A new Federal Reserve working paper has found that the record surge in illegal immigration during the Biden administration has had a significant impact on the nation’s housing market. The study, which analyzed individual immigration court records and government administrative data, found that the influx of illegal immigrants boosted local employment with little measurable effect on wages, but came with a trade-off of increasing housing demand and driving up home prices and rents.
Impact on Local Economies
The researchers found that a 1% increase in illegal immigrant worker flow corresponded with roughly a 1% increase in overall employment, but also raised local home prices by about 2.2% and rents by roughly 1.4%. The study found that the housing crisis has heavily impacted affordability in the U.S. and is a key issue for many voters.
The economists estimate that illegal immigrant worker flows accounted for roughly 30% of employment growth in the average local labor market between March 2021 and March 2024, and explained about 30% of home-price growth and roughly 20% of rent growth in the average metropolitan area over the same period.
Original reporting: Fox News (HLL/CB) — read the source article.
