Checking In Again on Unemployment Rates

When people lose jobs the lose the ability to borrow money to buy another home. Their are fewer average number of people buying a home in a new city to take a new job. Companies transfer fewer employees. There is generally less money in the system to spend on buying new homes.

The unemployment rate for both the U.S and for South Dakota, is critical to us. Here's the updated chart. Notice how South Dakota's Unemployment Rate did not begin to grow worse until about a year after the U.S. unemployment began to tank. Still, we are far better off than the national average. And therefore far better off than those communities hit hardest.

If we can sustain this relatively stronger unemployment, then surely when the national housing market and the national economy turn around, we'll lead the U.S. on the way, instead of lagging like we did on the way down.