There is no getting away from the real estate. We farm on it, live on it, work on it, build on it, fly away from and return to it and ultimately buried in it. No one question the importance or real estate in our lives. The industrial and commercial activities of our nation are completely dependent upon the land and its natural resources for their very existence.
Many of us are involved either directly or indirectly in some activity concerning real estate. Millions of people are engaged directly in the construction activities with literally millions more provided them with the materials and peripheral services essential to their work. The construction industry is vital to our country's economic well being and thus is important in real estate finance. Any changes in it soon effect everyone in the living community.
The construction slowdowns results in layoff and cutback while increased activities stimulates production and services in the many areas associated with the industry. First of all the construction slowdowns hits residential builders, than work also slowed in nearly every other sector as well including commercial and industrial constructions. The construction slowdowns pushed new land development onto the back burner and caused homebuilders to halt new construction.
The real estate sector at present employs about one million people. According to the labor force survey(LFS) in 1999-2000, 2.1 percent of the labor was engaged in the construction, whereas for 19995-1996 it was 1.8 percent. Recent information concerning investment in the housing sector shows steady growth both in absolute terms and as a percentage of total private investment. Private investment in housing and construction has more than double during the forth five year plan period. During the first three years of fifth five year plan period, the average investment in middle, and low-income people since the past two decades in providing the housing provision.
