Hello from Australia! Same trends here and in UK, I'm middle aged and I've NEVER seen the property markets in different countries so closely matched ... mmm
Indiana is also a good one to go to. Our only real problem is that Chicago is right on our border and Gary spikes the crime rate so it looks worse than it is in the rest of the state. Average home price where I live is about 180k or so. Average income is about 45-50 k. Stay out of the Indianapolis area if you want cheap housing though.
I’m more worried, the fact that you won’t be able to afford the taxes or insurance on our house! And some insurance companies are just canceling out homeowners!
My house is paid off but I still have to maintain it, and the cost of homeowner's insurance and home taxation is absolutely numbing. No matter what you do or how hard you try, unless you are rich, you lose.
@@AR-rn8okI would be worried about taxes increasing now that ypur state is increasing benefits to people crossing border illegally amd not paying taxes
I was 50 when I bought my townhouse for $135K in 2011, using a 0% FHA program. My mom thought I shouldn’t have to worry about maintenance, but I was tired of hearing people walk on my ceiling in the middle of the night.
I live in the flight path of helicopters to the hospital. A white noise machine is a lifesaver. Problem is that after a decade I can’t sleep without it.
@@NuggetsAndLaundry Under a ORD Runway.The windows would Shake in our 1950 house.The Jet Fuel was all over and after it Rained too. No Thanks Sister still lives there.😝😝😝😝
don't discount the WEF, this was a long-term plan that they are implementing. The USA is ready to hand over sovereignty to the UN in the name of public health. The sad part is a lot of politicians agree with this cabal. Those who are discounting this are not paying attention.
Yup. I’m about to be 40. I was laid off from my part time job during the 2008 crisis. Took me a while to “get ahead” only to get stuck again. I’m making more money now than I ever have in my life and I still think it’s unaffordable to buy a home. I’m starting to feel like that ship has sailed. Don’t really want to marry a high interest mortgage on a home that I might never pay off before I die. Bullshit. They really screwed us all
My first mortgage was 12% . Get the mortgage and try to pay the principal down with a little extra when you can. Start small. I bought a townhouse to keep it manageable. Built the equity. That builds a larger down payment for the next home.
When I was younger, I used to marvel at big houses, but by fifty wisdom kicked in... I purchased a small house because, as I've aged, it's clear that less is so much more comforting...😊
I'm old enough to have been raised with two brothers in a house under 700 ft! later a 1500 sq ft. house was considered big. Why anyone would want to buy a big two story cookie cutter with utility, taxes and maintenance?
I graduated from high school in 1979. In my senior year, I read an article that stated only 1 in 4 in my age group would ever own a home. Whoever arrived at that statistic nailed it. Now, only 23% of people owm their home outright.
Graduated in 82. You know- maybe it’s better. I mean, buy an acre of land- stick a cheap mobile home on it, and spend more on experiences. I’ve got 10 acres, we sold our home. I’d live in a yurt. It doesn’t seem worth it. Why make banks rich?
Mom and dad had 3 rentals and. Primary home in Spring Hill. Dad passed in 1999 and my mom is booting the tenant and preparing that house and her home for sale. Whichever does not sell first will be her home. She had it with being a landlord at 72
I feel her pain at 70 and being self-employed most of my life. My Social Security and my wife’s is nothing to live on, rentals are a necessity in our life to survive.
@@jc1979af dealing with people who lie to you, abuse your property, don’t pay you, make your life a living hell, and in a lot of places, a court system it takes way too long to resolve the situation. Hopefully she was not in California where it’s taken four years of not receiving rent from tenants to finally get people evicted, while landlords had to maintain, pay taxes and pay their mortgages. Don’t believe me I can direct you to an attorney who has 25 attorneys working under him that work on evictions in California.
Hi Michael, want to tell you a history. When I came to Miami 6 years ago, I used a friends Real Estate agent. For some reason (maybe because I am straight to the point, he really did not like me. I do recognize that I am an A personality). But when I decided to buy a new home I did call him, and he never returned the calls. Now to make the history short, I never heard from him again, till yesterday. Yes he called and texted me, I guess desperation, as arrived to Miami real estate agents. He wanted me to go see some properties as he knows I am a real cash buyer. Unfortunately for him, I told him I am not interested what so ever to do any business with him. So the history is, never burn your bridges as you never know when you are going to need them.
When I retired, I thought taxes would be my concern. Nope, most of my taxes were frozen to eliminated completely. My biggest problem is insurance which you've discussed. Dark cloud in the horizon. I live in 55+ community. What oftentimes happens is couples in their late 70's have one spouse die. Now, the living spouse only has one SS check and can no longer afford the house. House goes up for sale and in my neighborhood, sells within weeks to a just retiring couple and the cycle continues.
The city my children were born in (Sun City West, Arizona) they cannot live in. The entire town is 55+. I haven't heard a lot of retirees crying over that.
@@askssk715my wife and I have both retired- early. I have plenty of money and she has a nice pension. I’m worried the government will be our biggest expense.
I am a Canadian senior home owner; and strongly feel that a dwelling, whether a house or condo, should be a necessity NOT a luxury! People need a roof over their head and somewhere safe and secure to live. I also believe that the entire housing market is being deliberately manipulated towards these high prices … part of the elitist’s plan to purge us all! I truly feel compassion for the younger generation feeling frustrated with current market trends. It is sad what is happening to all aspects of out lives and society in general. Something needs to drastically change with this scenario! Michael, your programs are absolutely outstanding and incredibly informative. You are my ‘go to’ person for your real estate expertise … thank you for sharing your knowledge with the rest of us!
@@SomeUserNameBlahBlah well my experience in my 70 years is you can’t find kids who want to work I see nothing but help wanted signs in gas stations at restaurants etc. they don’t want to work. In my experience in landscaping is good luck getting somebody who can work,at 60 I could work circles around high school kids. It’s not their fault it’s just a day and age were in. They grew up in town, no chores, They have their phones they have their Xbox they have parents to give them money. There’s no incentive for them to work. And they’re not that bright. Even my daughter in high school came home one day and said why are kids my age so stu***, I have to agree they don’t know much about anything and I’ll leave that at the feet of parents who don’t talk to their kids and the teachers can’t or won’t teach useful subjects
It all depends WHERE you are looking to Buy ! Miami ? Oh hell that would be the worst place to Buy property now ! There are pockets in this country were home ownership is very affordable. Call it off the beaten path but they exist !
@@ag4allgood Sure they do but majority of people live near large cities now more than ever. Less populated areas and more affordable states also pay less on average
@@Striker50_ I thought the working from home movement made people much less prone to live so close to work ! The last company I worked for was down to 2 days per week to work in Office. Before that during the Pandemic many didn't show up for months ! When I left there was still a guy working remotely from Austin Texas & we are in Illinois ! It always took so much longer to do the work assigned because I was always taking pictures to ask questions about the work. Even though we used Microsoft Teams to a large extent.
Mike, I used to make fun of the "you'll own nothing" thing. I've changed my mind. It had happened before in human history. There was a thing called Feudalism (the dominant social system in medieval Europe, in which the nobility held lands from the Crown in exchange for military service, and vassals were in turn tenants of the nobles, while the peasants (villeins or serfs) were obliged to live on their lord's land and give him homage, labor, and a share of the produce, notionally in exchange for military protection). So this is how it worked: people DID NOT own the places where they lived in. The same thing seems to be happening today because the home prices are too high, and a lot of people can only afford to pay rent, while companies like BlackRock buy everything. I believe some powerful people are trying to bring back that system.
We have saved up 1.3x my salary over the last 5 years for a downpayment. Went to an open house yesterday and some guy about my age comes in and casually mentions if he buys it it will be cash, provided by his parents. So depressing. Wasn't his first home either, they are looking for investment properties. We are about at the end of our patience. Just been continually smacked down my the housing market the last few years
Im 54 and make 95g cdn a year single guy and i cant afford a cheap condo in most cities in Canada. I tried before the coof showed up and after i did all the math Id struggle to feed myself properly.. and that was THE cheapest condo I could find in the listings. With the insane rents and all my bills I cant even save. Canada has turned into a hellhole as well. Its so bad there are thousands of videos on youtube of immigrants warning other immigrant not to come here... and canada panders to immigrants! They have it the best here and even they want out.
@@elim2826 thats exactly what happens. Canada's pension that everyone pays into from working and is some extra money when youre 60 is calculated based on how much you have paid into it over your life.. except if youre married and stayed home to raise the kids. They get money they didnt put into the system and guess where that extra money comes from? everyone else who paid into it.. a lot of single people getting robbed. There are loads of things like this
It's sad that I was able to buy a 3 bedroom house for $150k in a nice neighborhood on $80k a year income only 4 years ago. I couldn't afford my own house at these interest rates even if the sale price was the same.
You could if you had a Big down payment or bought in cash because you lived BELOW your means for 5 years ! People can't seem to sacrifice a little for a better tomorrow ! Credit card debt is too high & living now is the thing today.
@@nickmattio3397 you clearly don't understand loans. Legally they cannot deny a 90 year old a loan, even. If they qualify. The house will be sold at estate and the leins paid first. They don't care if the loan goes to term, or don't even want that really.
Unless you're okay living in an igloo or sauna, the average monthly electricity bill for residential customers in the United States increased 13% from 2021 to 2022, rising from $121 a month to $137 a month.
@@jeffrosati2570 As usual, a knee jerk comment without thought. The "right" says that inflation is due to the printing of money. For the last 40 years the Fed printed money for the rich, for Wall Street, and for corporations. It's called, "quantitative easing" ...or socialism for the rich. Then there were the Trump tax cuts. Did Fox News protest? No, because they benefited from it. The reason for inflation is because of the "unemployment stimulus," not corporate welfare. Are you kidding me? We went through a worldwide pandemic and the economy was shut down. Why did the stock market spike when the world-wide economy was shut down? Capitalism would let these companies fail. Workers pay "unemployment taxes." Rich people don't get W2's so they don't know. That's our money but the government says it's their money to use as they please. Americans be damned. If the Fed and our government squandered our unemployment taxes over several decades that's not the fault of employees. We paid into it. It's our money. Did workers agree to billionaires not paying taxes while hiding their wealth legally in the Cayman Islands? We spend trillions of dollars fighting wars, propping up puppet governments and allowing successful companies to fire workers so they can move to China and use free concentration camp labor. None of us signed up for this. Fox News, CNN, and MSNBC talk about rising gas prices. Never do they address the biggest cost to workers, rent and health insurance. What needs further discussion is the argument for $30 an hour. Mom and pop businesses could afford $30 an hour if their own rent wasn't exorbitant. Federal and state governments love landlords, high housing costs, and high rent because more property taxes are collected. The NY governor, Kathy Hochul, spent $800 million building a football stadium, which benefits her husband who owns concession stands there, instead of creating and improving affordable housing for its citizens. Certainly, corporations can afford $30 an hour. For example, let's talk about Walmart. The three Walmart kids, Rob, Jim, and Alice Walton (by way of nepotism) inherited the company and are worth a combined $235 billion. Now stop! Consider how much money $235 billion really is. $1 billion is equivalent to $100,000 a year X 10,000 years. Walmart could pay all 565,000 U.S. employees in the company $100,000 a year in perpetuity, and it will not affect the Walton family's wealth whatsoever. In fact, the Walton's would still make billions of dollars. Walmart grossed $550 billion last year. Paying all 565,000 employees $100,000 a year would cost Walmart $56 billion a year. Payroll would be 1/10 of their yearly gross. Arguments in support of the rich do not work anymore. Every worker, who built and sustains Walmart deserves to share in the profits of Walmart. This is real socialism.
I bought my first home in 1976 when I was 24, a townhouse. It cost $43k and the mortgage was $423 per month. I've now owned 7 properties from coast to coast as my jobs changed. While I did not make money on all of them I did on 5. I've never used my house as a piggy bank or bought a home that I could not afford. I worked summers since I was 13 and while in college. I saved most of the money which I used for my first down payment. My parents were good teachers when it came to my financial education.
As a dad of three young adults, I find it sad that their opportunity to buy a house is to wait for a generation to retire or die. I’m not even sure if that applies to Silicon Valley properties.
@MichaelBordenaro, that 49 age number for people buying homes does include seniors that are down sizing. The average age for first time buyers is in the mid 30s.
They? Sounds conspiratorial. The world is too chaotic for that. I know it's frightening, so you need to believe someone is running things, but "they" is your peers. People have been renting since the beginning of time. Today, young people have realized all by themselves that it's often cheaper to rent. No one planned that. Even the Fed, which does plan economic policy, is only raising interest to slow inflating prices. Isn't this what people here are so unhappy about? Inflation? Slowing home buying was expected. It's temporary.
History shows MOST people that owning is cheaper than renting. Renting being cheaper than owning is a new thing; otherwise , why would anyone buy a home?@@mowthpeece1
Nah, the whole reason the US has such a high home ownership rate is because the government in the past figured that indebted home owners wouldn't be able to go on strike. Renters have more power. What are you going to do if they don't pay rent? Evict them? Good luck that, takes months. Now if you have money (equity) in your house do you really want them to foreclose?
I bought my first home a little condo when I was 27 then 3 years later bought a 3 bed home. Lost the home to my ex-husband 12 years later. I’m now 52 and can’t afford anything. It’s so depressing.
17:30 yes Michael it's true, I moved from Ohio back in 2019 and it was very affordable. I was paying $600 per month to rent a nice 3 bed 2 bath home in a quiet neighborhood. I moved to Oklahoma and had to rent a 3 bed 2 bath duplex in a sketchy area for $1100 per month. Granted I went from making $25 per hour in Ohio to making $30 per hour in oklahoma but I was living poorer in oklahoma than I was in Ohio by far. I wish I could go back!
You moved in 2019 when Ohio rent was affordable. Different story now. If you want to live in a good neighborhood, rent will be at least 2500. Has to do with where you live though. Everything has changed since 2020.
@benton-benton yeah well I'm saying, in 2019, my rent went from $600 in Ohio (good conditions, quiet neighborhood), to $1100 in Oklahoma (bad condition, sketchy neighborhood). So there is no comparison between then and now. I'm talking both places we're priced that in 2019. I understand it's different now, but I can still get a place in the same ohio neighborhood I was in for $800-$1000 right now, so it's not that much higher where I was at.
Just seen a news article today on insurance pricing going up 20% plus in North Carolina with coast areas up 70% plus. Worst area being 94% for last year.
Are townhouses cheaper than condos? Are they easier to maintain? Townhouses or condos. Do you have an HOA? Is insurance cheaper than a home? If you or anyone cares to share your knowledge, I appreciate the time. It doesn't matter what state you reside in or moved to. Only your experience with buying or renting a condo or townhouse. Thank you.
I’m 60 and just brought a home.. got tired of renting. I’m not worried about paying off my home… if I can’t afford to keep it, they can have it. I’m living for the moment, nothing is guaranteed. GOD is my source and I’m not worried about nothing I can’t control. Y’all worried about things before they happen and when it don’t happened you worried for nothing, if it does happen you worried twice. Live life and enjoy because we all got a date with death.
@@joannaa.5101I love a townhouse you may share a wall, with a condo it’s like renting an apartment. HOA is not as bad as people make it, some folks hate rules.
My mother just passed at 104, my brother in law is 83 he almost died & I just spent time in the hospital & almost died all in the past 3 months, so us old people can die off real fast, raising the home inventory.
Oh we will die off very fast but i believe tbere will be Famine and Floods and other things like War....but tbe Wealth of Cities tbese days is built on Home Values...and Consumerism growth...growth of consumption cannot keep growing...most Workers are unnecessary...so a complete restructuring will come after We are Gone.
Soon, if you have an empty room, they'll want you to house an illegal. But, you'll to act fast. The young, and pretty ones go fast. NYC DID ask people to do this.
California is a ONE party state. So the politicians don't need to consult with the residents of the state. All the Democrats, including the Democratic governor, simply go behind closed doors and agree to all the new laws, regulations and taxes that they want. The taxpayers in California simply count for nothing when it comes to any legislation in the "Golden State".
@lavenderlilacproductions how do you know we messed it up. We tried recalling the governor have voted and held traditional values and yet...the outcome is sadly what u see
I know of a city/suburb in the midwest, the streets are filled with $200K to $300K houses, but nobody wants those. They’re teardowns. The new houses are $800K.
🎉🎊💥HEY MICHAEL ❗️You always share so much comen sense and I really hope that your subscribers are listening. Things are terrible right now but things are going to be awesome for the people who are saving their money, Paying off their debts and getting their credit scores as high as possible. Thank you Sir for everything you share. Blessings,Carlos ✝️🙏❤️😊🇺🇸
I’m one of the “old” buyers at 64 and I’m done, not moving and passing house to kids when I leave for Mars. Made it elderly accessible by adding an elevator and large enough for 2-3 families so kids can have a floor each.
I’m currently sitting in an Airbnb outside Louisville KY and it’s new construction, never lived in obviously, I can’t find where it was sold. The other houses have no record of being sold in the neighborhood, they are still building more in the subdivision. These are the things I hear about on your videos!!
I live in a cute cozy 1100 sq ft 3 bdrm/2bath cottage. I love it. I've owned homes as large as 4000 sq ft and have no regrets however, I just love the size of the place I've been in for over 10 years. I also own a 900 sq ft townouse that I rent out. I think builders need to get into the minimalist mindset.
This is now my "go to" channel for all things related to homes and the economy in general. I agree with almost everything Michael says both from his info and his general financial advice and opinions. There ought to be a required class in every high school in the US that is just called "life and money". In this senior class, 17 and 18 yr olds learn through Michael's videos what it is like to be an adult with money matters. He could be a high school teacher or college professor. Great insight in modern economics including renting and owning. 124K subs is not enough for this amazing channel.
Very valid points. It won't move up 20 years, probably home owners will have to self determine as you said. Power to the people requires us to step up.
I recently just came back from a holiday trip and drove to Dallas Texas from Northeast Florida. And I vowed when I got home the other day then I’m not leaving the state of Florida for a long time lol and I don’t care how many jobs I have to work. I’m not living in another state. Texas is nothing but one big interstate and Dallas was nothing but big urban sprawl. No thank you I couldn’t be happier to get back to the state of Florida 🏖️🌴
I visited Florida for the first time in September, West Palm Beach. The difference between Texas and Florida is climate. If you drive from South Florida to North Florida, the whole state is basically interstate and tropical wetland. Florida is also overpriced now. I would not move to Florida, based on what I saw. Too many people in condos, not enough houses.
I still believe the biggest culprit of the up and coming crash is the high tax bills. Assessments are increasing and are very hard to lower if values go down. Another element to be considered is much higher insurance rates on top of everything else.
I’m pinching this year making over 100k to try and get a house next year. It’s crazy how expensive everything is everywhere. A house in my area of my job is 375-500k for normal, that’s 2200-3000 without taxes and insurance with 10-20% down. So I’m pinching, opened another account to tuck money away without access immediately. I feel like I could save money better back when I was making 40-60k in 2016-2019. Still had a car payment then too and wasn’t debt free like I am now basically.
You're part of the problem. Just wait, don't buy at these crazy prices. If more people did this, the house prices wouldn't be apeshit insane as they currently are. Well, that.. and also we need to STOP the corporate entities from buying up single family housing. That is a recipe for some French Revolution style politics and they need to tread very lightly.
It is upsetting to me that young people are being cheated out of the American dream of home ownership. I'm a boomer my first house was $22,500 mortgage payment was $154.00 a month. Your getting screwed royally.
@@thedadyouneverhadchannel3544 bingo. Then if you do get married, statistically more likely to end in divorce than not and you'll loose "your" house and half your money. End up worse off than if youd just stayed single the whole time. But hey, your ex is living it up with her BF!
I saw an article comparing average net wealth by age group to median net wealth by age group. For my age group (65-75), the average was almost a million dollars while the median was $290,000 (half of the people above that; half below). In other words, a small percentage of the population has most of the money. The rest of the population has very little. Prices of real estate and other things appear to be geared to the average, not the median. This should be self-correcting, but for some reason it isn't.
Because all the boomers came of age in a time of great economic expansion where you couldn't go wrong. It was just dumb luck but they were able to lock down good jobs and benefits and accumulate wealth and assets at very desirable and attractive prices and terms. These same people became blind (and remain blind) to everyone else and simply assumed if you lift yourself up by your bootstraps and work hard you'll get ahead. Nothing can be further from the truth. Also the people in your age group have been in positions power for a long time and have manipulated the laws, especially the investment laws to favor the well heeled and wealthy at the expense of those beneath them. There's justifiable reasons why so many despise your age group.
50% of people have saved nothing! 60% go paycheck to paycheck - 20,000 cars are repro every week - 1/2 pop would have a hard time paying an unexpected $600 bill - we’re broke!!
I bought my home 3 years ago at the age of 57. I was living in the home as a renter and had never wanted to buy. But the owner decided to sell and gave me the opportunity to buy it before starting to show it. I would have paid higher rent somewhere else so I bought it. But thats how I unintentionally became an old home owner. 😊
@@chiplangowski3298 I had several wise people in my circle who advised me to buy when I was adverse to buying. I was stuck in my old world and they pulled me out of it. I'm thankful that I accepted the advise and acted on it. Thank you! 🙂
I’ve also seen tons of those YT shorts where “investors” dumb down what a cash out refinance is, making it out to be a savvy financial maneuver, tic tok, too, I hear, and I guess people just buy it. Scary.
I will never go back to that apartment life. People's kids in front of your place making noise, loud cars, crime etc. I would never live in an apartment again or buy a condo. They are the same thing. Land, space and peace.
@@zuzanazuscinova5209 - As long as you understand that as a renter, you are paying for someone else to take care of all of that for you. Renting is ALWAYS more expensive than owning the identical property long term. ALWAYS.
People used to change / exchange homes like partners/ spouses every couple years.... those days are gone if prices dont correct to the mean down at least 20% or more... homes are up 300% from 2015 my condo bought for $70k in 2015, sold for $210,000 in August 2023 in Las Vegas.
So articulate and measured. Thank you Congressman. I wish Florida congressional representatives were as devoted to Americans. Thank you Tucker. God bless America. Fix 2020 in 2024.
That they’re actually beginning to build smaller homes is GOOD NEWS and I hope price correction is gentler than 08 because otherwise they might stop building them
This is what the problem has been all along. Why has it taken so long for them to build smaller homes? We live in a small house and it's just fine. Don't understand why people think that they need big houses.
@@davidkirby7551Building codes make denser housing less profitable. NIMBYs are stopping it because *gasp*, if houses become cheaper *their* house becomes cheaper! And we can't have a good ""investment"" like that go to waste, now can we?
They definitely are not building smaller affordable homes here in the Midwest. They just don’t build period. If they do build it’s 600-900k homes and you have to fight everyone for what’s left.
Seems like many new houses are so big. I get it the builders are trying to squeeze as much out of the space as possible with the tiny little yards, and the houses shaped like big blocks. My house is older (in California) and is about 1350 square ft. Built in 1965. Its three bedrooms and two bathrooms still! They just made some houses smaller back in the olden days. Houses obviously cost less back then but the houses were not these 2600+ square foot blocks either.
Bought my house at 28, 5 years ago, refinanced and got one of those cool 2.5 interest rates and pay 1300, not selling any time soon with these prices of houses
I just relocated to Ohio from North Carolina. Prices in the NC Triangle area skyrocketed. There are very affordable homes in Ohio. If your budget is over $200k and you can find work to support your payments you can find a beautiful home with property. If you are on a budget there is plenty of inventory of properties below $150. Places like Canton, Massillon and Akron have inventory in distressed neighborhoods. Much of that distress comes because of a high rental market where there is no pride of ownership. But IF these properties change hands from renters to owner/occupied the values will increase. I looked at Michigan but the cost of car insurance vs Ohio was enough to pay for a kitchen remodel in 10 years. But certainly Michigan is affordable. Minnesota should probably take the place of North Carolina on that list.
I'm in Franklin county, suburb of Columbus. I have a friend who lives in Canton. Yes, lots of nice houses up there that need work, some more than others. But wow, when you're finished you've got a masterpiece! My friend has the cutest Craftsman house and really low property tax. I've thought of moving up there. Thank you for not being a spoiled person. You are willing to do work so you can have a nice house. It's what we did, worked our butts off on every house we ever bought. Always bought fixers. If a person is willing to do the work, they can have a nice house.
We are looking at the last of alot of things. The old-time hot rod builder, the rv people, the mechanics that can fix things, not the replacemen that just replace parts. The guy that can take shit apart and solder or weld. The harley crowd is a disappearing and home cooked meal. Cash and tipping is disappearing. Man, I could go on and on.
I believe you said the median age of home buyers is 49. This is not however, the median age of FIRST TIME homebuyers...I believe that's something like 40...?
I know a 49 year old man who is still a renter. His son is 18 and autistic so unable to work, live independently, etc. Many older men are not successful. Everyone else is deep in debt.
I look at the Philippines, the average person won't own a home unless family buys it for them or they inherit it. The buyers are rich foreigners for the most part. This kind of looks like the direct we are going.
Absolutely. It is where almost everywhere goes before a revolution... This is why not buying can be a risk. There is no promise you will get a house in the future...
@@mangodiet801 in addition as an American citizen we can’t just go in and buy a house or condo there without a Philippine citizen owning at least 60 % of that condo or home. You can only lease/ rent it as an American. 🇺🇸
I didn't expect Michigan to be on the list of 5 of the most affordable places to live. I would have thought Alabama would have made that list. It's super affordable.
Also throw in the mix how much AI will eliminate jobs here in the US. Already many large companies are cutting their ad agencies since AI can do without humans. I think it is very likely we are going to see mass unemployment. When? Not sure but historically just like Michaels says after the Fed increases rates we see unemployment.
Yes old, I'm 82 & I own 7 paid off homes with family in all of them as tenants at low rental rates. Todays people in their 20s will never be able to buy a home.
Ohio: Columbus itself sucks and has lots of crime - one of the bedbug capitols of the US. There is one nice area -Clintonville, in Columbus. Old nice houses that have been undervalued by the recent county reappraisal. So Clintonville property tax didn't go up and in some cases, it went down. Columbus has really nice suburbs like Dublin, Upper Arlington, Worthington, Westerville, New Albany, Bexley, etc. But don't expect to pay 216k for the suburbs. More like over 350,000 for a full rehab fixer upper, then up from there into the millions. Suburbs of Columbus property tax is extremely high compared to other areas of Ohio. Even small towns in central Ohio are high priced now. But not as bad as the suburbs of Columbus.
I think many people who inherit houses in Los Angeles will keep them because houses typically go up 700% every 20 years and rents are high. The tenants that rent houses in my neighborhood , where I don't live now, take great care of the houses they rent .
@Mariya2804 I'm not sure that's entirely true. I believe the tax basis is stepped up to reflect the home's current value, but you won't have to pay inheritance tax if you move into the property and make it your primary residence
Michigan...interesting as that is my home state. We left in the early 80's due to no jobs. Several family members and friends vost jobs for periods. It is a great state, but you are taxed on gas, utilities are high, taxes are high as well with the lower wages. My nephews left in 2014 for the military due to no steady work.
Realtor told us on our last purchase that it's been trending away from younger buyers for a long time. Most that inquire don't come close to qualifying. He said that allot of them only decided to step into adulthood in their late 30's and simply didn't grow up and go out on their own until then. "They really don't have a a credit & savings history."
They didn't realize the market's houses that a person can afford? I need to go to the business school these bozo's went to. Lala Land University. The local government here has been "trying" to fix the housing shortage and their solution has consistently been homes that are double or triple what the average household can afford.
@@hvaball150 not usually. Incompetence is very ordinary among humans, as well as non-deep analyses, and bad policies that are too simple and one size fits all.
The youngest baby boomers will be 65 in 3 years but many have already retired, even some X gen and want to downsize but it’s too expensive so are ‘aging in place’.
Well, you better work hard to stay together. It's easy when you have a leg up, but people treat housing when they are young like they drive their cars.
"Houses are too expensive". Exactly right and the other single biggest reason is that people spend way more than they should on things they could live without. Glad you are covering these issues, as common sense isn't very common anymore.
A 1/2 acre lot in my neighborhood just sold for $195k - just the lot - no trees because the seller clear cut the whole darn thing. 100 year old trees poof gone
I purchased a 2 br 2.5 bath condo in Westerville, Ohio for $97,000 current mortgage is $74,000. My monthly payments is less than my previous rent payment.
Bought my first house at 47 in 2007 right before the troubles. Paid the house off right after I retired. Now I own and have a sibling living with me and we are fine. My tip is so not just make the minimum payment pay extra when you can. Wishing you the best.
I moved out of the cities, pay is similar, bought a house at 30 bought under my means or smaller house and has 36 acres. 169k location Minnesota. House in the cities is now for an old house around 250k to 700k new now.
Both of my kids just graduated college got great jobs and are now focused on paying off their student loans ASAP. I know It’s frustrating for them, because they have friends that are out buying houses or at least got a cool apartment and a new car… meanwhile they moved back home with mom and dad and sent 80% of their income to the student loan accounts (totally uncool). I just keep telling them both, Trust Me everything you are sacrificing for 12-18 months is going to pay dividends for the next 20+ years of your life. As far as I can tell they are the only two in their sphere of friends and associates that are doing this. Everyone else seems to be hell bound towards $300-$700k of debt by their mid 20’s! And only part of that is a home mortgage
Your guiding the kids correctly. See if you can turn them onto Ramsay Solutions ( Dave Ramsay), after listening to his radio show they will take great pride in the fact that they are paying their loans off right away.
wow, i am looking at all the old looking condos in the background as you walk, some of those building look like 20-floor hospitals..... i would hate to live in an environment like that..... doubt those residents ever get out and walk around like you do, imho
We sold our home to my son a year and a half ago. He came out of military and VA would only loan to appraisal. It was impossible for him and his family. I am 56 and a retired teacher. My husband is 65 1/2 and is retiring no matter what at 70. We are holding our down payment at Edward Jones and renting and riding out the market. We thought it would be crashed by now. At our age… we are getting really nervous. Your channel gives us hope. We didn’t prepare like we should have and only have a small 401K. We pray and grit our teeth as we hang on during this ridiculous housing market in Knoxville TN where houses doubled and some tripled within a 6 month span and hasn’t stopped. Inventory is increasing and prices are starting to budge. New listings are still stupid high.
I know exactly what you are feeling. I retired 5 years ago. 3 years ago we started our adventure to relocate from Seattle. Just as covid was just starting out, but didn't know at that point in time how big it was going to be. Seams like overnight houses tripled in price. This was not part of my retirement plan.
A shocking increase. The average age of the first-time buyer is a key metric demanding the continued attention of our politicians. Immigration, and allowing foreign 'investors' into the housing-market, are major drivers of the problem. Liked today's backdrop.
I purchased my first home in the 70's and I was 21 and everything was a lot cheaper. so I can understand why people have to work longer to get what they want cause everything cost so much more.
My first little house was I think six or 7000 my payment was $68.94. I was throwing newspapers early in the morning and paying for my own college. times have changed.
How much did you make at your job in the 70s. I'm sure you made a lot less than people do now. I had to work 2 jobs back in the 70s so I could save money.
Median household income in the 70s is lower than today in real terms, but the big change is that the stagflation of the late 70s and early 80s basically caused households to turn into 2 earners instead of 1.
I live in Ohio right now, Cleveland metropolitan area. I make 160k/ year. Average home price in a neighborhood without any gunshots at night is around 320k. That’s on the low end of the spectrum if you don’t wanna send your kid to private schools. Houses in decent neighborhoods have gone up very significantly in the past 3 years (30-40%)
It’s not all that bad! lol I will say it is VERY affordable! My family lives off one income of 70k. We have a home, 3 cars camper and boat plus a child. 1 car, camper, boat all paid for. Quality of life is good❤
So here's what I did... Found a house of the exact square footage and property in California that I own in Indiana. I paid 23k for my house and it needed a couple rooms to be drywalled, had a new roof put on and a brand new electrical service 200 amp. Now the house that is in California looked very similar to mine, but worse on the outside and asking price was 440,000 . People in California are smoking crack pipes a mile high. So the particular house I found had 2 home Depots within 10 miles. So I got on those ones websites and compared 2x4, plywood and a couple other building products prices versus where I live in Indiana . Guess what, all the lumber was priced significantly lower. How is this possible? Building materials are less but house prices are 16 times higher?? Someone please explain. Real estate is the greatest scam of our time. Liars and thieves.
It was a nice scene today. I've noticed that prices in my neighborhood and around various areas where I live have gone up but that is because interest rates have gone down. I guess people are going FOMO again and in less than a year will find themselves in dire straits. I also think that many people have become more mobile and owning a home/condo will simply take that ability away. The younger generation are switching jobs more often as well as moving and this shift is what will dictate the future of real estate.
Home Sellers NOW GIVING UP 1.9% MORTGAGE RATES! th-cam.com/video/8WdLh2bP-SY/w-d-xo.html
just pay the man
Sadly, we already own nothing.
Come on Michael .you know the WEF doesn’t care what the people want. They are unelected
Hello from Australia!
Same trends here and in UK, I'm middle aged and I've NEVER seen the property markets in different countries so closely matched ... mmm
Indiana is also a good one to go to. Our only real problem is that Chicago is right on our border and Gary spikes the crime rate so it looks worse than it is in the rest of the state. Average home price where I live is about 180k or so. Average income is about 45-50 k. Stay out of the Indianapolis area if you want cheap housing though.
I’m more worried, the fact that you won’t be able to afford the taxes or insurance on our house! And some insurance companies are just canceling out homeowners!
I agree, my mother's taxes doubled this year
Mine has gone up 300.00 in the 2 years.
What are you bitching about. Your home has dramatically increased in value. You can now use it as an ATM.
@@PSCA1988
It’s not the house value that’s gone up, it’s the dollar that’s gone down - I suggest you learn basic economics!
💯
My house is paid off but I still have to maintain it, and the cost of homeowner's insurance and home taxation is absolutely numbing. No matter what you do or how hard you try, unless you are rich, you lose.
I'm in the same boat. I own outright but it still costs about $2000 a month to pay all the bills.
Insurance and property taxes are less in California. And if you live a couple hours out from the beach, the prices come down a bit.
@@AR-rn8okI would be worried about taxes increasing now that ypur state is increasing benefits to people crossing border illegally amd not paying taxes
@@bigneiltooYou need to downsize
@@sarahann530 Downsize? I have a 1 bedroom, 1 bath with property appraised at $70K.
I was 50 when I bought my townhouse for $135K in 2011, using a 0% FHA program. My mom thought I shouldn’t have to worry about maintenance, but I was tired of hearing people walk on my ceiling in the middle of the night.
I live in the flight path of helicopters to the hospital.
A white noise machine is a lifesaver.
Problem is that after a decade I can’t sleep without it.
@@NuggetsAndLaundry😅
Lucky you bought when homes were affordable.
Boy do I hear ya! Congrats. Apartment living sucks.
@@NuggetsAndLaundry Under a ORD Runway.The windows would Shake in our 1950 house.The Jet Fuel was all over and after it Rained too. No Thanks Sister still lives there.😝😝😝😝
Those who say “ you will own nothing and you be happy” are the billionaires who are stealing your money! 🙄
while they own everything
Insane
don't discount the WEF, this was a long-term plan that they are implementing. The USA is ready to hand over sovereignty to the UN in the name of public health. The sad part is a lot of politicians agree with this cabal. Those who are discounting this are not paying attention.
Yeah they all about to get kicked out of their “given” positions in life.
Meanwhile people keep putting million/billionaires in places of power.
Yup. I’m about to be 40. I was laid off from my part time job during the 2008 crisis. Took me a while to “get ahead” only to get stuck again. I’m making more money now than I ever have in my life and I still think it’s unaffordable to buy a home. I’m starting to feel like that ship has sailed. Don’t really want to marry a high interest mortgage on a home that I might never pay off before I die. Bullshit. They really screwed us all
My first mortgage was 12% . Get the mortgage and try to pay the principal down with a little extra when you can. Start small. I bought a townhouse to keep it manageable. Built the equity. That builds a larger down payment for the next home.
Even if you did pay it off, the taxes and insurance costs might force you to lose it.
Bidenflation
When I was younger, I used to marvel at big houses, but by fifty wisdom kicked in... I purchased a small house because, as I've aged, it's clear that less is so much more comforting...😊
Yes, people forget about the higher AC bill, heating bill, maid bill and property taxes.
I'm old enough to have been raised with two brothers in a house under 700 ft! later a 1500 sq ft. house was considered big. Why anyone would want to buy a big two story cookie cutter with utility, taxes and maintenance?
@@bigneiltoo Maid bill ? Roll ya sleeves up !
I graduated from high school in 1979. In my senior year, I read an article that stated only 1 in 4 in my age group would ever own a home. Whoever arrived at that statistic nailed it. Now, only 23% of people owm their home outright.
Yep, not many own them.
Graduated in 82. You know- maybe it’s better. I mean, buy an acre of land- stick a cheap mobile home on it, and spend more on experiences. I’ve got 10 acres, we sold our home. I’d live in a yurt. It doesn’t seem worth it. Why make banks rich?
I’m in same group. Glad I bought in more affordable times.
@@janetyeoman1544 well, I did too- twice. But now I retired and wasn’t staying in a 4 bedroom two story for the rest of my life.
For many, however, it may be by choice.
Mom and dad had 3 rentals and. Primary home in Spring Hill. Dad passed in 1999 and my mom is booting the tenant and preparing that house and her home for sale. Whichever does not sell first will be her home. She had it with being a landlord at 72
I feel her pain at 70 and being self-employed most of my life. My Social Security and my wife’s is nothing to live on, rentals are a necessity in our life to survive.
@@geraldcroft9020 exactly. But the doomers won't understand till it's to late
Why didn't she like being a landlord
@@jc1979af dealing with people who lie to you, abuse your property, don’t pay you, make your life a living hell, and in a lot of places, a court system it takes way too long to resolve the situation.
Hopefully she was not in California where it’s taken four years of not receiving rent from tenants to finally get people evicted, while landlords had to maintain, pay taxes and pay their mortgages. Don’t believe me I can direct you to an attorney who has 25 attorneys working under him that work on evictions in California.
@@jc1979af It's a job. Maybe at 72 she doesn't want to work anymore.
Hi Michael, want to tell you a history. When I came to Miami 6 years ago, I used a friends Real Estate agent. For some reason
(maybe because I am straight to the point, he really did not like me. I do recognize that I am an A personality). But when I decided to buy a new home I did call him, and he never returned the calls. Now to make the history short, I never heard from him again, till yesterday. Yes he called and texted me, I guess desperation, as arrived to Miami real estate agents. He wanted me to go see some properties as he knows I am a real cash buyer. Unfortunately for him, I told him I am not interested what so ever to do any business with him. So the history is, never burn your bridges as you never know when you are going to need them.
That's a very common situation in Miami, realtors are super flakey!! I would have done exactly the same thing!!
I have a realtor doing that to me now. She didn't care to call me back when the market was booming. Now she randomly calls and texts. I ignore them.
@@andydhillon1977 Good for you, they work for you not the other way around. This seems to be very common in certain cities.
You just said the lesson is never burn your bridges but you just burnt the bridge with your response to him. 😵💫🤣
@@AR-rn8ok You missed the actual meaning of the comment, well it is what it is. Read it again!
When I retired, I thought taxes would be my concern. Nope, most of my taxes were frozen to eliminated completely. My biggest problem is insurance which you've discussed. Dark cloud in the horizon. I live in 55+ community. What oftentimes happens is couples in their late 70's have one spouse die. Now, the living spouse only has one SS check and can no longer afford the house. House goes up for sale and in my neighborhood, sells within weeks to a just retiring couple and the cycle continues.
The city my children were born in (Sun City West, Arizona) they cannot live in. The entire town is 55+. I haven't heard a lot of retirees crying over that.
And be careful with buying an assisted living cottage. Somehow the clients end up deceased more suddenly than most.
Damn, talk about a doom cycle.
@@askssk715my wife and I have both retired- early. I have plenty of money and she has a nice pension. I’m worried the government will be our biggest expense.
@@wesbilly They are 💯
I wonder how Michael is able to come up with an interesting real estate topic everyday; and talk about it for 20 minutes +. He's got a knack for it!
He has 100k+ subscribers giving him suggestions in the comments
He has a financial interest in it. That's his motivation.
His wallet is getting fatter. This is his second job.
@@solarryan97621st job!
Fox News has the same information and I hear it on Fox
I am a Canadian senior home owner; and strongly feel that a dwelling, whether a house or condo, should be a necessity NOT a luxury! People need a roof over their head and somewhere safe and secure to live. I also believe that the entire housing market is being deliberately manipulated towards these high prices … part of the elitist’s plan to purge us all! I truly feel compassion for the younger generation feeling frustrated with current market trends. It is sad what is happening to all aspects of out lives and society in general. Something needs to drastically change with this scenario! Michael, your programs are absolutely outstanding and incredibly informative. You are my ‘go to’ person for your real estate expertise … thank you for sharing your knowledge with the rest of us!
Good to hear that someone understands. Most older people tell the younger generation to work harder.
@@SomeUserNameBlahBlah I’m 70 I’d be satisfied just to hear somebody say young people just have to know how to work and manage money
It’s totally being manipulated. What Zappa said they’d do they’re now doing.
@@geraldcroft9020Young people do know how to work and manage money. All that doesn't matter when they're being priced out.
@@SomeUserNameBlahBlah well my experience in my 70 years is you can’t find kids who want to work I see nothing but help wanted signs in gas stations at restaurants etc. they don’t want to work. In my experience in landscaping is good luck getting somebody who can work,at 60 I could work circles around high school kids. It’s not their fault it’s just a day and age were in. They grew up in town, no chores, They have their phones they have their Xbox they have parents to give them money. There’s no incentive for them to work. And they’re not that bright. Even my daughter in high school came home one day and said why are kids my age so stu***, I have to agree they don’t know much about anything and I’ll leave that at the feet of parents who don’t talk to their kids and the teachers can’t or won’t teach useful subjects
Only the Top 10% of people can buy these properties. The disconnect is wild.
yep. It implies a surprising amount of hidden wealth (including a few ppl w/ gray/black mkt money sources) , as well as the wealth/savings/income gap.
It all depends WHERE you are looking to Buy ! Miami ? Oh hell that would be the worst place to Buy property now ! There are pockets in this country were home ownership is very affordable. Call it off the beaten path but they exist !
@@ag4allgood Sure they do but majority of people live near large cities now more than ever. Less populated areas and more affordable states also pay less on average
@@Striker50_ I thought the working from home movement made people much less prone to live so close to work ! The last company I worked for was down to 2 days per week to work in Office. Before that during the Pandemic many didn't show up for months ! When I left there was still a guy working remotely from Austin Texas & we are in Illinois ! It always took so much longer to do the work assigned because I was always taking pictures to ask questions about the work. Even though we used Microsoft Teams to a large extent.
it is a conspiracy theory that your dear leaders want to destroy the middle class.
Mike, I used to make fun of the "you'll own nothing" thing.
I've changed my mind. It had happened before in human history.
There was a thing called Feudalism (the dominant social system in medieval Europe, in which the nobility held lands from the Crown in exchange for military service, and vassals were in turn tenants of the nobles, while the peasants (villeins or serfs) were obliged to live on their lord's land and give him homage, labor, and a share of the produce, notionally in exchange for military protection).
So this is how it worked: people DID NOT own the places where they lived in. The same thing seems to be happening today because the home prices are too high, and a lot of people can only afford to pay rent, while companies like BlackRock buy everything.
I believe some powerful people are trying to bring back that system.
In
I agree
We have saved up 1.3x my salary over the last 5 years for a downpayment. Went to an open house yesterday and some guy about my age comes in and casually mentions if he buys it it will be cash, provided by his parents. So depressing. Wasn't his first home either, they are looking for investment properties. We are about at the end of our patience. Just been continually smacked down my the housing market the last few years
Wait two years!!!
Im 54 and make 95g cdn a year single guy and i cant afford a cheap condo in most cities in Canada. I tried before the coof showed up and after i did all the math Id struggle to feed myself properly.. and that was THE cheapest condo I could find in the listings. With the insane rents and all my bills I cant even save. Canada has turned into a hellhole as well. Its so bad there are thousands of videos on youtube of immigrants warning other immigrant not to come here... and canada panders to immigrants! They have it the best here and even they want out.
Canada is priced like it's on Mars and for no good reason. Reality will set in up there soon enough.
Being punished for being single is what it feels like.
Does Canada want a revolution or something? Because shit like that is how you get some brutal revolutions.
@@elim2826 thats exactly what happens. Canada's pension that everyone pays into from working and is some extra money when youre 60 is calculated based on how much you have paid into it over your life.. except if youre married and stayed home to raise the kids. They get money they didnt put into the system and guess where that extra money comes from? everyone else who paid into it.. a lot of single people getting robbed. There are loads of things like this
Yes, Canada is much worse than USA. Everything here is WAY more expensive including housing.
It's sad that I was able to buy a 3 bedroom house for $150k in a nice neighborhood on $80k a year income only 4 years ago. I couldn't afford my own house at these interest rates even if the sale price was the same.
You could if you had a Big down payment or bought in cash because you lived BELOW your means for 5 years ! People can't seem to sacrifice a little for a better tomorrow ! Credit card debt is too high & living now is the thing today.
Everything changed in 2020. The reset has been happening and will continue.
Interest rates are not that high and are near historically normal rates. Back in the 80’s interest rates were around 15%
By the time I buy a home my 30 year loan will be longer than my total remaining life span lol.
Don't feel bad. Mort-gage translation is roughly "death" and "note". It was intended to be a death note.
That's ok! Your heirs can pay it off!
@@treesnmogulsone can afford a mortgage and heirs these days?
That’s the problem, if it’s to that point, no bank will green light you for a mortgage, higher rate of not paying of the loan full term so
@@nickmattio3397 you clearly don't understand loans. Legally they cannot deny a 90 year old a loan, even. If they qualify.
The house will be sold at estate and the leins paid first.
They don't care if the loan goes to term, or don't even want that really.
In the 60s you were owning a home and out of Mom's house with 2 kids @ 18 yrs old.
Don't get caught not knowing about the WEF thing. It's real and awareness is necessary to fight the good fight. Or succumb which is not an option.
plenty of people succumbed to the poke
Home prices "may" go down but the government and corporate greed will get their money regardless, with higher property taxes, HOA and insurance fees.
Maintenance costs will get you too.
I'm paying $253 a month in HOA fees which is lower than a lot of places that I looked at.
"Corporate greed"? Are they supposed to lose money when they sell products and services?
Unless you're okay living in an igloo or sauna, the average monthly electricity bill for residential customers in the United States increased 13% from 2021 to 2022, rising from $121 a month to $137 a month.
@@jeffrosati2570 As usual, a knee jerk comment without thought. The "right" says that inflation is due to the printing of money. For the last 40 years the Fed printed money for the rich, for Wall Street, and for corporations. It's called, "quantitative easing" ...or socialism for the rich. Then there were the Trump tax cuts. Did Fox News protest? No, because they benefited from it. The reason for inflation is because of the "unemployment stimulus," not corporate welfare. Are you kidding me? We went through a worldwide pandemic and the economy was shut down. Why did the stock market spike when the world-wide economy was shut down? Capitalism would let these companies fail. Workers pay "unemployment taxes." Rich people don't get W2's so they don't know. That's our money but the government says it's their money to use as they please. Americans be damned. If the Fed and our government squandered our unemployment taxes over several decades that's not the fault of employees. We paid into it. It's our money. Did workers agree to billionaires not paying taxes while hiding their wealth legally in the Cayman Islands? We spend trillions of dollars fighting wars, propping up puppet governments and allowing successful companies to fire workers so they can move to China and use free concentration camp labor. None of us signed up for this. Fox News, CNN, and MSNBC talk about rising gas prices. Never do they address the biggest cost to workers, rent and health insurance.
What needs further discussion is the argument for $30 an hour. Mom and pop businesses could afford $30 an hour if their own rent wasn't exorbitant. Federal and state governments love landlords, high housing costs, and high rent because more property taxes are collected. The NY governor, Kathy Hochul, spent $800 million building a football stadium, which benefits her husband who owns concession stands there, instead of creating and improving affordable housing for its citizens. Certainly, corporations can afford $30 an hour. For example, let's talk about Walmart.
The three Walmart kids, Rob, Jim, and Alice Walton (by way of nepotism) inherited the company and are worth a combined $235 billion. Now stop! Consider how much money $235 billion really is. $1 billion is equivalent to $100,000 a year X 10,000 years. Walmart could pay all 565,000 U.S. employees in the company $100,000 a year in perpetuity, and it will not affect the Walton family's wealth whatsoever. In fact, the Walton's would still make billions of dollars. Walmart grossed $550 billion last year. Paying all 565,000 employees $100,000 a year would cost Walmart $56 billion a year. Payroll would be 1/10 of their yearly gross. Arguments in support of the rich do not work anymore. Every worker, who built and sustains Walmart deserves to share in the profits of Walmart. This is real socialism.
I bought my first home in 1976 when I was 24, a townhouse. It cost $43k and the mortgage was $423 per month. I've now owned 7 properties from coast to coast as my jobs changed. While I did not make money on all of them I did on 5. I've never used my house as a piggy bank or bought a home that I could not afford. I worked summers since I was 13 and while in college. I saved most of the money which I used for my first down payment. My parents were good teachers when it came to my financial education.
Yep. Older boomers really did have the best financial teachers b/c our parents went through the great depression and ww2.
I lived in Cincinnati Ohio for 3 years. It is an ABSOLUTE SH!THOLE! Do NOT recommend anywhere in Ohio.
As a dad of three young adults, I find it sad that their opportunity to buy a house is to wait for a generation to retire or die. I’m not even sure if that applies to Silicon Valley properties.
@MichaelBordenaro, that 49 age number for people buying homes does include seniors that are down sizing. The average age for first time buyers is in the mid 30s.
They want the younger folks to get used to renting ; as you will own nothing and be happy.
They? Sounds conspiratorial. The world is too chaotic for that. I know it's frightening, so you need to believe someone is running things, but "they" is your peers. People have been renting since the beginning of time. Today, young people have realized all by themselves that it's often cheaper to rent. No one planned that.
Even the Fed, which does plan economic policy, is only raising interest to slow inflating prices. Isn't this what people here are so unhappy about? Inflation?
Slowing home buying was expected. It's temporary.
History shows MOST people that owning is cheaper than renting. Renting being cheaper than owning is a new thing; otherwise , why would anyone buy a home?@@mowthpeece1
Nah, the whole reason the US has such a high home ownership rate is because the government in the past figured that indebted home owners wouldn't be able to go on strike. Renters have more power. What are you going to do if they don't pay rent? Evict them? Good luck that, takes months. Now if you have money (equity) in your house do you really want them to foreclose?
That doesn't explain all the right to work states.@@rathelmmc3194
@@mowthpeece1Today’s conspiracy is tomorrow’s proven fact. Get real.
I bought my first home a little condo when I was 27 then 3 years later bought a 3 bed home. Lost the home to my ex-husband 12 years later. I’m now 52 and can’t afford anything. It’s so depressing.
How's the husband get the house after a divorce,you must have been a bad girl
@@markbaum9615🤣
17:30 yes Michael it's true, I moved from Ohio back in 2019 and it was very affordable. I was paying $600 per month to rent a nice 3 bed 2 bath home in a quiet neighborhood. I moved to Oklahoma and had to rent a 3 bed 2 bath duplex in a sketchy area for $1100 per month. Granted I went from making $25 per hour in Ohio to making $30 per hour in oklahoma but I was living poorer in oklahoma than I was in Ohio by far. I wish I could go back!
You moved in 2019 when Ohio rent was affordable. Different story now. If you want to live in a good neighborhood, rent will be at least 2500. Has to do with where you live though. Everything has changed since 2020.
@benton-benton yeah well I'm saying, in 2019, my rent went from $600 in Ohio (good conditions, quiet neighborhood), to $1100 in Oklahoma (bad condition, sketchy neighborhood). So there is no comparison between then and now. I'm talking both places we're priced that in 2019. I understand it's different now, but I can still get a place in the same ohio neighborhood I was in for $800-$1000 right now, so it's not that much higher where I was at.
It’s great those areas have lower home prices. But people have to follow employment opportunities unless you are wealthy or retired.
or remote which is what lot of people did like myself
I moved from my home state of Michigan to Texas basically because I decided I would rather be warm than cold. The cost of living is about the same.
Smart. We've had highs in the 60's this past week in Central Texas. Won't find that in Michigan.
Florida for me. Didnt want to be cold
Just seen a news article today on insurance pricing going up 20% plus in North Carolina with coast areas up 70% plus. Worst area being 94% for last year.
I'm 51 years old and just recently purchased a townhome after renting for the past 23 years.
Are townhouses cheaper than condos? Are they easier to maintain? Townhouses or condos. Do you have an HOA? Is insurance cheaper than a home?
If you or anyone cares to share your knowledge, I appreciate the time.
It doesn't matter what state you reside in or moved to. Only your experience with buying or renting a condo or townhouse.
Thank you.
Why didn't you buy a house? A townhouse is basically a condo.
I’m 60 and just brought a home.. got tired of renting. I’m not worried about paying off my home… if I can’t afford to keep it, they can have it. I’m living for the moment, nothing is guaranteed. GOD is my source and I’m not worried about nothing I can’t control. Y’all worried about things before they happen and when it don’t happened you worried for nothing, if it does happen you worried twice. Live life and enjoy because we all got a date with death.
@@joannaa.5101I love a townhouse you may share a wall, with a condo it’s like renting an apartment. HOA is not as bad as people make it, some folks hate rules.
@candelariaw1668 I heard very little about townhouses. I've seen duplexes, but never inside either townhouse or condo.
My mother just passed at 104, my brother in law is 83 he almost died & I just spent time in the hospital & almost died all in the past 3 months,
so us old people can die off real fast, raising the home inventory.
good point, I hope you make a full recovery....cheers
Are you Jabbed up with the Dr Fachi homemade Sauce.
That's depressing
Oh we will die off very fast but i believe tbere will be Famine and Floods and other things like War....but tbe Wealth of Cities tbese days is built on Home Values...and Consumerism growth...growth of consumption cannot keep growing...most Workers are unnecessary...so a complete restructuring will come after We are Gone.
So sad you have to think like this because people waiting in line to snatch up your house...I hope you live as long as your mum... Cheers!!!
California never misses an opportunity to pass new laws and regulations and tax
Soon, if you have an empty room, they'll want you to house an illegal. But, you'll to act fast. The young, and pretty ones go fast.
NYC DID ask people to do this.
So you think Cali is the only state doing this? Don't you read?
California is a ONE party state. So the politicians don't need to consult with the residents of the state. All the Democrats, including the Democratic governor, simply go behind closed doors and agree to all the new laws, regulations and taxes that they want. The taxpayers in California simply count for nothing when it comes to any legislation in the "Golden State".
@@mikeifyouplease Florida is just as BAD & instead of taxes the Insurance rates get you running for the exit !
your dear leaders get away with whatever you let them get away with.
I live in a Cleveland, Ohio suburb and housing here is very expensive. Junk costs $300k and the weather is awful. It’s 7 degrees tiday
I’m a first-time homeowner by age 51, nearly 52. Had to move out of California to be able to do it. Better late than never.
I am doing the same...soon hopefully and need to move out of CA to afford something
Don't mess up wherever you're going like you all did to California
Which state did you go to Amy? Curious what was the main draw to it for you?
@lavenderlilacproductions how do you know we messed it up. We tried recalling the governor have voted and held traditional values and yet...the outcome is sadly what u see
I know of a city/suburb in the midwest, the streets are filled with $200K to $300K houses, but nobody wants those. They’re teardowns. The new houses are $800K.
🎉🎊💥HEY MICHAEL ❗️You always share so much comen sense and I really hope that your subscribers are listening.
Things are terrible right now but things are going to be awesome for the people who are saving their money, Paying off their debts and getting their credit scores as high as possible. Thank you Sir for everything you share. Blessings,Carlos ✝️🙏❤️😊🇺🇸
I’m one of the “old” buyers at 64 and I’m done, not moving and passing house to kids when I leave for Mars. Made it elderly accessible by adding an elevator and large enough for 2-3 families so kids can have a floor each.
He opened a can of whining little worms with this video lololol. You're eligible now for a reverse mortgage if you want it.
Going to be a flood of inventory especially if more people die off. And no one able to afford to buy them.
I’m currently sitting in an Airbnb outside Louisville KY and it’s new construction, never lived in obviously, I can’t find where it was sold. The other houses have no record of being sold in the neighborhood, they are still building more in the subdivision. These are the things I hear about on your videos!!
I live in a cute cozy 1100 sq ft 3 bdrm/2bath cottage. I love it. I've owned homes as large as 4000 sq ft and have no regrets however, I just love the size of the place I've been in for over 10 years. I also own a 900 sq ft townouse that I rent out. I think builders need to get into the minimalist mindset.
This is now my "go to" channel for all things related to homes and the economy in general. I agree with almost everything Michael says both from his info and his general financial advice and opinions. There ought to be a required class in every high school in the US that is just called "life and money". In this senior class, 17 and 18 yr olds learn through Michael's videos what it is like to be an adult with money matters. He could be a high school teacher or college professor. Great insight in modern economics including renting and owning. 124K subs is not enough for this amazing channel.
Very valid points. It won't move up 20 years, probably home owners will have to self determine as you said. Power to the people requires us to step up.
I recently just came back from a holiday trip and drove to Dallas Texas from Northeast Florida. And I vowed when I got home the other day then I’m not leaving the state of Florida for a long time lol and I don’t care how many jobs I have to work. I’m not living in another state. Texas is nothing but one big interstate and Dallas was nothing but big urban sprawl. No thank you I couldn’t be happier to get back to the state of Florida 🏖️🌴
I visited Florida for the first time in September, West Palm Beach. The difference between Texas and Florida is climate. If you drive from South Florida to North Florida, the whole state is basically interstate and tropical wetland. Florida is also overpriced now. I would not move to Florida, based on what I saw. Too many people in condos, not enough houses.
I still believe the biggest culprit of the up and coming crash is the high tax bills. Assessments are increasing and are very hard to lower if values go down. Another element to be considered is much higher insurance rates on top of everything else.
Home insurance is a big deal to say nothing about taxes. To know what kind and what coverage amounts and flood insurance what a mess.
I’m pinching this year making over 100k to try and get a house next year. It’s crazy how expensive everything is everywhere. A house in my area of my job is 375-500k for normal, that’s 2200-3000 without taxes and insurance with 10-20% down. So I’m pinching, opened another account to tuck money away without access immediately. I feel like I could save money better back when I was making 40-60k in 2016-2019. Still had a car payment then too and wasn’t debt free like I am now basically.
You're part of the problem. Just wait, don't buy at these crazy prices. If more people did this, the house prices wouldn't be apeshit insane as they currently are. Well, that.. and also we need to STOP the corporate entities from buying up single family housing. That is a recipe for some French Revolution style politics and they need to tread very lightly.
It is upsetting to me that young people are being cheated out of the American dream of home ownership. I'm a boomer my first house was $22,500 mortgage payment was $154.00 a month. Your getting screwed royally.
So marry someone making $50k or more. Problem solved for buying a family house.
@@hvaball150you must not date much in the west huh? You act like that’s picking up bread and milk at the store. Get real.
@@thedadyouneverhadchannel3544 bingo. Then if you do get married, statistically more likely to end in divorce than not and you'll loose "your" house and half your money. End up worse off than if youd just stayed single the whole time. But hey, your ex is living it up with her BF!
Thanks for the great info! Beautiful area where you were walking. Nice job!😊
I really enjoy the area you are walking in. This is where I would live. Thanks Michael.
I saw an article comparing average net wealth by age group to median net wealth by age group. For my age group (65-75), the average was almost a million dollars while the median was $290,000 (half of the people above that; half below). In other words, a small percentage of the population has most of the money. The rest of the population has very little. Prices of real estate and other things appear to be geared to the average, not the median. This should be self-correcting, but for some reason it isn't.
Because all the boomers came of age in a time of great economic expansion where you couldn't go wrong. It was just dumb luck but they were able to lock down good jobs and benefits and accumulate wealth and assets at very desirable and attractive prices and terms. These same people became blind (and remain blind) to everyone else and simply assumed if you lift yourself up by your bootstraps and work hard you'll get ahead. Nothing can be further from the truth.
Also the people in your age group have been in positions power for a long time and have manipulated the laws, especially the investment laws to favor the well heeled and wealthy at the expense of those beneath them.
There's justifiable reasons why so many despise your age group.
50% of people have saved nothing! 60% go paycheck to paycheck - 20,000 cars are repro every week - 1/2 pop would have a hard time paying an unexpected $600 bill - we’re broke!!
The top 50% have 94% of all the assets. The bottoms 50% have 6% of assets but 56% of the debt.
I bought my home 3 years ago at the age of 57. I was living in the home as a renter and had never wanted to buy. But the owner decided to sell and gave me the opportunity to buy it before starting to show it. I would have paid higher rent somewhere else so I bought it. But thats how I unintentionally became an old home owner. 😊
Unintentionally? No, it sounds like you very deliberately made a wise financial decision. Good job!
@@chiplangowski3298 I had several wise people in my circle who advised me to buy when I was adverse to buying. I was stuck in my old world and they pulled me out of it. I'm thankful that I accepted the advise and acted on it. Thank you! 🙂
Cash out refinancing has always seemed like the craziest thing to do, especially right now.
I don't even think it should be legal. People are not smart who cash out their equity.
I’ve also seen tons of those YT shorts where “investors” dumb down what a cash out refinance is, making it out to be a savvy financial maneuver, tic tok, too, I hear, and I guess people just buy it. Scary.
@@networth00Sometimes there is no choice. If you need money, it may be the only place to get it.
agreed. why would you cash out refi to higher rate when you can just get a heloc?
I was 26 years old when I got my first and only home,I am now 57 and rent,thank God I rent.i have less headaches these days.😂😊
Home ownership can be very overrated. They’ll never tell you that.
Right? Let them replace that A/C. 👍
I will never go back to that apartment life. People's kids in front of your place making noise, loud cars, crime etc. I would never live in an apartment again or buy a condo. They are the same thing. Land, space and peace.
Being a homeowner is like having a second job. Something always breaks or needs fixing and dealing with contractors is a huge nightmare.
@@zuzanazuscinova5209 - As long as you understand that as a renter, you are paying for someone else to take care of all of that for you. Renting is ALWAYS more expensive than owning the identical property long term. ALWAYS.
The guy puttering in the little boat amongst the backdrop of all the yachts is a symbolism. 😂
People used to change / exchange homes like partners/ spouses every couple years.... those days are gone if prices dont correct to the mean down at least 20% or more... homes are up 300% from 2015 my condo bought for $70k in 2015, sold for $210,000 in August 2023 in Las Vegas.
So articulate and measured. Thank you Congressman. I wish Florida congressional representatives were as devoted to Americans. Thank you Tucker. God bless America.
Fix 2020 in 2024.
That they’re actually beginning to build smaller homes is GOOD NEWS and I hope price correction is gentler than 08 because otherwise they might stop building them
This is what the problem has been all along. Why has it taken so long for them to build smaller homes? We live in a small house and it's just fine. Don't understand why people think that they need big houses.
@@davidkirby7551Building codes make denser housing less profitable. NIMBYs are stopping it because *gasp*, if houses become cheaper *their* house becomes cheaper! And we can't have a good ""investment"" like that go to waste, now can we?
@@davidkirby7551 Those big houses used to be attainable so why not.
It used to be keeping up with the joneses..now I think its beat the joneses. Isn't this the "give everyone a trophy" generation?
They definitely are not building smaller affordable homes here in the Midwest. They just don’t build period. If they do build it’s 600-900k homes and you have to fight everyone for what’s left.
Seems like many new houses are so big. I get it the builders are trying to squeeze as much out of the space as possible with the tiny little yards, and the houses shaped like big blocks. My house is older (in California) and is about 1350 square ft. Built in 1965. Its three bedrooms and two bathrooms still! They just made some houses smaller back in the olden days. Houses obviously cost less back then but the houses were not these 2600+ square foot blocks either.
That's true and ypu actually had a yard
We're all getting older it beats the alternative
Some of them are tiny houses that are 200k no yard no parking everyone in a tuna can neighbour hood.
And a lot fee like a trailer park.
Bought my house at 28, 5 years ago, refinanced and got one of those cool 2.5 interest rates and pay 1300, not selling any time soon with these prices of houses
Awesome
I just relocated to Ohio from North Carolina. Prices in the NC Triangle area skyrocketed. There are very affordable homes in Ohio. If your budget is over $200k and you can find work to support your payments you can find a beautiful home with property. If you are on a budget there is plenty of inventory of properties below $150. Places like Canton, Massillon and Akron have inventory in distressed neighborhoods. Much of that distress comes because of a high rental market where there is no pride of ownership. But IF these properties change hands from renters to owner/occupied the values will increase. I looked at Michigan but the cost of car insurance vs Ohio was enough to pay for a kitchen remodel in 10 years. But certainly Michigan is affordable. Minnesota should probably take the place of North Carolina on that list.
Why would anyone want to live in the Midwest, though? Texas gets down to the 30's in the winter where I live. That's cold enough.
I'm in Franklin county, suburb of Columbus. I have a friend who lives in Canton. Yes, lots of nice houses up there that need work, some more than others. But wow, when you're finished you've got a masterpiece! My friend has the cutest Craftsman house and really low property tax. I've thought of moving up there.
Thank you for not being a spoiled person. You are willing to do work so you can have a nice house. It's what we did, worked our butts off on every house we ever bought. Always bought fixers. If a person is willing to do the work, they can have a nice house.
@@DIVISIONINCISION With "global warming" Ohio will be the new North Carolina.
We are looking at the last of alot of things. The old-time hot rod builder, the rv people, the mechanics that can fix things, not the replacemen that just replace parts. The guy that can take shit apart and solder or weld. The harley crowd is a disappearing and home cooked meal. Cash and tipping is disappearing. Man, I could go on and on.
I'm 25 and got rid of my harley. Worst brand ever. the bikes are triple the price of what they should be and the parts and accessories are a rip off.
This is hyperbolic. Those kinds of people aren't going away.
I believe you said the median age of home buyers is 49. This is not however, the median age of FIRST TIME homebuyers...I believe that's something like 40...?
The bottom line is that we are coming into an age where the focus will be, meeting basic needs, its all about needs vs. wants.
I know a 49 year old man who is still a renter. His son is 18 and autistic so unable to work, live independently, etc. Many older men are not successful. Everyone else is deep in debt.
I look at the Philippines, the average person won't own a home unless family buys it for them or they inherit it. The buyers are rich foreigners for the most part. This kind of looks like the direct we are going.
we've been there, we have to compete against foreign investors (only need 25% down) + flippers + corporations
Absolutely. It is where almost everywhere goes before a revolution...
This is why not buying can be a risk.
There is no promise you will get a house in the future...
@@mangodiet801 in addition as an American citizen we can’t just go in and buy a house or condo there without a Philippine citizen owning at least 60 % of that condo or home.
You can only lease/ rent it as an American. 🇺🇸
@@jasonknight5863 That's a deal-breaker.
@@jasonknight5863 there's other countries you can own property outright, with no property tax
I didn't expect Michigan to be on the list of 5 of the most affordable places to live. I would have thought Alabama would have made that list. It's super affordable.
Michigan is a big state surrounded by the Great lakes and it's very affordable compared to the southern states.
The only thing that can help the housing market now is a crash in the economy.
@@geocam2This country does more for the poor than any other country in the world.
Or WWIII, especially if you are an arms dealer.
Buying a house is the easiest bit. It’s not everyone who is prepared for the responsibility. Insurance, taxes, and maintenance is a killer!!
Also throw in the mix how much AI will eliminate jobs here in the US. Already many large companies are cutting their ad agencies since AI can do without humans. I think it is very likely we are going to see mass unemployment. When? Not sure but historically just like Michaels says after the Fed increases rates we see unemployment.
Great show Mike. It's good to hear something hopeful for younger people .
Yes old, I'm 82 & I own 7 paid off homes with family in all of them as tenants at low rental rates. Todays people in their 20s will never be able to buy a home.
Ohio: Columbus itself sucks and has lots of crime - one of the bedbug capitols of the US.
There is one nice area -Clintonville, in Columbus. Old nice houses that have been undervalued by the recent county reappraisal. So Clintonville property tax didn't go up and in some cases, it went down.
Columbus has really nice suburbs like Dublin, Upper Arlington, Worthington, Westerville, New Albany, Bexley, etc. But don't expect to pay 216k for the suburbs. More like over 350,000 for a full rehab fixer upper, then up from there into the millions. Suburbs of Columbus property tax is extremely high compared to other areas of Ohio.
Even small towns in central Ohio are high priced now. But not as bad as the suburbs of Columbus.
I think many people who inherit houses in Los Angeles will keep them because houses typically go up 700% every 20 years and rents are high. The tenants that rent houses in my neighborhood , where I don't live now, take great care of the houses they rent .
I believe if you inherit in CA and make it your primary residence, then you can keep the old tax on that house.
@Mariya2804 I'm not sure that's entirely true. I believe the tax basis is stepped up to reflect the home's current value, but you won't have to pay inheritance tax if you move into the property and make it your primary residence
Michigan...interesting as that is my home state. We left in the early 80's due to no jobs. Several family members and friends vost jobs for periods. It is a great state, but you are taxed on gas, utilities are high, taxes are high as well with the lower wages. My nephews left in 2014 for the military due to no steady work.
Realtor told us on our last purchase that it's been trending away from younger buyers for a long time. Most that inquire don't come close to qualifying. He said that allot of them only decided to step into adulthood in their late 30's and simply didn't grow up and go out on their own until then. "They really don't have a a credit & savings history."
That's some gaslighting from that realtor, for sure.
For anyone looking to buy a condo- we’re gonna be listing ours at the beginning of April. Marysville, Ohio!!
They didn't realize the market's houses that a person can afford? I need to go to the business school these bozo's went to. Lala Land University. The local government here has been "trying" to fix the housing shortage and their solution has consistently been homes that are double or triple what the average household can afford.
They went to the best schools and know EXACTLY what they are doing to you.
@@hvaball150 not usually. Incompetence is very ordinary among humans, as well as non-deep analyses, and bad policies that are too simple and one size fits all.
One of those driverless cars in sf, ca hit a woman. The company tried to blame the lady that was hit for being hit. They are ridiculous here in Cali.
BABY BUST in part do to the lack of affordable housing. . .And robots and pets don't pay taxes. . .That's their concern.
it's ok, seems like our economic sanctions against Venezuela will help us fulfill that gap
@@mangodiet801and they really help. 😂 look how many caravans arrived Southern border this year.
The youngest baby boomers will be 65 in 3 years but many have already retired, even some X gen and want to downsize but it’s too expensive so are ‘aging in place’.
"The Bank of Mom & Dad"🤣🤣 MUST BE NICE!! 💯
So nice 👍
No other way for young people to get a housing start. Don’t forget grandparents, too
@@fredk9999 yes, also grandparents! so nice 👍
the system is set up for wealthy families to keep to control, not a coincidence
Well, you better work hard to stay together.
It's easy when you have a leg up, but people treat housing when they are young like they drive their cars.
"Houses are too expensive". Exactly right and the other single biggest reason is that people spend way more than they should on things they could live without. Glad you are covering these issues, as common sense isn't very common anymore.
People will start buying land and building their own
That's what I did from 1986-1990.
A 1/2 acre lot in my neighborhood just sold for $195k - just the lot - no trees because the seller clear cut the whole darn thing. 100 year old trees poof gone
Already are to get out of the cities and to raise livestock and garden on a larger scale. More freedom out and far from your neighbors.
@@TwitX2007, 100 year old trees might be valuable depending on species.
@@TwitX2007 trees are the best part of land
I purchased a 2 br 2.5 bath condo in Westerville, Ohio for $97,000 current mortgage is $74,000. My monthly payments is less than my previous rent payment.
im 50 about to buy my first home.
When we bought our first home during Covid, I was 59.
Bought my first house at 47 in 2007 right before the troubles.
Paid the house off right after I retired.
Now I own and have a sibling living with me and we are fine.
My tip is so not just make the minimum payment pay extra when you can.
Wishing you the best.
I moved out of the cities, pay is similar, bought a house at 30 bought under my means or smaller house and has 36 acres. 169k location Minnesota.
House in the cities is now for an old house around 250k to 700k new now.
Both of my kids just graduated college got great jobs and are now focused on paying off their student loans ASAP. I know It’s frustrating for them, because they have friends that are out buying houses or at least got a cool apartment and a new car… meanwhile they moved back home with mom and dad and sent 80% of their income to the student loan accounts (totally uncool). I just keep telling them both, Trust Me everything you are sacrificing for 12-18 months is going to pay dividends for the next 20+ years of your life. As far as I can tell they are the only two in their sphere of friends and associates that are doing this. Everyone else seems to be hell bound towards $300-$700k of debt by their mid 20’s! And only part of that is a home mortgage
Your guiding the kids correctly. See if you can turn them onto Ramsay Solutions ( Dave Ramsay), after listening to his radio show they will take great pride in the fact that they are paying their loans off right away.
Tennessee, not the major cities, is gorgeous just a little chilly in the winter. Also no State tax like FL.
PLEASE DON'T TELL...ANYONE!!!💞🇺🇸🙏✌
@@Feribrat99 I meant TN was like FL and no state tax, don't get your panties in a bunch
There is no draw to living in TN. It is colder than Texas and doesn't have much to do. I would move to Florida before TN.
wow, i am looking at all the old looking condos in the background as you walk, some of those building look like 20-floor hospitals..... i would hate to live in an environment like that..... doubt those residents ever get out and walk around like you do, imho
We sold our home to my son a year and a half ago. He came out of military and VA would only loan to appraisal. It was impossible for him and his family. I am 56 and a retired teacher. My husband is 65 1/2 and is retiring no matter what at 70. We are holding our down payment at Edward Jones and renting and riding out the market. We thought it would be crashed by now. At our age… we are getting really nervous. Your channel gives us hope. We didn’t prepare like we should have and only have a small 401K. We pray and grit our teeth as we hang on during this ridiculous housing market in Knoxville TN where houses doubled and some tripled within a 6 month span and hasn’t stopped. Inventory is increasing and prices are starting to budge. New listings are still stupid high.
Wait two years
I know exactly what you are feeling. I retired 5 years ago. 3 years ago we started our adventure to relocate from Seattle. Just as covid was just starting out, but didn't know at that point in time how big it was going to be. Seams like overnight houses tripled in price. This was not part of my retirement plan.
A shocking increase. The average age of the first-time buyer is a key metric demanding the continued attention of our politicians. Immigration, and allowing foreign 'investors' into the housing-market, are major drivers of the problem.
Liked today's backdrop.
I purchased my first home in the 70's and I was 21 and everything was a lot cheaper. so I can understand why people have to work longer to get what they want cause everything cost so much more.
How long did you work to cover it?
Yep. 29,900 . It wasn't the best house but we lived there about 13 years. We did some things to it over the years and then moved to another place.
My first little house was I think six or 7000 my payment was $68.94. I was throwing newspapers early in the morning and paying for my own college. times have changed.
How much did you make at your job in the 70s. I'm sure you made a lot less than people do now. I had to work 2 jobs back in the 70s so I could save money.
Median household income in the 70s is lower than today in real terms, but the big change is that the stagflation of the late 70s and early 80s basically caused households to turn into 2 earners instead of 1.
I live in Ohio right now, Cleveland metropolitan area. I make 160k/ year. Average home price in a neighborhood without any gunshots at night is around 320k. That’s on the low end of the spectrum if you don’t wanna send your kid to private schools. Houses in decent neighborhoods have gone up very significantly in the past 3 years (30-40%)
Average price in Australia is $1M with Sydney at $1.4, so to us your prices are ridiculously low.
Yeah but Australia’s better than Cleveland
The snow is too severe there in Ohio. However, a lot of really bright individuals have come from Ohio.
It’s not all that bad! lol I will say it is VERY affordable! My family lives off one income of 70k. We have a home, 3 cars camper and boat plus a child. 1 car, camper, boat all paid for. Quality of life is good❤
So here's what I did... Found a house of the exact square footage and property in California that I own in Indiana. I paid 23k for my house and it needed a couple rooms to be drywalled, had a new roof put on and a brand new electrical service 200 amp. Now the house that is in California looked very similar to mine, but worse on the outside and asking price was 440,000 . People in California are smoking crack pipes a mile high. So the particular house I found had 2 home Depots within 10 miles. So I got on those ones websites and compared 2x4, plywood and a couple other building products prices versus where I live in Indiana . Guess what, all the lumber was priced significantly lower. How is this possible? Building materials are less but house prices are 16 times higher?? Someone please explain. Real estate is the greatest scam of our time. Liars and thieves.
It was a nice scene today. I've noticed that prices in my neighborhood and around various areas where I live have gone up but that is because interest rates have gone down. I guess people are going FOMO again and in less than a year will find themselves in dire straits. I also think that many people have become more mobile and owning a home/condo will simply take that ability away. The younger generation are switching jobs more often as well as moving and this shift is what will dictate the future of real estate.