patrick.net

In my area an impounded FHA mortgage payment is still cheaper than renting not to mention the tax deduction you get, but its getting close and with rising interest rates homes can't justifiably go much higher.

donjumpsuit says

No.

House prices aren't calculated by incomes.

They are calculated by credit, and how easy it is to obtain.

RENTS are determined by income.

At some point even credit (or at least its supposed to) boil down to the ability to pay back the loan, (e.g. income).

New Renter says

At some point even credit (or at least its supposed to) boil down to the ability to pay back the loan, (e.g. income).

If I'm lending you someone else's money so I can collect a commission on the deal do you think I care?

No.

.

APOCALYPSEFUCK is Shostakovich says

New Renter says

donjumpsuit says

No.

House prices aren't calculated by incomes.

They are calculated by credit, and how easy it is to obtain.

RENTS are determined by income.

At some point even credit (or at least its supposed to) boil down to the ability to pay back the loan, (e.g. income).

Wow, you really hate America, don't you?

Only the America that expects me to repay my loans.

The NERVE!

Home prices have historically been stagnant. That is to say at the most 3% a year inflation with a little purge every decade or so. The reality is home prices have never been a great performer, (Across the board). That is why people who invested in homes and fixed them up, and sold them at a profit. Had to buy a practically condemned shell to fix up to make any money. And that was hard work, that by the end of the year, when you added up their inflow vs outlay, they never made out any better, than any other profession. The 2000's bubble gave us that notion that houses are money making machine.

Home prices have always been flat, and a house was out reach for 90% of the population that were not already part of the 60% of houses are Owner occupied, group.

I struggled for 20 years trying to buy a house. Long before the bubble, so I know where of I speak. Though that's not entirely accurate, I did consciously sat out the bubble.

Generated from this data from Grok: year, med. income, gas per gallon, gallons that med income will buy

1975 11800 0.57 20702
1976 12686 0.59 21502
1977 13572 0.62 21890
1978 15064 0.65 23176
1979 16461 0.86 19141
1980 17710 1.19 14882
1981 19074 1.31 14560
1982 20171 1.22 16533
1983 20885 1.16 18004
1984 22415 1.13 19836
1985 23618 1.12 21088
1986 24897 0.86 28950
1987 26061 0.90 28957
1988 27225 0.90 30250
1989 28906 1.00 28906
1990 29943 1.15 26037
1991 30126 1.10 27387
1992 30636 1.09 28106
1993 31241 1.11 28145
1994 32264 1.11 29066
1995 34076 1.15 29631
1996 35492 1.23 28856
1997 37005 1.23 30085
1998 38885 1.06 36684
1999 40696 1.17 34783
2000 41990 1.51 27808
2001 42228 1.46 28923
2002 42409 1.36 31183
2003 43318 1.59 27244
2004 44389 1.89 23492
2005 46326 2.31 20055
2006 48201 2.62 18398
2007 50233 2.84 17688
2008 50303 3.30 15243
2009 49777 2.40 20740
2010 49445 2.83 17472
2011 50054 3.57 14021
2012 51017 3.68 13868
2013 53585 3.57 15009
2014 53657 3.43 15642
2015 56516 2.52 22427
2016 59039 2.25 26239
2017 61372 2.53 24257
2018 63179 2.81 22483
2019 68703 2.69 25540
2020 67521 2.26 29876
2021 70784 3.10 22833
2022 74580 4.11 18146
2023 80610 3.52 22900
2024 83832 3.30 25403

https://rudy.substack.com/p/some-fires-are-best-left-to-burn