You cannot live in LA unless you make at least 150k (for one person). (Los Angeles: homes, neighborhoods)

[ClydeAJones]

Originally Posted by JohnG72

Since you won’t answer the question I will. Short of having arrangements that reduce the cost of renting, it would take a gross income of around $120k to reasonably save $2k a month. Your takehome would be around $3k a paycheck and you’d be sacrificing a great deal on housing and car expense.

In short, there is no longer an ability in LA to scrimp and save and afford a house.

You can pose questions to yourself and answer yourself all day long (knock yourself out). And when you or this other poster want to actually read what I said and stop ignoring it, myself or someone else in this thread can actually have a conversation with you. I can't help you if you think the answer is to ignore what people say because it doesn't fit your narrative.

[Vic Romano]

Originally Posted by looker009

Where in LA it's cheaper that do not require long commute or getting shot at?

Easy, name an area where one would work and I can tell you. A number of areas would be covered by Metrolink.

You're biased anyways since you also want to move to Texas...

[Texamichiforniasota]

Originally Posted by ClydeAJones

Eh, not really. And sure one can cherry pick. I know in the SF Bay Area, 85% of the population could not afford to buy a home there. Was it much different when my wife and I were buying in the early 90's? Nope. And the poster you were quoting did use that time frame as his example. That buyer would have tried to purchase a home at a 10% interest rate (ours was over 9%). The median income at the time was the low $30ks. Our home was $280k (so 9x the amount of the median). Sorry, but I don't see much difference today. I also think this is merely a snapshot and we are probably looking at a high since we are 10 years into a recovery. Recoveries seldom last this long and if history is any indication, we are due for a haircut fairly soon. I don't think the people that complain about this type of thing will be able to afford a home (wrong mindset on what it takes as evidenced by many of the comments in this thread).

This may be you perception, but it is incorrect, even more so for LA county than San Jose. See this harvard demonstration of price to median income ratios over time.

https://www.jchs.harvard.edu/blog/pr...istoric-highs/

Click on the metro area you are interested in, in this case LA (since we're posting in the LA forum, not the San Jose forum), to see how prices have changed compared ro median income over the last 40 years. It went from around 4x median income from 1980-2000 to mostly >8 x median income since 2004. San Jose started out higher, 4-6x median income until about 2000, and generally has also been >8x median income since 2004 with a short dip to about 6.5x median income during the recession.

You are correct that market cycles do play a role as the booms and bust of the 2000's- now clearly show in the charts, but prices do not return to levels they were in the past due to structural housing deficits (supply/demand). I'm not saying it wasn't hard for Boomers and early Gen X to buy their homes 30 years ago. I'm just saying it's harder now, and that shows in the types of jobs/income people could buy a home with 30-40 years ago compared with the types of jobs and income it requires today. The data is clear, even with interest rates housing is more expensive now.

[looker009]

Originally Posted by ClydeAJones

You can pose questions to yourself and answer yourself all day long (knock yourself out). And when you or this other poster want to actually read what I said and stop ignoring it, myself or someone else in this thread can actually have a conversation with you. I can't help you if you think the answer is to ignore what people say because it doesn't fit your narrative.

If we are talking about LA and closed by surrounding area, rent is minimum $1800 1 bedroom. In reality it's 2k+. Yes you can find for rent an apartment that is $1300-1500 but your commute will be much, much longer and with LA traffic that is crazy. Yes you can buy a car for 10-15k but again you will be putting lots mileage on that car. Sure you can do everything under the sun to save, save and live like poor until you have money to buy real estate but for many people that are earning 150k a year that is not the type of lifestyle they want to live and for sure they do not want to show other people that they are living like they are poor etc.

[looker009]

Originally Posted by Vic Romano

Easy, name an area where one would work and I can tell you. A number of areas would be covered by Metrolink.

You're biased anyways since you also want to move to Texas...

I will give you an area and you can tell where i should live, century city . Lots of jobs in that are, how do i take Metrolink to century city?

[Vic Romano]

Originally Posted by looker009

I will give you an area and you can tell where i should live, century city . Lots of jobs in that are, how do i take Metrolink to century city?

C'mon give me something harder. You don't even need Metrolink. Find an apartment in Culver City.

[looker009]

Originally Posted by Vic Romano

C'mon give me something harder. You don't even need Metrolink. Find an apartment in Culver City.

1 bedroom apartment in Culver City is 2k. That is my point, 2k is minimum in LA.You are saying a cheaper place can be found.

[That_One_Girl]

Originally Posted by NeonHippy

I live in a small city in NC at this time - planning to relocate to Southern California by autumn - and I only spend $150 a month on groceries for my fiance and myself. I don't have to eat out as I enjoy home cooked meals. I plan to live the same way out there as I do here, only I know that my rent will be much higher. (Right now, we pay $550 a month on a 3 bedroom, 2 bath house just outside the city limits. We have well water, so the only other bills are electric, internet, Philo, phone, car payment, and insurance on 2 vehicles. Barely $1100 depending on season (electric always goes up during the winter.)

Rent is definitely higher but nowhere near as crazy as people are saying here. I just went to Zillow and searched for apartments in the LA area for $1300 and below. There are dozens and dozens of options.

Obviously with a family, things are going to be way more expensive. That goes without saying and that's true for having a family anywhere. But for a single person like me, it's really not that bad. Here's a studio in Pasadena for $1280: https://www.zillow.com/homedetails/3...85577908_zpid/

Here's a 1-bedroom in a building with a pool and gym: https://www.zillow.com/homedetails/4...83375905_zpid/

There are so many more, and if someone was willing to live without a kitchen and enjoyed eating out all the time, there's even cheaper studios that don't have kitchens.

Originally Posted by TexasBound19

No, just no.

A "normal" apartment has central AC and a washer and dryer inside in an area that you might not get shot or stabbed as you walk out of your apartment.

Have yet to find one under 1900. anything under 2100 looks like a 3rd world slum.

I've never lived in an apartment with a washer and dryer inside in my life... that's not a "normal" apartment, that's a luxury apartment. Normal apartment buildings have laundry rooms for the community.

If that's what you want, that's fine. I'm not saying it's wrong to want that. I'm saying plenty of people live without those luxuries, so don't act like they're necessities.

As far as getting shot or stabbed, I think that's a bit silly of a thing to fear. There's a lot of neighborhoods with affordable housing that aren't at the level you're talking about. Plus, poor people are just people. They aren't all monsters looking to stab and rob you. Most of them are just people going about their lives and trying to feed their families like anyone else.

Originally Posted by TexasBound19

Yup.

And even if you were to lease a "cheap" car, like a Toyota, you're looking at 200-300/mo.

Well yeah, why would you lease a car. Buy an older Toyota.

Originally Posted by looker009

Enjoy driving use car, i enjoy driving new car knowing i do not have to worry about a)repair b) i know that it will not die on me in the middle of my trip. Basically a piece of mind is worth paying $400+

I just bought a used car. It's under warranty. I don't have to worry about repairs either. I've taken it all over California this summer, and it's been pretty awesome. Car payment is $250.

[looker009]

Originally Posted by That_One_Girl

Rent is definitely higher but nowhere near as crazy as people are saying here. I just went to Zillow and searched for apartments in the LA area for $1300 and below. There are dozens and dozens of options.

Obviously with a family, things are going to be way more expensive. That goes without saying and that's true for having a family anywhere. But for a single person like me, it's really not that bad. Here's a studio in Pasadena for $1280: https://www.zillow.com/homedetails/3...85577908_zpid/

Here's a 1-bedroom in a building with a pool and gym: https://www.zillow.com/homedetails/4...83375905_zpid/

There are so many more, and if someone was willing to live without a kitchen and enjoyed eating out all the time, there's even cheaper studios that don't have kitchens.

Pasadena is on the outskirt of Los Angeles, unless you work in that area, renting in Pasadena is crazy. The other places does not have any inside picture of the place, so it's hard to judge. It's below market so that might be red flag

I just bought a used car. It's under warranty. I don't have to worry about repairs either. I've taken it all over California this summer, and it's been pretty awesome. Car payment is $250.

You didn't specify type of car. I have a feeling it's some small car, if you are willing to drive that, good for you. I personally enjoy driving SUV.

[ClydeAJones]

Originally Posted by Texamichiforniasota

This may be you perception, but it is incorrect, even more so for LA county than San Jose. See this harvard demonstration of price to median income ratios over time.

https://www.jchs.harvard.edu/blog/pr...istoric-highs/

Click on the metro area you are interested in, in this case LA (since we're posting in the LA forum, not the San Jose forum), to see how prices have changed compared ro median income over the last 40 years. It went from around 4x median income from 1980-2000 to mostly >8 x median income since 2004. San Jose started out higher, 4-6x median income until about 2000, and generally has also been >8x median income since 2004 with a short dip to about 6.5x median income during the recession.

You are correct that market cycles do play a role as the booms and bust of the 2000's- now clearly show in the charts, but prices do not return to levels they were in the past due to structural housing deficits (supply/demand). I'm not saying it wasn't hard for Boomers and early Gen X to buy their homes 30 years ago. I'm just saying it's harder now, and that shows in the types of jobs/income people could buy a home with 30-40 years ago compared with the types of jobs and income it requires today. The data is clear, even with interest rates housing is more expensive now.

Uh, don't need to use a blog to do my talking for me or click on anything as this is just simple math.

It's not just my perception and the math plays it out. But let's get refocused on what the original claim is..."You cannot live in LA unless you make at least 150k (for one person)". So no, we're not necessarily talking about median income. It's alreday been mentioned (for those paying attention) that currently 85% of the people in San Francisco can not afford to buy a house there and simply stated that's not much different than when me and my wife were buying (and I'll stand by that comment). The median income at the time we were buying was somewhere in the mid $30k range and our house was $280k with an interest rate over 9%. Today it's a little over $100k and I think our house would sell for roughly $1 to $1.1 million at an interest that is sub 4%. I'm not going to split hairs over this as it's not worth my time. I think the bottom line on all of this is it's about choices. The OP clearly feels like he "needs" all of the expenses he's listing and to me, they can be cut substantially as most of these things fall more in the category of "wants" to me. Ultimately, I'm not going to change his mind or yours (and that's fine). Have a good day. I'm going to go out and enjoy my Sunday.