If the economy is as bad as some believe it is, why is the housing market on fire?
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That is why people work hard to buy in areas that increase in value, and don't want to see low income housing being built in these areas.
By in a growing area and you won't lose money.
I would lose money anywhere where I wasn't planning to stay that is the issue so in order to not lose money I have to come up with a bunch of money upfront to afford where I was.
Quote:
Originally Posted by Mircea
First false Göbbels-like statement.
The median annual wage is $54,099.99.
Saving for a down-payment isn't instantaneous like a fart or a text message.
People generally plan 4-12 years to save.
To save $50,000 in 4 years requires monthly deposits of $1,000 at 2.0% APR.
At 12 years is about $310/month at 2.0% APR.
But, my question is, why would you need $50,000 down on an 3-bedroom ranch with 2 baths for $109,000?
You can get a 3-bedroom 1-bath for $85,000.
Wait....what am I saying? 1 bathroom? The suffering those people would experience would be legendary, even in Hell.
That house might even violate the International Convention against Torture and Other Cruel, Inhuman or Degrading Treatment or Punishment.
Because, you know, having one bathroom is cruel, inhuman and degrading.
Never mind that you could probably add one for less than $5,000.
I'm sure you would just hate on this:
It's only $137,500 with 3 bedrooms and 2 bathrooms.
If a house costs less than $500,000 then it can't be worth a damn, right? 'Cuz mo' money is better.
FYI....federal law and the US Constitution allows people to move out of the zip code where they were born.
I agree about the bathrooms. Too bad I've been trying seems like my whole life to move out to a zip code that is more expensive so if the house costs less than 500k then I know it's not worth a damn. I've checked into it too. They should be lowering their prices at a time like this but the cheapest house I saw was a fixer upper and they needed the whole amount to be paid.
Quote:
Originally Posted by FirebirdCamaro1220
B. They don't want to live with poor people/or in a high crime area, even if that's what they can technically afford
This is a biggie I'm sure. It's one of the MANY reasons why I hate living in an apartment but some apartments are better than others. The last one I was residing in you had to worry a little more for your safety so it costed less for a reason. It's about more than just crime though it's the way you live in those apartments in general..how the management works things.
Location: Live:Downtown Phoenix, AZ/Work:Greater Los Angeles, CA
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Quote:
Originally Posted by Mircea
First false Göbbels-like statement.
The median annual wage is $54,099.99.
Saving for a down-payment isn't instantaneous like a fart or a text message.
People generally plan 4-12 years to save.
To save $50,000 in 4 years requires monthly deposits of $1,000 at 2.0% APR.
At 12 years is about $310/month at 2.0% APR.
But, my question is, why would you need $50,000 down on an 3-bedroom ranch with 2 baths for $109,000?
You can get a 3-bedroom 1-bath for $85,000.
Wait....what am I saying? 1 bathroom? The suffering those people would experience would be legendary, even in Hell.
That house might even violate the International Convention against Torture and Other Cruel, Inhuman or Degrading Treatment or Punishment.
Because, you know, having one bathroom is cruel, inhuman and degrading.
Never mind that you could probably add one for less than $5,000.
I'm sure you would just hate on this:
It's only $137,500 with 3 bedrooms and 2 bathrooms.
If a house costs less than $500,000 then it can't be worth a damn, right? 'Cuz mo' money is better.
FYI....federal law and the US Constitution allows people to move out of the zip code where they were born.
Median household income is in the 50's, median individual income, which is what I was talking about, is in the mid 30's. The average household has two earners
How are builders able to build so many homes? How are low to middle income families able to afford all these homes? If the economy is dancing on the edge of a depression like some believe, how are people affording all these homes? These are not all rich people buying homes. The data shows it is across the board with a special surge in first time home buyers and move up homes.
Ultra low interest rates. I've listened to experts who say inventory is down because many sellers who would opt to list their homes otherwise have gotten forbearance and are able to stay in them instead of having to sell them. I've also read that some folks who are now able to work remotely are choosing larger, roomier properties now that they don't have to be so close to their offices.
On the other hand, a lot of the unemployment is affecting those in the service and hospitality industries, and those folks aren't as likely to be able to purchase a home.
Median household income is in the 50's, median individual income, which is what I was talking about, is in the mid 30's. The average household has two earners
Back-tracking and moving the goal posts is a habit of yours.
The Social Security Administration publishes the National Average Wage Index and the National Average Wage for 2019 is $54,099.99
That is the average individual wage, not the average household wage.
It is telling indeed that you resort to a non-government website.
Why is that? I guess it makes it easier for you to Göbbelize.
Some people are employed part-time.
It stands to reason to that someone working part-time has no interest in buying a home, because if they were interested in buying a home, they'd be working full-time.
Do banks grant mortgages to part-time workers?
I don't think so.
Since STUPID-19 has skewed employment data, we can look at March 2020 employment statistics.
27,187,000 part-time workers. 155,167,000 workers. That means part-time workers are 17% of the work-force.
Oddly, if we adjust the Social Security Administration's Wage Statistics for 2019 to account for the 17% of part-time workers, guess where the Median falls?
$50,000 - $54,999.
That would be the Median wage for full-time workers, which comports with the National Average Wage Index value of $54,099.99.
There's a reason why I specifically selected the Social Security Administration's National Average Wage Index.
Who on this forum would like to know why?
Because it represents the average Social Security Wage.
The Social Security Wage is those wages between $0 and $132,900, which was the earnings cap for 2019 and the 2019 National Average Wage Index.
Wages in excess of $132,000 are not included when computing the average.
That means you were Göbbelizing when you claimed the wages/salaries of Millionaires were included.
It is telling indeed that you resort to a non-government website.
Why is that? I guess it makes it easier for you to Göbbelize.
Some people are employed part-time.
It stands to reason to that someone working part-time has no interest in buying a home, because if they were interested in buying a home, they'd be working full-time.
Do banks grant mortgages to part-time workers?
I don't think so.
Since STUPID-19 has skewed employment data, we can look at March 2020 employment statistics.
27,187,000 part-time workers. 155,167,000 workers. That means part-time workers are 17% of the work-force.
Oddly, if we adjust the Social Security Administration's Wage Statistics for 2019 to account for the 17% of part-time workers, guess where the Median falls?
$50,000 - $54,999.
That would be the Median wage for full-time workers, which comports with the National Average Wage Index value of $54,099.99.
There's no way that 50% of full time workers are earning $50k or more. I make $65k, and my income is in the top 30% for our metro. Sure if you include places like the Bay Area, where $50k might as well be minimum wage, it pulls the average up
Same reason we chose to refi right now. Interest rates are low and if you are fortunate to work from home why wouldn’t you move to a bigger house outside the city?
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