(PresidentialInsider.com)- According to a working paper from the Countrywide Bureau of Economic Research, a national shift to remote labor as a result of the COVID-19 epidemic has raised housing costs.
According to the report, remote employment contributed 15.1 percent to the 23.8 percent increase in house prices between 2019 and 2021. This, according to Johannes Wieland from the University of California, San Diego’s department of economics and John Mondragon from the Federal Reserve Bank of San Francisco. Additionally, the report claims that as people shift to locations suitable for remote work, national housing demands have changed.
According to the survey by Mondragon and Wieland, more than 42% of American workers were doing at least some of their work from home as of last November.
The study’s authors concluded that fiscal and monetary support was not as significant as it had been since house price rise during the epidemic represented a shift in fundamentals rather than a speculative bubble. This suggests that policymakers should closely monitor the development of remote labor as a critical factor in predicting future inflation and home price rise.
According to Zillow’s house value index, which only covers properties in the medium price range, the average home in the United States is worth $344,141. According to the website, the price increased by more than 20% from the previous year.
One of the first businesses to approve long-term remote employment was Twitter. The corporation declared that workers who may work remotely would have the choice to do so permanently in early May 2020. Facebook announced something similar a few weeks later. Numerous businesses have released such announcements since last May.
Some businesses, such as Slack, have approved the permanent remote employment of all employees. A portion of the workforce at certain companies, including Zillow, has the opportunity to work remotely. Still, some businesses, like Salesforce, are offering their workers the choice to work remotely permanently or to adopt a hybrid model that would limit their time on-site to a few days a week.
If you think customer service was terrible before the “Pandemic,” wait until you have to deal with a company whose employees are at home but never answer their calls. Or when they do, you can’t hear them over the barking dogs and family members fighting in the background. Very unprofessional.