Phoenix ranks among top cities in nation for housing, job growth
PHOENIX — A recent report found that Phoenix ranked as the second-highest city in the nation when it comes to housing, apartment rent and attracting high-quality jobs.
“The Housing Opportunity Index showed…56 percent of the homes sold were affordable to a medium-income earner in Phoenix,” CBRE senior research analyst Jessica Morin said.
“That number is pretty large when you compare it to places like Los Angeles, where only 7.7 percent of houses sold were affordable to their residents and then in San Francisco, it’s only 6 percent there.”
Morin said that affordable cost of living is one of the main reasons why Phoenix has the second-highest job growth in the country. On average, 174 people move to Phoenix each day.
“We’re growing 3.7 percent and we’re attracting really high quality good jobs here,” she said.
Morin explained that positive growth is good, but it can also have its growing pains. Because housing is limited, many people are moving into multi-rental housing units and rents are increasing to match demand.
“In 2005, (Phoenix) had about 60,000 single-family home permits. Today, we have about 22,000,” she added.
Out of 12 major metropolitan cities, Phoenix is also second in rising construction material and labor costs, with growth at more than 6 percent year-over-year.
“We have 35,000 less jobs in the construction sector than we did at our previous peak and because of this it’s increasing their wages.”