UNEMPLOYMENT BLS data for April 2020
shows the unemployment rate for the Kansas City MSA has risen to 11.2 percent from a low of 2.9 percent reached in November 2019. This is two percent higher than the maxi - mum unemployment measured in the great recession of 9.2 percent in 2010. RentRange analysts forecast an end-of-year unemployment rate of seven to nine percent for the market. HOUSEHOLD INCOME According to 2018 ACS data, the various industries in the Kansas City MSA provide a median household income of $64,020, ranking the met - ro 73rd in the country. MSA incomes are higher than the statewide median household income of $58,218 for Kan - sas and $54,480 for Missouri. Incomes are also slightly above the national median income of $63,688. Metro incomes have enjoyed a 4.1 percent increase from 2017 ($61,479) and a 13.4 percent increase over the 2008 household income of $56,458. Information and statistics from the Bureau of Labor Statistics employment data, Department of Labor report, Census/ACS Tables and Rent- Range® data sources.
five percent to 20 percent to retain staff as business conditions rebound. The Kansas City MSA is 35th in the country for new construction. The Census Building Permit Survey shows 2,700 total unit permits and 1,600 SFR permits YTD through April. New development will alleviate some of the inventory squeeze and will keep price appreciation muted. Kansas City MSA Home Price Forecast through 2021 Pent-up demand, historically low interest rates, and low inventory has led to home price increases between March and April of nearly one percent. Listings are increas - ing as sellers gain confidence in home values and their ability to find a replacement home, but for-sale listings are still lower by more than 20 percent vs. May 2019. Coming into 2020, the Kansas City market has been steadily performing, supported by jobs and wage increas - es. The summer market seasonality, low mortgage interest rates, the CARES Act forbearance policies freez- ing foreclosures, and the improving buyer sentiment from reopening the
HOME PRICE METRICS Kansas City Home Values through April 2020 The multi-index trend shows the 2008 recessionary effects on the Kansas City market were relatively tame in comparison to many other markets, and the post-recession growth has been steadily increasing for home price, rent, income, and employment. In April 2020, the median sin- gle-family home value in the Kansas City MSA was $220,000. Since the lows in 2012, the Kansas City market has rebounded 52 percent over the last eight years, averaging a 6.5 percent year-over-year growth. In the last year, home value appreci- ation has slowed, yet it’s still up 4.1 percent year-over-year. Notably, income growth has been strong in the last five years, support- ing the increases in home and rent prices. It is difficult to determine how wages will fare given the current economic climate and it depends on the COVID-19 induced challenges for conducting business in each respec - tive industry. Some companies have temporarily cut pay for employees by
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