A survey by Pew found that for the first time since the Great Depression, a majority of Americans aged between 18 and 29 were living with their parents
I believe that. Also a lot of people in this age group struggle w/ financial independence to live solo due to a multitude of reasons. I also wonder how we would quantify the people though that live with their parents until they are married but have good enough jobs to live alone due to family/culture? Cuz where I am- we have a huge demographic of traditional and religious Eastern Europeans who do exactly that.
Adjusted for inflation, incomes have dropped for 19 straight months in a row. The third quarter of this year saw the biggest increase in household debt since 2008. The 2008 increase was followed by a serious recession. Taxes last year were 19.8% of GDP. The only time it was higher was in 1944 when we were paying for World War II. In spite of high taxes, we are running trillion dollar a year deficits. Federal debt as a percentage of GDP just went past 100%. The last time that happened was also in World War II.
Payroll numbers are increasing but the labor force participation rate is dropping. Discouraged workers who have given up looking for a job are not counted as unemployed. Most new jobs are part time jobs. Full time jobs with good pay and benefits are declining as a percentage of jobs. There is a record number of people working a second job, because they can't pay their bills with rising costs. More people go to college but get degrees with little economic value. The combination of increasing prices and lack of good jobs is forcing more young people to live with their parents.
Young people had it too easy so the idea of working hard while living a lesser lifestyle on their own dime is frightening. We grew up with nothing so living on your own with very little was normal. Being a loser living at home is no longer an embarrassment.
My parents made it clear after my bachelor's that I could live with them until I had saved for a down payment on my first house. Took two years and as stated above I wanted to get out as a matter of pride (and having my own place rather than a cheap hotel to... you know). Of course, it helped that I sweated through a degree that gave me a good job rather slinging coffee at Starbuck's.
I live in a senior citizen sub division (55+). For the last 6 months or so the grand daughter, I think, of my next door neighbor has been living with her. I'm guessing she is between 18-22. I do enjoy watching her coming and going. :)
In this world hard workers make it on their own and losers leech off others. Young people live at home because children who cannot do anything for themselves, never leave the nest.
Lol! I find this discussion sorta funny. I don't think it is that cut and dry. I've known people who have moved back in temporarily with their parents while between roommates, but they are also paying their parents' mortgage.
I would agree though that an adult past a certain age who has never left the nest that there is something wrong with them. Like the f, you don't want value freedom and independence? How un-American
20 years ago and prior parents came first and kids were second class citizens. So when kids were old enough to move out they happily did and found a way to make it on their own.
Now many parents are so nice/cool to be around that kids don’t have the same motivation to bail from the comfort of a nice place, full fridge and free Wi-Fi. I am speaking from the point of view of middle class and above. Not sure how poor people get by but that’s a different topic.
All I know is that whenever I see someone in Court taking custody of little kids because the parents are unfit losers, it's not the generation x parents taking in their grandchildren, its baby boomers taking in their great-grandchildren.
DocSavage that tells me we aren’t going to see inflation continuing on like it did in the 70s and 80s. You attest to the fact that the jobs reports are just not painting an overall picture. We also don’t know if the gig economy is thrusting competition away from job seekers. If you talk to Ricky boi, he will tell you inflation is going to continue at the 6-9% rate for years to come, but your accurate statements tell a different story of further declining wage gains in the future. I agree, the labor force isn’t growing that rapidly and wages will increase temporarily for the next year, but employers will stop with those colas in 2024, because the rising pace of goods and services will have plateaued. Too many boomers are retiring and not enough workers taking their seats.
The rate of single motherhood in America is huge, I assume a lot of these young adults are just living with their moms who aren’t going be around all the time
Homes; rents; automobiles; food; interest-rates etc etc have gotten very-expensive in a short amount of time - thus many people have been forced to cohabitate (get/become roommates; move in with family; etc) in order to deal with all the increase$ - if one bought their home a while back and has a low mortgage-rate locked-in; or better yet have their home paid-off; then they are not going thru what renters and/or young-people are going thru with everything going-up at once.
Also - the older one is the more-likely once has savings they can access/depend-on when things get dicey (hefty 401Ks; IRAs; etc; that many have been able to grow over many years).
The narrative that there is a shortage of homes in the US ignores the fluid nature of household formation. During good economic times, people can afford to live by themselves or own second and third homes. When times are tough, they get roommates, move back home, or sell their vacation and investment properties. As a result, home prices fall, rent drops, and there is ample housing available. We have entered that period.
Well the right wing can keep “personal responsibility” gaslighting people and refuse to acknowledge that housing has had a supply side issue for a long time, especially since 2008 when construction has not kept up with the population. And then wonder why people below a certain age are less likely to vote for them and blame their laziness.
And the “moderate” left will pretend to care, then they actually don’t because of the joys of owning rental property in a progressive city and making that easy passive income.
And then the progressive left will keep…finding more people who will align themselves with the progressives for actually acknowledging a real problem. But alas, most of the proposed solutions so far are related to subsidies. And the moderate left is cool with that because woohoo for restricting supply even more and driving the remaining rents up.
Also, this trend of living with parents has gone on a lot longer than the past couple of years, it’s been an ever increasing decades long trend since the early 1980s so it’s not just the “current economy”.
https://www.pewresearch.org/social-trend…
Not that I blame tusclers who enjoy the status quo for what it is. As per what I just linked: “Men and women overall are equally likely to live in multigenerational households, but men are more likely to do so among those younger than 40 and women are more likely to do so among those ages 40 and older.”
…does a lot to explain why sex work has had so much cheap available options for a long while. There is a mantra on this site of The Divine Right of Dick but really it’s just longstanding structural issues in the economy. Cie la vie
Construction has kept up with housing for the legal population. The fact that illegals are flooding over the border and fucking up the country is no reason to build more housing. Also interesting to note that with the increasing reliance on technology, it has turned into an increasing laziness, an increasing belief you are owed something and an increasing belief that you can live off the efforts of others. This country works for those who work hard, not the others. Tough shit, the idea things are tougher now is just weak bullshit. Younger people can take their new technology and avocado toast and build a shelter out of them.
Truth is that first house has always been difficult to obtain since the end of WWII, it might be more difficult now, but the upshot is once you’ve become a homeowner the cost of living becomes more bearable, the proof of that is the accumulation of wealth is greatest amongst homeowners after an event that causes disruption like the credit crisis or the pandemic or any of the many iterations of the different financial crisises throughout the last 75-100 years.
These are the same young people who sit in my office and tell me they don't want to get married due to the "commitment" and then have 3 kids with 3 different people, making 3 lifetime commitments. Those young people growing up in today's public school system can't even make change without electronics.
^^ true 25, and experience is the greatest teacher. Those who haven’t been through those events have no idea what you refer to, as they are unable to see the forest through the trees. NiceSpic has good intentions, but the world was never paved by intentions. The hard work needs to be done upfront, and those just starting off won’t see the payoff for several years. Alas, they will grow up and eventually reap what they sow, as long as they don’t give up.
NEW YORK (Reuters) - U.S consumer prices barely rose in November amid declines in the cost of gasoline and used cars, leading to the smallest annual increase in inflation in nearly a year, which could give the Federal Reserve cover to start scaling back the size of its interest rate increases on Wednesday.
The consumer price index increased 0.1% after advancing 0.4% in October, the Labor Department said on Tuesday. Economists polled by Reuters had forecast the CPI gaining 0.3%.
In the 12 months through November, the CPI climbed 7.1%. That was the smallest advance since December 2021. Annual inflation is slowing in part as last year’s big increases drop out of the calculation, while Fed tightening is als
^^ like gauging the state of the economy by reading your clients statements? Lol, I’m totally spot on correct in my assessment that the inflation rate was coming down since I posted that prediction this summer. I will continue to be right and remind you of your follies monthly as we continue to see the rate drop over the next several months. Told you so!!
Cycles are unpredictable, but throughout history the trends in markets are up, short term instability doesn’t really matter in the end, take any 10 year cycle in the historical record and the trend is almost always positive. Wealth accumulation is the domain of positive people negatively just falls by the wayside over any longer cycle in the economy
^^^ but, but, BUT NiceSpic and SkiDumb state these cycles are ALL political, pointing fingers to left wing/right wing forces! Not figuring in long standing capitalistic structures that have been in place for decades. Wait until next summer when the inflation rate is registering below 4%, SkiDumb is going to lose his shit trying to deflect my accuracy along with his butt buddy Rickyboi. Lmfao!
Iceefag you demonstrate the negativity shown by most poor people
Anyone has the ability to better their own circumstances in this country, but no one has ever bettered themselves waiting for a change of government to give them tailored handouts
I’m pretty sure the benefits his wife has aren’t due to the Union, dumbfuck Icee homo. Unions have lost their
Presence significantly since the 80’s when automatic COLAs were tied to the inflation rate, a virtual non existence in todays world. Unions have no flex other than having a seat at the table, and very rarely do they score big victories like they did when membership was at its highest in tye 70s and 80s. Another reason why wage inflation will be stifled gluing forward.
Thanks for complimenting these so-called good intentions I have, but all I am doing is pointing out facts and I just try to stay on the sidelines for most things and stay out of trouble. I have my personal opinion on things, but I haven’t been an activist for anything. I’ve been lucky in that I’ve succeeded in that so far.
For a lot of affluent (or even perceived affluent) middle aged or older but still have another 10-20 years left, all one can do is hope for younger people to stay depressed and “not working hard” and staying with their parents. Because the benign version of doing something to improve circumstances is unionizing and striking, and the less benign thing that can possibly happen will be a lot worse. I’ve noticed a huge uptick in rhetoric online advocating for “busting out the guillotines” (basically doing something like the French Revolution here). It’s just comments for now, but that kind of talk hasn’t died off yet and seems to be spreading into more “mainstream” spaces. Enjoy!
@nice spice
I wasn’t criticizing you all I’m trying to point out that if you enter the housing market at some point, you develop the ability to regulate your living expenses, some things will rise in cost, but your cost of shelter, will become a smaller portion of your income stream and keep gaining value as long as you live there, and pay your mortgage
I know many people Icee who dont pay the bills while living at home, instead putting the money into things like a much nicer car than they’d otherwise be able to afford... also who was complaining about people staying home? Did someone say it was an issue?
I'm 66 and still working. One thing I've decided to do is work until 70 if I stay in good health. I feel like it is a little unfair to force young people to support an old Boomer like me with their taxes while I take a fifteen-year vacation at the end of my life. Maybe more young people could afford apartments or houses without that added tax burden. When the retirement age was set at 65 the average life expectancy was 65. Now it is 78. The Social Security system worked when there was a small Depression era generation retiring but that was a one-time thing. I follow the maxim "you are only as old as the women you feel".
The Fed is charged with keeping interest rates as low as possible without causing inflation. They (or a better substitute agency) could also be put in charge of raising the minimum wage without causing inflation. So clearly, with the current inflation rate, the minimum wage can't be increased for a while. But it would help with income/generational inequality in the long run.
The housing shortage isn't simply caused by the government or real estate profiteers. A lot of it is that middle income people are fixated on having a big yard they'll rarely use. Even when they live in a high-population metro area. But this fixation seems to be declining among people under 40.
@ilbbaicni you are right. I wasn't thinking at all clearly when I posted that last comment. Maybe I'm getting senile and should retire. In my case, I am saving younger people from having to pay taxes to support me but social security has nothing to do with me personally. I work for the military in accounting, and we have a separate pension system. I don't mind working. People at work come to me all day and ask for my help and I like helping people. I also get to work with computers and I like computers. There is a serious shortage of cute girls in my office, though. I tell my stripper regulars I wish I could hire them.
Mate you are a fucking imbecile. You cherry pick numbers and then lie about what they mean. I base my views on real life not some stupid fucking cherry picking from left wind media, like you do asshole. You're no different than Icee. Just a left wing shitbag. hey Icee wife and I have earned everything we have and as far as the young? They can work hard and earn or go fuck themselves.
Icee youve mastered scamming, theft, escorts, strippers...morals, even the housing market now... i havent seen a single thread here where you didnt express some form of mastery over the subject 😂
Lmfao! I’m in stitches seeing how triggered SkiDumb gets in response to all things political! Tye fa this I pull real live statistics from the Bureau of Labor, which reflect real life as it impacts people as reported by the government, not from clients who go to a divorce lawyer who definitely don’t have their shit together, lol! Cherry picking? Yiu mean like seeing the BLS report inflation peaked over the summer?? Yes, that is accurate reporting, just like the CPI is made up of nearly 40% from shelter costs so has everyone become renters this past year?
Prices remain high, but inflation is essentially over, but those who have reading comprehension problems will think both are the same. Prices are no longer going up since summer, even though the convoluted reports being sent to us from the Feds view is rear view and don’t reflect current real life events. Maybe reading clients’ fucked up statements is an accurate real life situation from SkiDumbs perspective, but he’s not necessarily swimming in clear waters. Pool or pond? Pond will be where SkiDumb swims.
"refuse to acknowledge that housing has had a supply side issue for a long time, especially since 2008 when construction has not kept up with the population. "
I just spent two weeks in the Tampa Bay area. There are subdivisions popping up everywhere. I was shocked by the amount of construction. I doubt any of the local block masons, framers, dry wall guys, tile installers etc. have even noticed recent inflation. Seemingly plenty of housing.
But... starting price for most of these homes seemed to be in $700k - $800k range before upgrades and customization. I didn't notice any new construction of 1000-1200 square foot starter homes in the $300k range. That discrepancy maybe a large part of the reason it is difficult for first time home buyers.
Back in the day a house was a place to live - somewhere along the line they started being treated more and more as investment-vehicles which got exasperated when hedge funds got in the game (as well as people buying properties for an Airbnb business; as well as foreigners parking their $$$ in U.S. properties)) etc
@Papi
it was always an investment, (in a place to live) even in the 1950s and earlier, the idea behind buying a home, as opposed to renting, was you'd be paying yourself (building equity) as opposed to purchasing a property for someone else (renting), it's become more sophisticated and obvious now, but owning a home was always the golden ticket to the middle class lifestyle.
It's completely out of touch with reality to blame young people for their economic plight. When some of you had the advantages of the new deal and as white men directly benefited from segregation.
It's like bragging about paying for college in the 1960s when it was almost free and telling people there's something wrong with them for not affording today's tuitions. Or telling someone they're lazy and stupid for not having 2k for an apt while your first one was like 200.
^Losers and failures blame others. Thats why they are losers and failures. Yes, an apartment is $2,000 when the minimum wage is $15.00. When an apartment was $200, minimum wage was $1.50. Wah, wah, wah, the cry of the young.
Home prices have gown-up too-much too-fast - and now mortgage-rates have shot-up to past 7% although they have come down a bit in the last few days - current-home-prices + increase-in-interest-rates is a double-whammy for those looking to get in - as I've mentioned previously; if one has been a home-owner for a while/years and has enjoyed the spike in their equity then it's easy to say "what home crisis" - for those home-owners that have enjoyed large equity increases in their homes there is no such thing as a "free lunch" in the sense that the the large equity increase enjoyed by long-term home-owners is often at the expense of new/seeking home owners.
Below is a graph that was posted a while back that shows home-prices vs income and the exponential growth in that ratio - IMO that graph shows it's a different ballgame starting in 2000 and exasperated in the last few years (prior to 2000 that ratio was pretty stable over-the-years):
Locally housing prices are insane. Houses boomers bought for a crisp new $5 and two sticks of gum are $1m.
We definitely have a supply issue partially from NIMBY with regards to affordable housing and partially because builders just want to build mcmansions not starter homes.
Young folks are also getting more education and don't need to go out to have a social life thanks to the internet.
Property owners are a powerful voting bloc. They trend older, and older people vote more. Even if they claim to be progressive, their progressive values stop dead when their personal wealth is at stake.
So many Americans have all their wealth bound up in their home that _any_ policy that drops housing prices is as popular as genital warts.
The Biden administration said they couldn't see inflation coming. I'm a smart and educated man but I don't predict inflation for a living, and I saw it coming. That's why I bought at very favorable rates in a geographically-constrained area. There's little room to build "affordable housing" around here. Like I said, NIMBYs--and the Mass ones are some of the worst--are gonna keep my house increasing in value.
Iceefag you really are a moron, first of all, I'm not blaming anyone second I am explaining how to get ahead of the curve. It's a basic no brainer, in order to build wealth, find a use for your income that benefits you, what ever the cost of a home is now, you can be sure it will cost more in the future, Once you purchase it, the cost will not change, typical 30 or 15 year mortgage, allows you to buy this asset and pay for it with depreciated dollars into the future, at the same time, it stabilized your cost for shelter, what other hedge do you know of that will provide you with this benefit. BTW don't count on the rules changing it's not going to happen, smart people use the available rules to their benefit, not count on a roll of the dice, that's bet is being a sucker.
@Papi
when I brought my first house, mortgages were at 8% the rates always have fluctuated, best way to get ahead is just keep refinancing as you are able to, the rates will come down again. when you get your rate down your payment will get lower, that's how you play the game.
"... when I brought my first house, mortgages were at 8% ..."
Housing-affordability has at least two components to it (for most people) - the price of the house - the interest-rates - back when you bought your first house at 8% house-prices were likely much lower and thus ownership likely more attainable even at 8%
Don't believe that shitbag skibum609 fool you. He was the one I saw in a clubbing Rhode Island drunk and crying about how his life is such a failure and he always wanted to be an attorney but he has to move furniture instead while he was eating urinal cakes in the restroom. He was so drunk he thought the sit down together was a giant margarita. I had to stop him and turn him over to security when he tried to eat the worm in there.
^ Incomes were much lower too. My first house cost 160,000 my income was in the vicinity of 40K per year, it was always difficult, to buy a first home, and it should be, gives you an accomplishment to be proud of, or a goal to work towards.
BTW down payment was almost 50K saved it on my own over a 3 year period. I paid off that house in 11 years, the key is discipline and a work ethic, I am not the only person who ever did this.
Are home prices actually going up in real value, or is it just that homes are almost guaranteed to go up alongside inflation going up? With a stock you dont get a guarantee of price going up but with homes and a few other things they are highly likely to go up alongside inflation.
^^ what if commodities are dropping like we are seeing with lumber, copper, concrete, diesel fuel, oil, gas, and a hole host of other commodities? Do house prices go up during that type of environment like we have seen since early this year? If those costs are going down, do you think shelter costs (housing) will continue to climb or inflate, as it makes up nearly 40% of the Bureau of Labor Statistics CPI report? Well, SkiDumb and Rickyboi do!! Lmfao!!
^^ I see you’re not in the camp that says prices are still going up, overall. But what is going up is personal debt, which weighs on the spending looser of the consumer with higher rates. I personally think the fed is really close to ending their rate hikes on the short end. There is almost a 100 basis point inversion with overnight rates at 4.5% after the fed hikes 50 basis points tomorrow, and the 10 year is yielding less than 3.5%. That tells me the government will pay more for the debt they are Gina coming with short term treasuries yielding 4.5% when it was just paying 0.5% at the beginning of the year. The government won’t be able to afford these higher rates, either for much too long probably cutting them in 2024 if they raise much more.
This environment is a lot about the Fed trying f to regain credibility it has lost with too much loosened from the prior 15 years. They tightened way too late, and then way too fast.
A big problem still hanging over our heads is fuel costs, if/when gas goes back up to $5 and stays there, a lot of people’s working class lifestyles become unsustainable because they literally can’t afford to drive to work
8tm $3 vs $5 a gallon shouldn’t make the difference between someone affording to work even for uber drivers they will likely just bump up rates to account for gas increases
Hey Moron known as Mate - food price increase wiped out the puny decrease in inflation in other goods. Dopes like you make perfect sheeple, I mean Democrats.
72 comments
Payroll numbers are increasing but the labor force participation rate is dropping. Discouraged workers who have given up looking for a job are not counted as unemployed. Most new jobs are part time jobs. Full time jobs with good pay and benefits are declining as a percentage of jobs. There is a record number of people working a second job, because they can't pay their bills with rising costs. More people go to college but get degrees with little economic value. The combination of increasing prices and lack of good jobs is forcing more young people to live with their parents.
Many people are working full time and homeless because rents are higher than wages. I want the housing market to crash bad. Fuck the greedy.
I would agree though that an adult past a certain age who has never left the nest that there is something wrong with them. Like the f, you don't want value freedom and independence? How un-American
Now many parents are so nice/cool to be around that kids don’t have the same motivation to bail from the comfort of a nice place, full fridge and free Wi-Fi. I am speaking from the point of view of middle class and above. Not sure how poor people get by but that’s a different topic.
People who think trade and technical jobs are beneath them, or don’t want to work hard enjoy enough to get a STEM degree, are failing.
Eventually she will figure out she needs to pull down the shade.
The rate of single motherhood in America is huge, I assume a lot of these young adults are just living with their moms who aren’t going be around all the time
Also - the older one is the more-likely once has savings they can access/depend-on when things get dicey (hefty 401Ks; IRAs; etc; that many have been able to grow over many years).
https://www.azfamily.com/2022/12/03/phoe…
https://www.mortgagestrategy.co.uk/news/…
https://www.wkyt.com/2022/11/30/despite-…
https://www.poynter.org/reporting-editin…
And the “moderate” left will pretend to care, then they actually don’t because of the joys of owning rental property in a progressive city and making that easy passive income.
And then the progressive left will keep…finding more people who will align themselves with the progressives for actually acknowledging a real problem. But alas, most of the proposed solutions so far are related to subsidies. And the moderate left is cool with that because woohoo for restricting supply even more and driving the remaining rents up.
Also, this trend of living with parents has gone on a lot longer than the past couple of years, it’s been an ever increasing decades long trend since the early 1980s so it’s not just the “current economy”.
https://www.pewresearch.org/social-trend…
Not that I blame tusclers who enjoy the status quo for what it is. As per what I just linked: “Men and women overall are equally likely to live in multigenerational households, but men are more likely to do so among those younger than 40 and women are more likely to do so among those ages 40 and older.”
…does a lot to explain why sex work has had so much cheap available options for a long while. There is a mantra on this site of The Divine Right of Dick but really it’s just longstanding structural issues in the economy. Cie la vie
By the way, inflation rate falls again for the 5th month in a row. Told you so!! https://apple.news/AiQDp8_81QTemHbVilt1D…
NEW YORK (Reuters) - U.S consumer prices barely rose in November amid declines in the cost of gasoline and used cars, leading to the smallest annual increase in inflation in nearly a year, which could give the Federal Reserve cover to start scaling back the size of its interest rate increases on Wednesday.
The consumer price index increased 0.1% after advancing 0.4% in October, the Labor Department said on Tuesday. Economists polled by Reuters had forecast the CPI gaining 0.3%.
In the 12 months through November, the CPI climbed 7.1%. That was the smallest advance since December 2021. Annual inflation is slowing in part as last year’s big increases drop out of the calculation, while Fed tightening is als
With today's prices and low wages you have to be completely out of touch with reality to complain about people staying home.
Skicuck you're a hypocrite with your right wing hate speech while enjoying hour wife's union benefits
Anyone has the ability to better their own circumstances in this country, but no one has ever bettered themselves waiting for a change of government to give them tailored handouts
Presence significantly since the 80’s when automatic COLAs were tied to the inflation rate, a virtual non existence in todays world. Unions have no flex other than having a seat at the table, and very rarely do they score big victories like they did when membership was at its highest in tye 70s and 80s. Another reason why wage inflation will be stifled gluing forward.
For a lot of affluent (or even perceived affluent) middle aged or older but still have another 10-20 years left, all one can do is hope for younger people to stay depressed and “not working hard” and staying with their parents. Because the benign version of doing something to improve circumstances is unionizing and striking, and the less benign thing that can possibly happen will be a lot worse. I’ve noticed a huge uptick in rhetoric online advocating for “busting out the guillotines” (basically doing something like the French Revolution here). It’s just comments for now, but that kind of talk hasn’t died off yet and seems to be spreading into more “mainstream” spaces. Enjoy!
I wasn’t criticizing you all I’m trying to point out that if you enter the housing market at some point, you develop the ability to regulate your living expenses, some things will rise in cost, but your cost of shelter, will become a smaller portion of your income stream and keep gaining value as long as you live there, and pay your mortgage
20fag. You're out of touch with reality. Block me senile bitch.
Fuck off Iceefag you stupid cocksucker, get lost bitch.
The housing shortage isn't simply caused by the government or real estate profiteers. A lot of it is that middle income people are fixated on having a big yard they'll rarely use. Even when they live in a high-population metro area. But this fixation seems to be declining among people under 40.
Wrong. The official mission for the Fed is
“conducts the nation’s monetary policy to promote maximum employment, stable prices, and moderate long-term interest rates in the U.S. economy”
It’s a balancing act which has conflicting goals, which is part of the problem.
Prices remain high, but inflation is essentially over, but those who have reading comprehension problems will think both are the same. Prices are no longer going up since summer, even though the convoluted reports being sent to us from the Feds view is rear view and don’t reflect current real life events. Maybe reading clients’ fucked up statements is an accurate real life situation from SkiDumbs perspective, but he’s not necessarily swimming in clear waters. Pool or pond? Pond will be where SkiDumb swims.
I just spent two weeks in the Tampa Bay area. There are subdivisions popping up everywhere. I was shocked by the amount of construction. I doubt any of the local block masons, framers, dry wall guys, tile installers etc. have even noticed recent inflation. Seemingly plenty of housing.
But... starting price for most of these homes seemed to be in $700k - $800k range before upgrades and customization. I didn't notice any new construction of 1000-1200 square foot starter homes in the $300k range. That discrepancy maybe a large part of the reason it is difficult for first time home buyers.
it was always an investment, (in a place to live) even in the 1950s and earlier, the idea behind buying a home, as opposed to renting, was you'd be paying yourself (building equity) as opposed to purchasing a property for someone else (renting), it's become more sophisticated and obvious now, but owning a home was always the golden ticket to the middle class lifestyle.
It's like bragging about paying for college in the 1960s when it was almost free and telling people there's something wrong with them for not affording today's tuitions. Or telling someone they're lazy and stupid for not having 2k for an apt while your first one was like 200.
Below is a graph that was posted a while back that shows home-prices vs income and the exponential growth in that ratio - IMO that graph shows it's a different ballgame starting in 2000 and exasperated in the last few years (prior to 2000 that ratio was pretty stable over-the-years):
https://www.longtermtrends.net/home-pric…
How did white men benefit from segregation? Better bathrooms? You realize anyone anywhere can use racist hiring practices even now?
We definitely have a supply issue partially from NIMBY with regards to affordable housing and partially because builders just want to build mcmansions not starter homes.
Young folks are also getting more education and don't need to go out to have a social life thanks to the internet.
So many Americans have all their wealth bound up in their home that _any_ policy that drops housing prices is as popular as genital warts.
The Biden administration said they couldn't see inflation coming. I'm a smart and educated man but I don't predict inflation for a living, and I saw it coming. That's why I bought at very favorable rates in a geographically-constrained area. There's little room to build "affordable housing" around here. Like I said, NIMBYs--and the Mass ones are some of the worst--are gonna keep my house increasing in value.
Never fight the market.
https://www.realestatewitch.com/rent-to-…
when I brought my first house, mortgages were at 8% the rates always have fluctuated, best way to get ahead is just keep refinancing as you are able to, the rates will come down again. when you get your rate down your payment will get lower, that's how you play the game.
Housing-affordability has at least two components to it (for most people) - the price of the house - the interest-rates - back when you bought your first house at 8% house-prices were likely much lower and thus ownership likely more attainable even at 8%
BTW down payment was almost 50K saved it on my own over a 3 year period. I paid off that house in 11 years, the key is discipline and a work ethic, I am not the only person who ever did this.
This environment is a lot about the Fed trying f to regain credibility it has lost with too much loosened from the prior 15 years. They tightened way too late, and then way too fast.
How old do you think we are !?!
Rent prices saw the largest one-month drop in at least seven years last month, according to the real estate marketplace Zillow.
Rents are going up like crazy. Each lease renewal goes up at least 15% on top of these inflated prices.
And food is more expensive every time I walk into the store.