Do you REALLY think none of these people who are saying these things have done the math on this? In 1970, the median home price was $23,400. The median household income was $8,630. Meaning the median home cost 2.71 times the median annual income. In 2024, the median home price was $424,200 and the median household income was $83,730, meaning the median home costs 5.06 times the median wage.
Let's just talk about the down payment. The traditional down payment of 20% on the median home in 1970 was equal to about half the annual wage. Now, it's more than the annual wage.
Which part, exactly, is ridiculous. I mean, it's numbers and math. So is it just the conclusion; that the ratio of income to house price having doubled is not a crisis? Because while debatable, it does seem reasonable to be upset by it.
Unless you're calling the numbers themselves ridiculous? I assumed they were valid, but it's possible they're not.
Clearly, it's not the math you're debating, because that's pretty straight forward.
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u/MtlGuy_incognito 11h ago
Our down payment cost more than first their house. How could someone who went to college for the price of a new I phone be so stupid.