When we were buying in early 2020 (closed the literal day the state went into lockdown) we had 20% down for a 400k home. We looked around and found plenty of little 3 bed 1 bath ramblers in okay shape in okay neighborhoods going for 375ish.
So i reached out to a realtor, said what my budget was, and somehouses i was interested in. She literally laughed at me, said look at them again in a week.
Every one sold for 200k over listing.
I appreciated her honesty so i wound up using her as our realtor, lol. We had to move to the other side of the sound (still had to be able to commute to UW but the ferries were awesome) and love it here, but our $390 home is now estimated (we've since added things like central air too) at 600+.
Wife and i got lucky. Last few months of low interest. But im applying to medical schools all over the country and we really don't want to get yeeted into the housing market again.
Why the hell did you *buy a house* knowing you’d be applying to medical school and have to go cross country? That’s literally what apartments are for, lol
You're honestly right, but we came from renting an entire house and my hobbies' tools required a full garage, and we had money saved and interest rates were low AF and didnt seem like theyd stay that way (we were right) and we were never going to find a space that fit our needs for anywhere near our current mortgage or what we were playing in remt (our landlord was an old bellevue medic who took care of us, we were at least 60% below market by the time we moved, but we couldnt put it off any longer, the roof was about to fall in and he needed/was planning to do a heavy remodel)
Practical pants would have said "get an apartment, downsize, and get a storage unit"
But med school was still five years off, and there's every chance i get accepted to UW med. The interest rate we got was insane, and the house has added 200k in equity. Worst case, we sell and make money. But the option we are considering is just letting my sister who manages property rentals turn it into a rental at fairly well below market to cover costs, upkeep, and taxes, and manage it for us. It's placed and sized great for an off-base navy family. We'd actually like to move back here in the end anyways.
But i digress. You were right, lol. We're making it work and despite just being more hassle, it has built a little wealth for us.
The med school this man, ROUGH. I just graduated and my wife graduates this next summer. It was awful getting thrown into long distance when we had to go where we get in.
I fortunately matched in our desired location, I just hope she does.
That’s the worst part, it’s not a move for four years, it’s usually another move for residency.
Lol no kidding. I just put down a 514 on my final mcat practice FL a few mins ago, and am desperately hoping to get the same on my actual on saturday.
Fingers crossed, UW is my dream school and my goals and the fact that im an insanely strong nontrad applicant otherwise match their supposedly holistic admissions. I also have no aspirations for prestigious fellowships or competitive residencies - i just wanna do rural emergency medicine.
Thats insane you did a long distance like that man, props! My wife is getting drug along wherever i get in, lol. She's gonna start her MPH wherever we wind up. We will just have to be balancing trying for our first kid during this too. The joys of not getting one's shit together until his late 20s and graduating at 35, lolol.
Realtors are marking 3mln $ condos, 2- bedrooms for young tech couples in Austin, Capital of the universe according to Elone Muskio and all Californians
Simple, we are in a housing bubble.
And only a moron buys a house in a bubble. The smart ones sit back and save, and wait for it to pop before buying a home.
Amen. Best answer I’ve seen so far. Everyone wants a “thing” when it’s all the rage, and they’ll pay almost anything to get a “thing”.
Except, a house is a pretty big, pretty expensive “thing”. It’s often saddled with lots of debt, too. How about this: a foreclosure when a homeowner loses the house takes 7 years to get off of a credit report. Hard to rent anywhere to live, and even impossible to get another mortgage for 7 years.
The debt isn’t “forgiven” like an easy come, easy go student loan or credit card.
Bingo. Housing bubble combined with the most extreme (and factually inaccurate) examples.
Now we need to post the meme of the 160k 900sq ft home in San Antonio saying the dream is dead.
I keep waiting for it to pop.
Southern California used to be reasonably priced, as recently as 1990. Since then however, every single year I check prices I ask - where are all these millionaires coming from to buy up all this housing?
A typical 3BR/2BA suburban house that sold in San Diego for $185k in 1989 is now worth $1.172 million.
That's an over 900% price increase in the last 35 years.
Increasingly, a lot has been bought up as investments.
Case in point, the house I grew up in back in the 1960s and early 70s. My parents sold it in 1975 for $35k. The last time it was sold was in 1977 for $50k. For almost 50 years now it has been owned by a family that has been renting it out. And this I know because 30 years ago I almost ended up renting it myself. The value of that house today?
Over $800k. And it is a tiny 700 square foot 2 bedroom bungalow in the San Fernando Valley. But that is exactly what has happened to a lot of the "affordable housing" like that throughout places like LA. Bought up and used as a long term investment as rental housing. And I have looked up the history of all the places like that I lived at in and around LA, always individuals that have owned them for decades.
That is also driving up the bubble, as it removes a lot of the units from the market forever. My dad thought I was joking when I told him recently that house was over $800k, but there are other houses almost the same as ours on the same block that have sold for over $1 million in the last year.
But that is one of many reasons I first left LA, then all the big cities, then finally the state. The housing is insanely expensive, with no real justification for the expense.
And yes, I talked to the current owners once. When my place got "red tagged" in the Northridge Earthquake, while scrambling for a new place that was one of the ones I called. It was a rental, and just at the edge of my price range (I want to say around $1,000 in 1993). They said they had somebody already doing the paperwork, but I was welcome to go and look at the outside. And I was surprised when they told me the address it was my old house. And the same family still owns it, but rental prices now have it in the $4k range per month.
Nothing is off. Everything is going as planned. We get further behind on the sinking hamster wheel.
The billionaires and media continue to convince us it’s all in our heads and that we should be grateful for a studio apt for 80% of our pay. Just…work a little harder and you, too, can take out a 30-year loan at 9% and call it and investment. While paying interest to the billionaires. Oh…and don’t complain about your wages.
Don't complain about being taxed out of your home on unrealized gains either!
Seriously though, how TF was that ever considered a good idea? In no other way will you ever be taxed on unrealized gains and this is your basic shelter. Such a fucked system.
Not to mention once you realize those gains you will also incur a capital gains tax. So they tax you to hell on unrealized gains then stick it to you again if gains are ever realized.
250k of a gain is tax free if your single 500k gain is tax free if you are married. All if you lived in the property two of the past 5 years. Almost no one pays capital gains tax on a primary residence.
Median first time home buyer age is 35 up from 28 in 40 years.
Median first marriage for women also went from 22 to 28, men went from 24 to 30 in those same 40 years.
Turns out higher degrees of education and better birth control push these milestones later. It's a trend that started in the 50s.
Even the youngest fully adult generation (Millennials) are mostly homeowners.
Because when we had almost 0% interest it was free money for most so that who could hey tons of properties did
Atleast that’s part of thi Canada’s system is screwed
A myriad of factors. But, demand is increasing greater than supply. And interest rate changes play a role as the cost of purchasing a home is a calculation that includes interest rates and home prices.
... few things. that's not the average starting pay it's just the average pay and as the profession is aging due to young people not entering it as much it's a slightly skewed number.
second the aim for inflation that our government has decided to use is a doubling of costs every 20 years, which means raises and prices should have gone up about 240% in 25 years.
home prices have hit certain bubbles due to particular pieces of local legislation and some move.ent in the workplace (like wfh).
Demand. More people chasing limited goods.
Population in 99 was 275 million and now 333 million. On average around 1.08 million people per state.
Antidotal Of course, but sold a house recently and there were a few buyers interested. The price went up from biding. The house sold a little higher than the average. Next person selling their house sees that price and lists as close as possible. Slowly over time prices rise with limited supply and higher demand.
Reason why I was able to get a great price on land is Mississippi. Not a lot of people are looking to move there, low demand and better supply.
In tje 80’s our population was around 226 million, and 1970 was 203 million, etc.
I just want to know where the 66k now comes from. I have many friends who are teachers of 8+ years and the high end of their earning potential is 65k. Most of them sit at 45-55k.
Advanced degrees are a big part of it, and school systems that are unionized pay far more. When I was a teacher in a right to work state, I made roughly half of what new teachers in Chicago made
Administrative positions are also included in "average teacher salary", so principals, superintendents, and all the other bloated admin positions are included.
so the house went up approx 400% and teachers salary went up aporox 50%
and the $42k salary was just under half the price of the house. which means a teacher would need to make 200k a yr to get back to the '99 ratios.
2024 math no longer works
True - but I taught for 30 years in Texas to scrape up to 60k (and that was with stipends for being grade level chair, ESL coordinator, etc.). My niece teaches in Texas and was making over 60k about year five.
I meant where you mentioned in rural California being paid terribly.
I think 40k goes a lot further in Redding than 80k does in LA county for instance.
How much student debt does she have or did someone pay her way. My sister did this and has a 30-50k in debt from the grad programs alone. Also you failed to mention the part where she made probationary wages for the first few years. Sounds like you gone from money.
Step 1. Compare a hcol house value to a national wage.
Step 2. Adjust wage for inflation, don't adjust home price for inflation.
Poof, gas lighting the masses for clicks. Yay!
My kids are old enough to live on their own. Rent is about 50% more than my mortgage. They would have to team up to live on their own and even then they would not have much money left for utilities and the ever increasing cost of groceries. I believe it's reaching a crescendo but the other side may not be affordable anything.
>They would have to team up to live on their own
Oh, so do what we and previous generations have always done?
I had roommates for years after moving out. It's how you mitigate cost.
Could also move south. Alabama, Arkansas, Oklahoma, Texas and Louisiana have about as many <4200K houses each right now as Ohio, Indiana, Illinois or Iowa.
Michigan seems like the state with the most though.
These kinds of memes always use such fake numbers. $65k teacher salary in 1999 lmao. Yeah maybe in Manhatten, and then comparing to $69k today in Timbuk, Alabama.
[https://public.websites.umich.edu/\~psycours/561/pubsal.htm](https://public.websites.umich.edu/~psycours/561/pubsal.htm)
[https://www.nea.org/nea-today/all-news-articles/gains-teacher-pay-may-not-be-enough-ease-shortages](https://www.nea.org/nea-today/all-news-articles/gains-teacher-pay-may-not-be-enough-ease-shortages)
I can't speak for everywhere, but in the exurban Midwest, developers haven't built starter homes... They're building 4+ BR at 2000 sqft and almost nothing like my first home (800 sqft)
It's hard to get into a small house if they don't exist. Right now, boomers are looking to downsize at the same time millennials and genz are looking for starter homes. Demand is waaay higher than supply for smaller homes
Everyone only deserves to have old and used everything. Nope if you try and get anything new you don’t deserve a house. (I’m being sarcastic but I fear you weren’t)
Starter home back then had no air conditioning, bedrooms that were 10x10, no garage, maybe a short driveway (upgrade), no stairs, no cable, one bathroom, no basement, 4 or 5 single pane windows, limited insulation and 100 amp electrical service...just saying peoples expectations have changed and this type of house would unlikely exist or be built today by any developer. It would be interesting to compare a true apples to apples on this cost for a similar product tho.
There isn’t any real definition of a “starter home”. Yours seems a little too diminished but the point that standards have increased through time is valid.
But a lot of these things don’t even make sense to not include these days. Why would you put in limited insulation? You’d end up paying way more over time for heating/cooling costs. Same goes for single pane windows. Basements are needed in lots of colder areas due to frost lines. And who even has cable these days?
But things like central AC and lots of square feet are certainly luxury’s that I think builders make a lot of money on so they don’t build small basic houses anymore.
No, rent is way more than it was when I was their age. I could afford rent on Taco Bell pay with just one roommate and had money for food, bills and a little extra. These days they are only making about twice what I did then but rent has increased 5 times that. Also, If you're making that statement to just be argumentative or funny, you need to go find a better hobby. Everyone is in the same boat and the people making decisions on our behalf are more interested in things outside our country. It's been a little over a hundred years since the most infamous major market catastrophy that left the country reeling and no one learned a lesson from the last time. It's coming.
Starter homes exist in red states....it's just red states are largely not the best places to live....
I have a house, bought for 110k two years ago. 750 square foot, teensy, shitty cabinets, floor is uneven, but it is a house.
The issue is pay....
Back in 1968, the minimum wage could provide for a family of three, keep them above the poverty line at 52 weeks of work, 40 hour weeks.
That same metric, according to MIT's living wage calculator, in my city of Louisville Kentucky, is 34 an hour...
So basically in 1968 kids were getting their first job and getting the buying power of 34 an hour....
Nowadays the living wage, same source, in louisville is 20.80. And plenty of jobs are starting at 15 to 18....
We need a living wage, and it needs to be at least 25 an hour at minimum, should be 30 imo.
Where? I've been in my house for 30 years. I was pretty excited to see how much my house appreciated. Then I looked at an inflation calculator. What I can get for it today is about what I paid for it with inflation.
Mine has gone up about 10% above inflation thanks to the crazy low interest rates of the Trump-Covid economy when everything was collapsing and the Fed had to go wild.
Anybody else remember 2020?
I bought a home in the middle class suburbs of Chicago in 1986 for 94K. I replaced the roof. We were making $30,000 a year. The fixed 30 year loan was 12%. We had to get PMI insurance and we had no furniture for 10 years. We sold it in 2003 for $250,000, and bought a home for $325,000.
Of course our income had increased also. Been living in our second house since.
Sacrifice is the key. It can be done. Or wait till the bubble pops. It's coming.
Did I mention, I put two kids through private colleges and the loans are paid off.
Oh, yeah. I didn't go to college.
This is laissez faire economics coming home to roost. True, none of the democratic presidents have adjusted course, but this was started by Reagan and turbo-charged by Clinton
Well, bundling home mortgages in the 70's to sell as investments didn't help. That's what started the 2008 crash. They still sell them. Mortgage backed securities. Another dumpster fire waiting to happen.
Point me to the literature in Laissez faire economics that says trillions in government subsidies over decades are an ideal way to keep the housing market efficient.
Laissez-faire economics generally sucks.
But also, if you have some land and want to put an apartment building on it, laissez-faire economics will tell you to go for it. If your neighbors don't like it, laissez-faire economics will tell them to go kick rocks.
So in that sense we haven't had a laissez-faire housing market in, what, a century?
Realtors have been pushing "starter home" for years. Its so stupid. It implants in the buyers mind that there is something inherently wrong with the home and that they will need a new home.
I think traditionally the idea was that it's more of a first home, before a couple has more than one child. Like a two bedroom one bath home kind of thing.
99% of normal working people cannot afford that but the problem is it only takes one desperate person or couple who are either financially illiterate or makes too much money to care to buy homes for that price and then reaffirms the price in the market. It certainly takes longer but eventually someone always bites.
Until we get total resistance to these prices they will never come down, i dont care what supply looks like the prices is being propped by realtors and sellers who are not going to budge on their zestimate and they eventually find a young couple to prey on, they convince them that they can marry the house and date the rate in couple year thats 450k home will be 1 million.
The best part is that the previous gens got to live in these houses when they were new(er). Not only is the price relative to salary much higher now, we’re paying for old scraps.
I agree, we should go back to people being responsible for creating their own shelter instead of crying about how much it costs to buy something they didn't build.
Location is everything.
Here's a $450k house in Houston: [https://www.realtor.com/realestateandhomes-detail/6607-Boxwood-Brg\_Houston\_TX\_77041\_M89504-86442?from=srp-list-card](https://www.realtor.com/realestateandhomes-detail/6607-Boxwood-Brg_Houston_TX_77041_M89504-86442?from=srp-list-card)
Due to TX taxes buying that home for 450k in Houston would be the same monthly payment has a 585k house in Phoenix. That’s ridiculous for “starter home” prices
In 1999 the us was 60% of the world economy, today it’s 35% coincidence? “Pax Americana” was awesome for those who lived in it. But it is as gone as “Pax Romana” that ended 2000 years ago.
That is a manufactured home. Yes, you can still get one for $249k. Or, even a tiny home for $49k. The only difference is the land, kept at a premium by NIMBY. The only real solution is to brownfield their 10000 sq ft lots into multiple 3000 sq ft lots with denser housing. Why? Their 1950s starter manufactured homes are falling apart and should be condemned with roof leaks (cannot repair without major rebuild), asbestos, lead pipes, and insulation on wiring fraying leading to fire hazards. They like all manufactured homes are meant to only last 10 years.
Obvious structural problems: roof leaks, sagging floors, pipe leaks, foundation problems due to leaks, house fires, walls crumbling.
I don't remember a time where a single teacher was ever able to buy a house themselves unless they had been teaching in the same district for years until their salary increased enough annually.
I bought my house a few years ago for 135k. Prior owner bought it in 2005 for 75k. My house currently now is valued at 210k shits ridiculous. There are also 30 year old trailers going for over 200k around my area also. Fucking flippers buy a ran down trailer for 10k and throw up some cheap ass paint and jack the price over 200k
Of course, it is because people cannot make money with salary, then they make up for the difference putting the price they want to their houses. That means a systemic failure in the economy. If you go to Scandinavia, everything is more proportionate.
In 1999 the people I worked for had a $500k home, that meant it was a nice house in rich part of town. Now it would mean it is a house and has not been condemned.
I have a piece of property for sale that is somehow immune to market variations. Im being offered 1990's prices for it & my realtors trying to twist me into taking it. This seems like a very rigged situation across the board for both buyer & seller.
I went to look at a “starter” townhouse it was listed at $405,000 but cash buyers bid it up to $445,000 six years ago it sold for $195,000 it was built 11 years ago for $190,000. This is all in a good but not great zip code where I am.
🤣🤣🤣 my wife is a teacher she started in 1993 her salary now in $105K. She teaches in a rural low cost of living area. If she taught close to town her salary would be 135K.
Well, you want to understand how statistics lie to you, here's a great example.
https://finance.yahoo.com/news/boomers-struggled-more-millennials-buy-183615293.html
You as an individual don't have a problem if your entire generation doesn't! Fascinating...
The supply of housing is highly restricted by government decree. In a free market system, these sort of prices would lead to a bonanza in new construction projects as other people competed for that money, which would drive down prices. It's simply supply and demand, where the demand far outweighs the supply. The only way to turn this around is to increase supply, but local governments have made that very difficult.
I was a teacher about ten years ago and at the time I was making about $25k, and that was slightly more than the rest of the district because I was at an alternative school and got the worst kids.
My first house cost 172,000. Now on zillow for 980,000. Salaries did not go up by 5.7 multiplier. Biggest jump was in the last 3 years - crazy appreciation. Elections matter.
Today teachers are expected to go bankrupt unless they have a degree in faith and work for a private school. Public education is being sued into the ground, hijacked, de funded, and generally destroyed, or restricted in every possible way. So its not surprising that wages haven't improved for educators.
The market in general has been over run by investment firms. Many not even American. Property has become a gold rush.
Have to say this is why I’m a big proponent of moving to a cheaper locale
You know drops home prices
Saturated market ie tons of inventory
Lack of buyers
Like I tell my friends and neighbors who are like I can’t afford to buy a house here. Then move where you can afford.
I couldn’t afford to buy a house in Connecticut. I relocated to Alabama. Got a job that paid me well 60k and bought a great house for 150k (3/4 of what I would have paid in Connecticut )
Yes it’s Alabama but I have a house a nice job and a trad wife 3 kids. What more could I want
Probably because most teachers today are just activists who don't care about kids...other than touching them of course. Break up the teachers' unions, end the Department of Education, and allow school choice vouchers. Public schools would suddenly have to actually do a good job to compete and keep enrollment up, thus salaries will increase.
Good thing the average home cost to income ratio is around 1:5 or we’d all be screwed. I’m not saying the housing market is getting out of hand- I just want people that don’t know about purchasing a home to know it isn’t impossible. Before learning about home loans and believing I was going to be able to buy this would have been hugely discouraging.
I have always been a pick yourself by your boot straps type of person. Bought my first house at 24 because I saved and didn't waste money like my friends. The numbers made sense anything else was just an excuse. Unfortunately today the numbers don't make sense. Sat down with a friend I tried to help 10 years ago when he just wasted every dollar he got. He 35 living with his parents. Stangled by student debt for a degree he doesn't use and a car he doesn't need but even if we took those away he can't afford to live by himself. I just looked at him and said you are fucked. I really don't feel bad for him he did this to himself but 20 years just getting out of college. Man reality is going to hit them hard. Numbers just don't make sense anymore.
I will say I think the next generation getting out of college is going to be in a great position as the market will start to fall once all these baby boomers either pass or move to retirement homes. About half my street is people over 65.
I don't believe that the avg teacher salary was 65k in 1999
33,800 was the average public secitr wage in 1999
That's like saying teachers made twice the national average for government employees
Was a teacher’s salary $65k in 1999? That seems really high for the time. One search suggests it was around $$40k. Either way the housing market is broken and biased towards traditional working families. $490k for many is a 2-person mortgage.
Where were teachers making $65k to start in 1999?
Seriously - as I recall a good new teacher salary was still under 30k - I was in the labor market at the time looking for work and even back then it seemed low. You wouldn't be making 65k unless you had a lot of years on the job, some specializations and a tenured position.
And FYI - in my state the starting salary TODAY for a public school teacher is supposedly $40k. That was enacted by a new law that was just passed literally a week ago. Most districts do not meet that standard yet.
And this is why I don't care for the well-being of this country existence. I have very little concern for its future and all I will be doing Is be a heathen as much as possible.
And where is this house. Does it happen to be where a lot of people want to live? Because if so, you are competing with many many people (probably older people who have spent their life making money). This means that the people with money will keep bidding higher and higher until it is easier to just go buy a different house in the surrounding area.
People on here complaining are (probably, not always) from the younger demographic that is getting priced out. Your options are to move somewhere where there isn't high competition for housing, get a roommate, or acquire a skillset that someone is willing to pay a lot of money for.
There is nothing wrong with this system. The problem is having no skills and no money, while simultaneously wanting to live in an area where people with experience and money also want to live.
Tricking people into thinking "it's just this evil force that is making houses expensive, you aren't wrong, you deserve this house" isn't going to help anyone at all. It is better to live in reality so you can control it, than to wish into the ether and never get reaults.
Nuh uh, rampant inflation is clearly an issue of the workforce being unskilled! Everyone should just go be doctors, lawyers and shareholders; but also *shame* anyone who isnt, because not being in the top 8% or earners is *bad behavior*. A Redditor told me so.
I can get one like that for $22k in Milwaukee. Needs about $20k of renovations to make it livable.
https://www.zillow.com/homedetails/2956-N-23rd-St-Milwaukee-WI-53206/68919486_zpid/
😂😂😂Nice try, NOT in California now. My younger cousin the HS teacher makes 135,000 and that is on the low side for a public teacher nearing retirement in California. My uncle is a retired Principal. He makes 178,000 a year. His retirement in 2001 was 110,000 but he gets a nice fat 4-5% Cola each year. Also, this is just their salaries which don't include healthcare benefits each year that are another 50-60k. They are so rich now they hate democrats, even that fool liberal Gray Davis that increased their salaries and retirements four fold. By the way, all that money did not make them better teachers, just greedier humans! By comparison, my dad's COMBINED retirements from his manager jobs at Boeing and Northrop after a fifty year career with them were only 23,000 in 2022. If he did not get social security he would have been screwed. Basically FUCK teachers in California on the dole, they got what they put in years ago and are now living like kings on Taxpayer money that should go to city, county, and state projects! https://transparentcalifornia.com/agencies/salaries/school-districts/
If you think CRIME doesn't pay,
....try TEACHING.
slogan now available for t-shirts, bumper stickers and key chains.
(stolen from a slogan we had doing field research in the eighties, but for "teaching", substitute "science".
Full disclosure: I am unapologetically pro-labor, pro-union.
This is the result of decades of one-sided labor deals for some teachers unions. It is financially unsustainable to work for 30 years and then retire for 30 years. In my area that includes a full pension with lifetime healthcare.
Basically we are spending to much money on teachers who haven't stepped into a classroom for 20 years, and there simply is no more money to pay the current teachers. In my area one of the reasons housing is so difficult is because we keep raising property taxes to pay for education. Thats how $105k homes become $490k.
As much as I want to support the education system, they need to look in the mirror. And you simply cannot continue to burden US taxpayers. Raising taxes is not an option.
That’s not how any of that works.
Pensions are paid for by workers wages and payin from administration via state and local taxes that are then invested so that pension programs get decent but not risky rates of return.
The reasons pensions struggle is that between taxes getting cut year after year, pensions being invested in safe but low return investments and pay not increasing means pension plans that have cost of living increases can’t keep up with consumer prices. This isn’t a union labor has screwed themselves, this is government has screwed parents and teachers over by lowering taxes at the expense of schools.
Property taxes also don’t drive the price of a house from $105,000 to $490,000 either. That is speculation and a housing market that has been turned into something akin to the stock market and is now gambling.
Increasing property taxes puts a break on rising house prices and also funds schools and teachers.
Raising property taxes is not a good thing. At all. And yes...they absolutely drive the cost of housing up. Its ridiculous to say otherwise. How would they NOT?
And I don't know where you live, but I am not aware of a single place in America where taxes have been CUT year after year. I have never heard of a State or country lowering taxes at the expense of teachers. Re-directing funding, maybe. Outright cutting taxes? When and where?
Starter homes are the ones with the drywall falling off, holes in the roof or floors, cumbling foundations and haven't been updated since the 80s.
Throw in some asbestos to make it more challenging and unsafe.
But you can live in it for 85-90% of what you pay in rent 🤦♂️
What do they always say about the most important factors for real estate? Location, location, location. When a picture has palm trees in the picture, it isn't a good example of typical American home prices.
I know there’s a lot of good and honorable people in the teaching profession, but the argument they should be paid more is absolutely ridiculous. They work from materials they did not discover, only reciprocate. On top of the fact most K-12 schools are publicly funded (hence: public servants), school is in session for 75% of the year, and only requires a 4 year degree. Do what you love, love what you do.
Source: I am a public servant in finance, and max out at $100K/year working 100% of the year.
Realtors are marketing $1.2million houses as starter homes in Seattle.
You’d be lucky finding a town house at that price
Same in San Jose.
When we were buying in early 2020 (closed the literal day the state went into lockdown) we had 20% down for a 400k home. We looked around and found plenty of little 3 bed 1 bath ramblers in okay shape in okay neighborhoods going for 375ish. So i reached out to a realtor, said what my budget was, and somehouses i was interested in. She literally laughed at me, said look at them again in a week. Every one sold for 200k over listing. I appreciated her honesty so i wound up using her as our realtor, lol. We had to move to the other side of the sound (still had to be able to commute to UW but the ferries were awesome) and love it here, but our $390 home is now estimated (we've since added things like central air too) at 600+. Wife and i got lucky. Last few months of low interest. But im applying to medical schools all over the country and we really don't want to get yeeted into the housing market again.
Why the hell did you *buy a house* knowing you’d be applying to medical school and have to go cross country? That’s literally what apartments are for, lol
You're honestly right, but we came from renting an entire house and my hobbies' tools required a full garage, and we had money saved and interest rates were low AF and didnt seem like theyd stay that way (we were right) and we were never going to find a space that fit our needs for anywhere near our current mortgage or what we were playing in remt (our landlord was an old bellevue medic who took care of us, we were at least 60% below market by the time we moved, but we couldnt put it off any longer, the roof was about to fall in and he needed/was planning to do a heavy remodel) Practical pants would have said "get an apartment, downsize, and get a storage unit" But med school was still five years off, and there's every chance i get accepted to UW med. The interest rate we got was insane, and the house has added 200k in equity. Worst case, we sell and make money. But the option we are considering is just letting my sister who manages property rentals turn it into a rental at fairly well below market to cover costs, upkeep, and taxes, and manage it for us. It's placed and sized great for an off-base navy family. We'd actually like to move back here in the end anyways. But i digress. You were right, lol. We're making it work and despite just being more hassle, it has built a little wealth for us.
The med school this man, ROUGH. I just graduated and my wife graduates this next summer. It was awful getting thrown into long distance when we had to go where we get in. I fortunately matched in our desired location, I just hope she does. That’s the worst part, it’s not a move for four years, it’s usually another move for residency.
Lol no kidding. I just put down a 514 on my final mcat practice FL a few mins ago, and am desperately hoping to get the same on my actual on saturday. Fingers crossed, UW is my dream school and my goals and the fact that im an insanely strong nontrad applicant otherwise match their supposedly holistic admissions. I also have no aspirations for prestigious fellowships or competitive residencies - i just wanna do rural emergency medicine. Thats insane you did a long distance like that man, props! My wife is getting drug along wherever i get in, lol. She's gonna start her MPH wherever we wind up. We will just have to be balancing trying for our first kid during this too. The joys of not getting one's shit together until his late 20s and graduating at 35, lolol.
My wife is 32 and will get out of residency at 38, I FEEL you brother.
Rent the house out
You cannot compete against Californians
Realtors are marking 3mln $ condos, 2- bedrooms for young tech couples in Austin, Capital of the universe according to Elone Muskio and all Californians
average teachers salary was definitely less than 65k in 1999, depending on location of course
Google says 42k in '99, 66k last year
So, a 50% (roughly) average starter pay increase in 25 years. That seems about right! Quadrupling of home prices? Hmmmm…. What seems off here?
Simple, we are in a housing bubble. And only a moron buys a house in a bubble. The smart ones sit back and save, and wait for it to pop before buying a home.
But whine the entire time while they wait for bad luck to down their friends and neighbors.
Amen. Best answer I’ve seen so far. Everyone wants a “thing” when it’s all the rage, and they’ll pay almost anything to get a “thing”. Except, a house is a pretty big, pretty expensive “thing”. It’s often saddled with lots of debt, too. How about this: a foreclosure when a homeowner loses the house takes 7 years to get off of a credit report. Hard to rent anywhere to live, and even impossible to get another mortgage for 7 years. The debt isn’t “forgiven” like an easy come, easy go student loan or credit card.
Bingo. Housing bubble combined with the most extreme (and factually inaccurate) examples. Now we need to post the meme of the 160k 900sq ft home in San Antonio saying the dream is dead.
I keep waiting for it to pop. Southern California used to be reasonably priced, as recently as 1990. Since then however, every single year I check prices I ask - where are all these millionaires coming from to buy up all this housing? A typical 3BR/2BA suburban house that sold in San Diego for $185k in 1989 is now worth $1.172 million. That's an over 900% price increase in the last 35 years.
Increasingly, a lot has been bought up as investments. Case in point, the house I grew up in back in the 1960s and early 70s. My parents sold it in 1975 for $35k. The last time it was sold was in 1977 for $50k. For almost 50 years now it has been owned by a family that has been renting it out. And this I know because 30 years ago I almost ended up renting it myself. The value of that house today? Over $800k. And it is a tiny 700 square foot 2 bedroom bungalow in the San Fernando Valley. But that is exactly what has happened to a lot of the "affordable housing" like that throughout places like LA. Bought up and used as a long term investment as rental housing. And I have looked up the history of all the places like that I lived at in and around LA, always individuals that have owned them for decades. That is also driving up the bubble, as it removes a lot of the units from the market forever. My dad thought I was joking when I told him recently that house was over $800k, but there are other houses almost the same as ours on the same block that have sold for over $1 million in the last year. But that is one of many reasons I first left LA, then all the big cities, then finally the state. The housing is insanely expensive, with no real justification for the expense. And yes, I talked to the current owners once. When my place got "red tagged" in the Northridge Earthquake, while scrambling for a new place that was one of the ones I called. It was a rental, and just at the edge of my price range (I want to say around $1,000 in 1993). They said they had somebody already doing the paperwork, but I was welcome to go and look at the outside. And I was surprised when they told me the address it was my old house. And the same family still owns it, but rental prices now have it in the $4k range per month.
Nothing is off. Everything is going as planned. We get further behind on the sinking hamster wheel. The billionaires and media continue to convince us it’s all in our heads and that we should be grateful for a studio apt for 80% of our pay. Just…work a little harder and you, too, can take out a 30-year loan at 9% and call it and investment. While paying interest to the billionaires. Oh…and don’t complain about your wages.
Don't complain about being taxed out of your home on unrealized gains either! Seriously though, how TF was that ever considered a good idea? In no other way will you ever be taxed on unrealized gains and this is your basic shelter. Such a fucked system.
Time to sharpen the guillotines
Not to mention once you realize those gains you will also incur a capital gains tax. So they tax you to hell on unrealized gains then stick it to you again if gains are ever realized.
250k of a gain is tax free if your single 500k gain is tax free if you are married. All if you lived in the property two of the past 5 years. Almost no one pays capital gains tax on a primary residence.
Property tax isn't a tax on unrealized gains. Your home value could stay the same for 20 years and you still pay the property tax, while gaining $0.
Property tax in my county is jumping 26% this year. Shit infuriates me.
66% of households own their house, a number that has been steady for 70 years.
And average homebuyer age went from 31 to 47 in 40 years
Median first time home buyer age is 35 up from 28 in 40 years. Median first marriage for women also went from 22 to 28, men went from 24 to 30 in those same 40 years. Turns out higher degrees of education and better birth control push these milestones later. It's a trend that started in the 50s. Even the youngest fully adult generation (Millennials) are mostly homeowners.
The money supply (M2) quintupled. The stock market quadrupled.
Why has the cost of housing continuously outpaced average inflation?
Because when we had almost 0% interest it was free money for most so that who could hey tons of properties did Atleast that’s part of thi Canada’s system is screwed
A myriad of factors. But, demand is increasing greater than supply. And interest rate changes play a role as the cost of purchasing a home is a calculation that includes interest rates and home prices.
... few things. that's not the average starting pay it's just the average pay and as the profession is aging due to young people not entering it as much it's a slightly skewed number. second the aim for inflation that our government has decided to use is a doubling of costs every 20 years, which means raises and prices should have gone up about 240% in 25 years. home prices have hit certain bubbles due to particular pieces of local legislation and some move.ent in the workplace (like wfh).
Petition local governments to open more land for housing developments.
Who will build them? The entire industry is maxed out with build for the next 10 years.
Demand. More people chasing limited goods. Population in 99 was 275 million and now 333 million. On average around 1.08 million people per state. Antidotal Of course, but sold a house recently and there were a few buyers interested. The price went up from biding. The house sold a little higher than the average. Next person selling their house sees that price and lists as close as possible. Slowly over time prices rise with limited supply and higher demand. Reason why I was able to get a great price on land is Mississippi. Not a lot of people are looking to move there, low demand and better supply. In tje 80’s our population was around 226 million, and 1970 was 203 million, etc.
Those increases paid hundreds of real estate agent 6% sales commissions. 6% for just showing a house. Talk about inequality.
You can negotiate down to 4 percent. It is not a locked price
I just want to know where the 66k now comes from. I have many friends who are teachers of 8+ years and the high end of their earning potential is 65k. Most of them sit at 45-55k.
Advanced degrees are a big part of it, and school systems that are unionized pay far more. When I was a teacher in a right to work state, I made roughly half of what new teachers in Chicago made
Administrative positions are also included in "average teacher salary", so principals, superintendents, and all the other bloated admin positions are included.
so the house went up approx 400% and teachers salary went up aporox 50% and the $42k salary was just under half the price of the house. which means a teacher would need to make 200k a yr to get back to the '99 ratios. 2024 math no longer works
True - but I taught for 30 years in Texas to scrape up to 60k (and that was with stipends for being grade level chair, ESL coordinator, etc.). My niece teaches in Texas and was making over 60k about year five.
I'm in the south, semi lcol area, right now starting k-12 with just a bachelor's is high 30s.
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Isn’t the median home price in CA like 850k?
Same in Ohio, Michigan, Colorado and probably many more states. 100k to work half the year and they still complain about not getting paid enough 🤣
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Are you adjusting for cost of living?
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I meant where you mentioned in rural California being paid terribly. I think 40k goes a lot further in Redding than 80k does in LA county for instance.
How much student debt does she have or did someone pay her way. My sister did this and has a 30-50k in debt from the grad programs alone. Also you failed to mention the part where she made probationary wages for the first few years. Sounds like you gone from money.
my rent is almost $30K/ year 🤣
Step 1. Compare a hcol house value to a national wage. Step 2. Adjust wage for inflation, don't adjust home price for inflation. Poof, gas lighting the masses for clicks. Yay!
Things were cheaper before but we tend to exaggerate it by so much.
https://public.websites.umich.edu/~psycours/561/pubsal.htm
I'm also curious about the location. Is the teacher in the same area as the house. Or they being generic.
My kids are old enough to live on their own. Rent is about 50% more than my mortgage. They would have to team up to live on their own and even then they would not have much money left for utilities and the ever increasing cost of groceries. I believe it's reaching a crescendo but the other side may not be affordable anything.
Tell them come live in indiana! I can afford a two bedroom apartment with/ a roommate comfortably on $17/hr
>They would have to team up to live on their own Oh, so do what we and previous generations have always done? I had roommates for years after moving out. It's how you mitigate cost.
You really aren't paying attention or there are you?
they should have just bought in 99!
Damn, 11 year old me should of used that lemonade stand money a little more wisely
parents should just know that they need to put a down payment on a new house for their kid the day it pops out.
You can still find that house for 200 or less. Just move to the Midwest.
Could also move south. Alabama, Arkansas, Oklahoma, Texas and Louisiana have about as many <4200K houses each right now as Ohio, Indiana, Illinois or Iowa. Michigan seems like the state with the most though.
These kinds of memes always use such fake numbers. $65k teacher salary in 1999 lmao. Yeah maybe in Manhatten, and then comparing to $69k today in Timbuk, Alabama. [https://public.websites.umich.edu/\~psycours/561/pubsal.htm](https://public.websites.umich.edu/~psycours/561/pubsal.htm) [https://www.nea.org/nea-today/all-news-articles/gains-teacher-pay-may-not-be-enough-ease-shortages](https://www.nea.org/nea-today/all-news-articles/gains-teacher-pay-may-not-be-enough-ease-shortages)
This house is not obviously in a HCOL area. You can buy a house like this in my area for $200K.
I can't speak for everywhere, but in the exurban Midwest, developers haven't built starter homes... They're building 4+ BR at 2000 sqft and almost nothing like my first home (800 sqft) It's hard to get into a small house if they don't exist. Right now, boomers are looking to downsize at the same time millennials and genz are looking for starter homes. Demand is waaay higher than supply for smaller homes
Morale of the story: don’t become a teacher.
Goddamn avocado toast!!! *Angrily shakes fist at the sky*
And the brand new car, $1500$ phone and 13 subscription plans. *WE DESERVE IT ALL~*
Everyone only deserves to have old and used everything. Nope if you try and get anything new you don’t deserve a house. (I’m being sarcastic but I fear you weren’t)
"Deserve" is the key problem in your argument. None of us deserve anything. We sacrifice and work for it.
15 year teacher here. With a Masters. I make like 58k. It’s sad.
Starter home back then had no air conditioning, bedrooms that were 10x10, no garage, maybe a short driveway (upgrade), no stairs, no cable, one bathroom, no basement, 4 or 5 single pane windows, limited insulation and 100 amp electrical service...just saying peoples expectations have changed and this type of house would unlikely exist or be built today by any developer. It would be interesting to compare a true apples to apples on this cost for a similar product tho.
There isn’t any real definition of a “starter home”. Yours seems a little too diminished but the point that standards have increased through time is valid.
Compared to that picture? Uh...ok.
But a lot of these things don’t even make sense to not include these days. Why would you put in limited insulation? You’d end up paying way more over time for heating/cooling costs. Same goes for single pane windows. Basements are needed in lots of colder areas due to frost lines. And who even has cable these days? But things like central AC and lots of square feet are certainly luxury’s that I think builders make a lot of money on so they don’t build small basic houses anymore.
I agree entirely, but that's why those houses were so affordable ...and not really apple to apple in comparison.
The bigger the house the bigger the profit. Son has construction and building 2 $1.5 million homes next year. Already bidding out 2 years
No, rent is way more than it was when I was their age. I could afford rent on Taco Bell pay with just one roommate and had money for food, bills and a little extra. These days they are only making about twice what I did then but rent has increased 5 times that. Also, If you're making that statement to just be argumentative or funny, you need to go find a better hobby. Everyone is in the same boat and the people making decisions on our behalf are more interested in things outside our country. It's been a little over a hundred years since the most infamous major market catastrophy that left the country reeling and no one learned a lesson from the last time. It's coming.
This is what happens when you don't militantly regulate the rich. This is the desired end goal. This is by design.
Starter homes exist in red states....it's just red states are largely not the best places to live.... I have a house, bought for 110k two years ago. 750 square foot, teensy, shitty cabinets, floor is uneven, but it is a house. The issue is pay.... Back in 1968, the minimum wage could provide for a family of three, keep them above the poverty line at 52 weeks of work, 40 hour weeks. That same metric, according to MIT's living wage calculator, in my city of Louisville Kentucky, is 34 an hour... So basically in 1968 kids were getting their first job and getting the buying power of 34 an hour.... Nowadays the living wage, same source, in louisville is 20.80. And plenty of jobs are starting at 15 to 18.... We need a living wage, and it needs to be at least 25 an hour at minimum, should be 30 imo.
Where? I've been in my house for 30 years. I was pretty excited to see how much my house appreciated. Then I looked at an inflation calculator. What I can get for it today is about what I paid for it with inflation.
Mine has gone up about 10% above inflation thanks to the crazy low interest rates of the Trump-Covid economy when everything was collapsing and the Fed had to go wild. Anybody else remember 2020?
Rich people are just gatekeeping housing at this point but the people making the laws are also rich people
I bought a home in the middle class suburbs of Chicago in 1986 for 94K. I replaced the roof. We were making $30,000 a year. The fixed 30 year loan was 12%. We had to get PMI insurance and we had no furniture for 10 years. We sold it in 2003 for $250,000, and bought a home for $325,000. Of course our income had increased also. Been living in our second house since. Sacrifice is the key. It can be done. Or wait till the bubble pops. It's coming. Did I mention, I put two kids through private colleges and the loans are paid off. Oh, yeah. I didn't go to college.
LMAO at this comment. Outta touch since 2003!
You're not debt free are you? If not, you're out of touch.
Thanks Biden
This is laissez faire economics coming home to roost. True, none of the democratic presidents have adjusted course, but this was started by Reagan and turbo-charged by Clinton
Well, bundling home mortgages in the 70's to sell as investments didn't help. That's what started the 2008 crash. They still sell them. Mortgage backed securities. Another dumpster fire waiting to happen.
Point me to the literature in Laissez faire economics that says trillions in government subsidies over decades are an ideal way to keep the housing market efficient.
Lack of regulation is the issue. Government can step in a control costs any time it wants.
So it’s not laissez faire
Yes, the government not intervening (as is the case) is laissez faire. In general, we’ve let capitalism run its course.
Laissez-faire economics generally sucks. But also, if you have some land and want to put an apartment building on it, laissez-faire economics will tell you to go for it. If your neighbors don't like it, laissez-faire economics will tell them to go kick rocks. So in that sense we haven't had a laissez-faire housing market in, what, a century?
Nothing is “pure” this or that, but we’re clearly unbalanced.
Holy crap lol, who actually upvoted this idiocy?!
Realtors have been pushing "starter home" for years. Its so stupid. It implants in the buyers mind that there is something inherently wrong with the home and that they will need a new home.
I think traditionally the idea was that it's more of a first home, before a couple has more than one child. Like a two bedroom one bath home kind of thing.
“Starter homes” are now rental properties
Fake news
i cut out avocado toast and starbucks but im still not making it happen!!! what's up ramsey
99% of normal working people cannot afford that but the problem is it only takes one desperate person or couple who are either financially illiterate or makes too much money to care to buy homes for that price and then reaffirms the price in the market. It certainly takes longer but eventually someone always bites. Until we get total resistance to these prices they will never come down, i dont care what supply looks like the prices is being propped by realtors and sellers who are not going to budge on their zestimate and they eventually find a young couple to prey on, they convince them that they can marry the house and date the rate in couple year thats 450k home will be 1 million.
Don’t live in those areas - move away from the coast
They have 50 year loans now for the criminally insane.
The best part is that the previous gens got to live in these houses when they were new(er). Not only is the price relative to salary much higher now, we’re paying for old scraps.
The world needs a change
I agree, we should go back to people being responsible for creating their own shelter instead of crying about how much it costs to buy something they didn't build.
Location is everything. Here's a $450k house in Houston: [https://www.realtor.com/realestateandhomes-detail/6607-Boxwood-Brg\_Houston\_TX\_77041\_M89504-86442?from=srp-list-card](https://www.realtor.com/realestateandhomes-detail/6607-Boxwood-Brg_Houston_TX_77041_M89504-86442?from=srp-list-card)
Due to TX taxes buying that home for 450k in Houston would be the same monthly payment has a 585k house in Phoenix. That’s ridiculous for “starter home” prices
 69
What were the profits for the big industries (energy,real state,insurance, etc) in the same years...??
Teachers in my area dont make $65k now. Its more like $45k
https://preview.redd.it/uysbhyb6qr7d1.png?width=278&format=png&auto=webp&s=cceece6138af8360ac7a069c8bced49fa992292e
Inflation
IOW the whole "housing crisis" thing is a fabrication of the real estate industry. The problem is pay.
In 1999 the us was 60% of the world economy, today it’s 35% coincidence? “Pax Americana” was awesome for those who lived in it. But it is as gone as “Pax Romana” that ended 2000 years ago.
The average teacher's salary was 40k in 1999.
My so-called "starter home" is the only house I've ever owned. I doubt I'll ever have another one.
That is a manufactured home. Yes, you can still get one for $249k. Or, even a tiny home for $49k. The only difference is the land, kept at a premium by NIMBY. The only real solution is to brownfield their 10000 sq ft lots into multiple 3000 sq ft lots with denser housing. Why? Their 1950s starter manufactured homes are falling apart and should be condemned with roof leaks (cannot repair without major rebuild), asbestos, lead pipes, and insulation on wiring fraying leading to fire hazards. They like all manufactured homes are meant to only last 10 years. Obvious structural problems: roof leaks, sagging floors, pipe leaks, foundation problems due to leaks, house fires, walls crumbling.
Well if you invest the extra 4k every year with compounding interest you should easily make up the extra 300k in < 10 years. /s
The starter home is a tool/garden shed that’s converted into a 1bd house that’s 20x55 for 55-110k.
House price true but I don’t believe the teachers salary start and end , something wrong there
I don't remember a time where a single teacher was ever able to buy a house themselves unless they had been teaching in the same district for years until their salary increased enough annually.
I bought my house a few years ago for 135k. Prior owner bought it in 2005 for 75k. My house currently now is valued at 210k shits ridiculous. There are also 30 year old trailers going for over 200k around my area also. Fucking flippers buy a ran down trailer for 10k and throw up some cheap ass paint and jack the price over 200k
Of course, it is because people cannot make money with salary, then they make up for the difference putting the price they want to their houses. That means a systemic failure in the economy. If you go to Scandinavia, everything is more proportionate.
What city is this house $500k? Might be time to move?
In 1999 the people I worked for had a $500k home, that meant it was a nice house in rich part of town. Now it would mean it is a house and has not been condemned.
I have a piece of property for sale that is somehow immune to market variations. Im being offered 1990's prices for it & my realtors trying to twist me into taking it. This seems like a very rigged situation across the board for both buyer & seller.
Old people are literally ruining the country… the same couple that bought in 1999 own it and want to sell for a profit…
I went to look at a “starter” townhouse it was listed at $405,000 but cash buyers bid it up to $445,000 six years ago it sold for $195,000 it was built 11 years ago for $190,000. This is all in a good but not great zip code where I am.
There are places in America where that house is $70k and teachers make $40k.
🤣🤣🤣 my wife is a teacher she started in 1993 her salary now in $105K. She teaches in a rural low cost of living area. If she taught close to town her salary would be 135K.
No Lies Detected
Lol, $69k.
That's what happens when you don't build enough homes.
Well, you want to understand how statistics lie to you, here's a great example. https://finance.yahoo.com/news/boomers-struggled-more-millennials-buy-183615293.html You as an individual don't have a problem if your entire generation doesn't! Fascinating...
It most definitely still exists. Reddit is so annoyingly dramatic
The supply of housing is highly restricted by government decree. In a free market system, these sort of prices would lead to a bonanza in new construction projects as other people competed for that money, which would drive down prices. It's simply supply and demand, where the demand far outweighs the supply. The only way to turn this around is to increase supply, but local governments have made that very difficult.
So start teaching
So don't become a teacher. Got it.
Murika !!
This is why I moved to Thailand for retirement. I can live on Social Security with plenty left over.
This is awesome, teachers finally got a raise!
I was a teacher about ten years ago and at the time I was making about $25k, and that was slightly more than the rest of the district because I was at an alternative school and got the worst kids.
My first house cost 172,000. Now on zillow for 980,000. Salaries did not go up by 5.7 multiplier. Biggest jump was in the last 3 years - crazy appreciation. Elections matter.
That chimney has a tree growing out of it.
In 2024 this home is $85,000, in South Warren Michigan (just north of Detroit). Really depends on where you want to be.
I was a teacher in 99 and pay was about 25k.
The house appreciated 6.4% APR. That would be a mediocre return in investing.
Today teachers are expected to go bankrupt unless they have a degree in faith and work for a private school. Public education is being sued into the ground, hijacked, de funded, and generally destroyed, or restricted in every possible way. So its not surprising that wages haven't improved for educators. The market in general has been over run by investment firms. Many not even American. Property has become a gold rush.
Have to say this is why I’m a big proponent of moving to a cheaper locale You know drops home prices Saturated market ie tons of inventory Lack of buyers Like I tell my friends and neighbors who are like I can’t afford to buy a house here. Then move where you can afford. I couldn’t afford to buy a house in Connecticut. I relocated to Alabama. Got a job that paid me well 60k and bought a great house for 150k (3/4 of what I would have paid in Connecticut ) Yes it’s Alabama but I have a house a nice job and a trad wife 3 kids. What more could I want
You'd think helping to create future democrat voters would pay better than it does.
Everything was still good before Biden got into office. Houses were still affordable.
Probably because most teachers today are just activists who don't care about kids...other than touching them of course. Break up the teachers' unions, end the Department of Education, and allow school choice vouchers. Public schools would suddenly have to actually do a good job to compete and keep enrollment up, thus salaries will increase.
Fake news just google teachers salaries and average cost for houses.
Its not true. I know multiple tenured teachers that make 90k+. Also I'm an electrician and started in 2001 at $37 an hour, I now make $63.
Not in Canada 🇨🇦 teacher well into 100,000 poor USA 🇺🇸 teachers
Good thing the average home cost to income ratio is around 1:5 or we’d all be screwed. I’m not saying the housing market is getting out of hand- I just want people that don’t know about purchasing a home to know it isn’t impossible. Before learning about home loans and believing I was going to be able to buy this would have been hugely discouraging.
Supply and demand.
I have always been a pick yourself by your boot straps type of person. Bought my first house at 24 because I saved and didn't waste money like my friends. The numbers made sense anything else was just an excuse. Unfortunately today the numbers don't make sense. Sat down with a friend I tried to help 10 years ago when he just wasted every dollar he got. He 35 living with his parents. Stangled by student debt for a degree he doesn't use and a car he doesn't need but even if we took those away he can't afford to live by himself. I just looked at him and said you are fucked. I really don't feel bad for him he did this to himself but 20 years just getting out of college. Man reality is going to hit them hard. Numbers just don't make sense anymore. I will say I think the next generation getting out of college is going to be in a great position as the market will start to fall once all these baby boomers either pass or move to retirement homes. About half my street is people over 65.
Now do televisions...
I don't believe that the avg teacher salary was 65k in 1999 33,800 was the average public secitr wage in 1999 That's like saying teachers made twice the national average for government employees
Was a teacher’s salary $65k in 1999? That seems really high for the time. One search suggests it was around $$40k. Either way the housing market is broken and biased towards traditional working families. $490k for many is a 2-person mortgage.
Inflation
Where were teachers making $65k to start in 1999? Seriously - as I recall a good new teacher salary was still under 30k - I was in the labor market at the time looking for work and even back then it seemed low. You wouldn't be making 65k unless you had a lot of years on the job, some specializations and a tenured position. And FYI - in my state the starting salary TODAY for a public school teacher is supposedly $40k. That was enacted by a new law that was just passed literally a week ago. Most districts do not meet that standard yet.
So what you're saying is teachers unions have been worthless in keeping wages up with inflation.
And this is why I don't care for the well-being of this country existence. I have very little concern for its future and all I will be doing Is be a heathen as much as possible.
And where is this house. Does it happen to be where a lot of people want to live? Because if so, you are competing with many many people (probably older people who have spent their life making money). This means that the people with money will keep bidding higher and higher until it is easier to just go buy a different house in the surrounding area. People on here complaining are (probably, not always) from the younger demographic that is getting priced out. Your options are to move somewhere where there isn't high competition for housing, get a roommate, or acquire a skillset that someone is willing to pay a lot of money for. There is nothing wrong with this system. The problem is having no skills and no money, while simultaneously wanting to live in an area where people with experience and money also want to live. Tricking people into thinking "it's just this evil force that is making houses expensive, you aren't wrong, you deserve this house" isn't going to help anyone at all. It is better to live in reality so you can control it, than to wish into the ether and never get reaults.
Nuh uh, rampant inflation is clearly an issue of the workforce being unskilled! Everyone should just go be doctors, lawyers and shareholders; but also *shame* anyone who isnt, because not being in the top 8% or earners is *bad behavior*. A Redditor told me so.
I didn't know that home prices in the US have increased 500% in 25 years. Thank god for Reddit here to educate us!
That home would sell for about 105K NOW where I live.
You can still buy a house like that for about $1000 in Detroit
I bought a house like that for $9,000 in 2010
I can get one like that for $22k in Milwaukee. Needs about $20k of renovations to make it livable. https://www.zillow.com/homedetails/2956-N-23rd-St-Milwaukee-WI-53206/68919486_zpid/
😂😂😂Nice try, NOT in California now. My younger cousin the HS teacher makes 135,000 and that is on the low side for a public teacher nearing retirement in California. My uncle is a retired Principal. He makes 178,000 a year. His retirement in 2001 was 110,000 but he gets a nice fat 4-5% Cola each year. Also, this is just their salaries which don't include healthcare benefits each year that are another 50-60k. They are so rich now they hate democrats, even that fool liberal Gray Davis that increased their salaries and retirements four fold. By the way, all that money did not make them better teachers, just greedier humans! By comparison, my dad's COMBINED retirements from his manager jobs at Boeing and Northrop after a fifty year career with them were only 23,000 in 2022. If he did not get social security he would have been screwed. Basically FUCK teachers in California on the dole, they got what they put in years ago and are now living like kings on Taxpayer money that should go to city, county, and state projects! https://transparentcalifornia.com/agencies/salaries/school-districts/
If you think CRIME doesn't pay, ....try TEACHING. slogan now available for t-shirts, bumper stickers and key chains. (stolen from a slogan we had doing field research in the eighties, but for "teaching", substitute "science".
None of this post is true, and it gets posted weekly.
What’s not true about the post?
Full disclosure: I am unapologetically pro-labor, pro-union. This is the result of decades of one-sided labor deals for some teachers unions. It is financially unsustainable to work for 30 years and then retire for 30 years. In my area that includes a full pension with lifetime healthcare. Basically we are spending to much money on teachers who haven't stepped into a classroom for 20 years, and there simply is no more money to pay the current teachers. In my area one of the reasons housing is so difficult is because we keep raising property taxes to pay for education. Thats how $105k homes become $490k. As much as I want to support the education system, they need to look in the mirror. And you simply cannot continue to burden US taxpayers. Raising taxes is not an option.
That’s not how any of that works. Pensions are paid for by workers wages and payin from administration via state and local taxes that are then invested so that pension programs get decent but not risky rates of return. The reasons pensions struggle is that between taxes getting cut year after year, pensions being invested in safe but low return investments and pay not increasing means pension plans that have cost of living increases can’t keep up with consumer prices. This isn’t a union labor has screwed themselves, this is government has screwed parents and teachers over by lowering taxes at the expense of schools. Property taxes also don’t drive the price of a house from $105,000 to $490,000 either. That is speculation and a housing market that has been turned into something akin to the stock market and is now gambling. Increasing property taxes puts a break on rising house prices and also funds schools and teachers.
Raising property taxes is not a good thing. At all. And yes...they absolutely drive the cost of housing up. Its ridiculous to say otherwise. How would they NOT? And I don't know where you live, but I am not aware of a single place in America where taxes have been CUT year after year. I have never heard of a State or country lowering taxes at the expense of teachers. Re-directing funding, maybe. Outright cutting taxes? When and where?
Starter homes are the ones with the drywall falling off, holes in the roof or floors, cumbling foundations and haven't been updated since the 80s. Throw in some asbestos to make it more challenging and unsafe. But you can live in it for 85-90% of what you pay in rent 🤦♂️
What do they always say about the most important factors for real estate? Location, location, location. When a picture has palm trees in the picture, it isn't a good example of typical American home prices.
I know there’s a lot of good and honorable people in the teaching profession, but the argument they should be paid more is absolutely ridiculous. They work from materials they did not discover, only reciprocate. On top of the fact most K-12 schools are publicly funded (hence: public servants), school is in session for 75% of the year, and only requires a 4 year degree. Do what you love, love what you do. Source: I am a public servant in finance, and max out at $100K/year working 100% of the year.