and Trade Maurice Jones and is tasked with developing housing policy initiatives aimed at addressing Virginia’s critical housing needs. The study was commissioned by the Governor’s Housing Policy Advisory Council and is the first component of a larger research effort, Assessing the Importance of Housing for Virginia’s Economy, being performed by the Virginia Coalition of Housing and Economic Development Researchers. The coalition includes faculty and graduate students from Virginia Tech, George Mason University, Virginia Commonwealth University and the College of William and Mary.
To view the entire report, visit www.virginiahousingpolicy.com.