Instructions to my son on how to buy a house in the SF Bay Area (San Francisco: 2013, foreclosed)

[CA4Now]

Originally Posted by TR95

Ok, let me do the math again for you, since you just can't comprehend. A $50k house, 20% down....Comprendez vous? Or is it too complicated for you?

Now today the house is $450k, 20% down...

The down payment alone on a $450K house today is substantial, certainly compared to one that cost $50K in your father's era.

[CA4Now]

Originally Posted by Ruth4Truth

All that was said of the Boomers when they were graduating from college.

I'm a Boomer and I don't recall that ever being said about us. We left college with little or no student loan debt, there were many jobs available in most fields, affordable rents for our first apartments, cheap gas, health care coverage and benefits available with almost any job--even very low paying ones. Yes, there were many people chasing fewer jobs, but we had not dealt with any type of recession the way our parents or grandparents did, and certainly nothing close to the economy with which graduates from 2008 on have had to experience.

As a few other people have said on this thread, whether a young person can afford to buy a home often has less to do with being prudent with one's savings and more to do with timing, the latter of which one may have little control over.

[TR95]

Originally Posted by CA4Now

I'm a Boomer and I don't recall that ever being said about us. We left college with little or no student loan debt, there were many jobs available in most fields, affordable rents for our first apartments, cheap gas, health care coverage and benefits available with almost any job--even very low paying ones. Yes, there were many people chasing fewer jobs, but we had not dealt with any type of recession the way our parents or grandparents did, and certainly nothing close to the economy with which graduates from 2008 on have had to experience.

As a few other people have said on this thread, whether a young person can afford to buy a home often has less to do with being prudent with one's savings and more to do with timing, the latter of which one may have little control over.

Gosh. This is the biggest nonsense I have ever read. Sounds like you're going to have sympathy and subsidize your kids into their 30s with that type of rationale. You mean women college graduates today have to take admin type jobs like they did back in the 60s-70s right out of college? Come on, quit with the nonsense already. Kids graduating today are pulling in significant salaries in the right fields. Worthless college majors have always been low paying. It's a reality whether we like it or not.

[CA4Now]

Originally Posted by TR95

This is the biggest nonsense I have ever read. Sounds like you're going to have sympathy and subsidize your kids into their 30s

Unbelievable leap of logic.

You mean women college graduates today have to take admin type jobs like they did back in the 60s-70s right out of college?

What? Where do you come up with this stuff?

Come on, quit with the nonsense already. Kids graduating today are pulling in significant salaries in the right fields.

Sounds as if "quit with the nonsense" is your answer to anything that you don't agree with.

[WithDisp]

Originally Posted by TR95

I guess you can't comprehend numbers. It's ok, not everyone can. It was 1974, not 1979-1980. And he was making about $10,000. Look up the average salary of teachers in 1974. Also, you have no idea where we lived so trying to compare $50k back then to some place now. That same house would be about $400-$450k now.

Ok, let me do the math again for you, since you just can't comprehend. A $50k house, 20% down at a 15% mortgage amounts to a $606/mo PITI. Monthly salary on $10,000 is $833/mo. The mortgage payment is 72.7% of income. Ok, so let me be generous and use your $19,000 salary even though it is 5 years later than my reality. The PITI is 38.3%. A little better and not too far off from today's world. Comprendez vous? Or is it too complicated for you?

Now today the house is $450k, 20% down and a 3.625% interest rate, the PITI is $2,191/mo. That same teacher makes about $60k/$5k per month. 43.8% of income. Not too far off. Ok, I'm done, you can't follow. Good day.

No, the salary today is not 60K. It's 50K.

You're also not putting in the higher cost of education, higher taxes in fed and state, and FAR higher property taxes.

15% was NEVER the mortgage rate either.

Notice how everyone on this thread is calling you out on your idiot math, and complete incomprehension of today's world. There's some truth to that trend.

[MountainHi]

Originally Posted by CA4Now

I'm a Boomer and I don't recall that ever being said about us. We left college with little or no student loan debt, there were many jobs available in most fields, affordable rents for our first apartments, cheap gas, health care coverage and benefits available with almost any job--even very low paying ones. Yes, there were many people chasing fewer jobs, but we had not dealt with any type of recession the way our parents or grandparents did, and certainly nothing close to the economy with which graduates from 2008 on have had to experience.

As a few other people have said on this thread, whether a young person can afford to buy a home often has less to do with being prudent with one's savings and more to do with timing, the latter of which one may have little control over.

This isn't what I've heard from my boomer family members. They say jobs were few, PhD's were working as janitors, the federal government initiated a special program to pay employers to create entry-level jobs, and the price of gas was irrelevant, because college students and college grads couldn't afford a car. There was some kind of recession going on at the time. This was for people graduating in the 70's.

[MountainHi]

Originally Posted by WithDisp

No, the salary today is not 60K. It's 50K.

You're also not putting in the higher cost of education, higher taxes in fed and state, and FAR higher property taxes.

15% was NEVER the mortgage rate either.

Notice how everyone on this thread is calling you out on your idiot math, and complete incomprehension of today's world. There's some truth to that trend.

Not only was it 15%, it peaked at over 18%.




http://finance.yahoo.com/blogs/just-...152241574.html

[CA4Now]

Originally Posted by MountainHi

This isn't what I've heard from my boomer family members. They say jobs were few.... There was some kind of recession going on at the time. This was for people graduating in the 70's.

Baby Boomers encompass those born between 1946 and 1964. It's a broad group. They could have graduated from college anywhere from between 1968 (when the Vietnam War was going on and there was still a draft) and 1986. The economy changed a lot within that period of time.

[TR95]

Originally Posted by WithDisp

No, the salary today is not 60K. It's 50K.

You're also not putting in the higher cost of education, higher taxes in fed and state, and FAR higher property taxes.

15% was NEVER the mortgage rate either.

Notice how everyone on this thread is calling you out on your idiot math, and complete incomprehension of today's world. There's some truth to that trend.

Oh my. Please just look up the rates. In the 80s they got to 17-18%. You know absolutely nothing. My math is correct. Prove it is wrong. You haven't yet. Until then, please don't speak. My PiTI includes property taxes. Maybe you don't know what PiTI means. Can't help you. You're the only one calling me out and you are so wrong it's amazing you don't have basic skills to even figure out a mortgage payment.

[TR95]

Originally Posted by CA4Now

Unbelievable leap of logic.



What? Where do you come up with this stuff?



Sounds as if "quit with the nonsense" is your answer to anything that you don't agree with.

I'm really surprised you being a boomer as you claim that you did not know that a good percentage of women college graduates held admin, clerical, maybe sales type jobs that would be considered dead-end in today's world. It's a fact, do your research. I would think any sane person would agree that women have it far better today in the job market than they did in the 60s. Amazing, you didn't.