/biz/ - Business & Finance

[Anonymous No.56069934]

Why are people complaining about house prices when in reality people are just buying bigger houses than before?

[Anonymous No.56069938]

You're actually paying around the same per square foot than boomers were in the 70s. I used to think millennials had a bad deal but now I realize theyre just whiny bitches

[Anonymous No.56069943]

Ok so its gone up slightly in the past couple of years boo hoo, its basically the same so why are you bitching?

[Anonymous No.56069967]

>>56069938
>(((Adjusted))) for (((CPI)))
>doesn’t include salary stagnation
Nice try Mosche

[Anonymous No.56070079]

>>56069934
because fucking zoomers are too spoiled and need to have a 5 bedroom mansion with a professional kitchen installed, and the commute has to be no more than 15 minutes from downtown.

[Anonymous No.56071341]

>>56069934
how late did you get into real estate investing that you are so beyond fucked to be making these posts every day

[Anonymous No.56071383]

>houses are just getting bigger!
Dull little statist.
-m2-
1970: $0.5T
1980: $1.5T
2000: $4.5T
2020: $15T
2023 $20.8T

-MSPUS (Median Sales Price of Houses Sold for the United States)-
1970: $24k
1980: $64k
2000: $165k
2020: $329k
2023: $436k

r2: 0.98

You can look at any city and find 1940s 700 sqft cucksheds that show this exact price progression, clearly proving that house inflation is not a product of increases in house size, likewise "muh inventory" is also cope, as only For Sale inventory is low, total units/population is not low, and this is confirmed by the parabolic rise in nominal prices even in dying rustbelt shitholes. Inflation has once again been shown to be wholly monetary in nature, a parasitic transfer of resources from income earners to oligarchs. This is a political problem, but there are no lasting political solutions, as corruptible money will be corrupted, it's simply too easy to steal opaquely. There are only technical and economic solutions, and BTC is just that, a technical fix for the political corruption of Money, we will never be free until we adopt trustless stateless Money.

Gold has faced the triple threat of demonization headwind, paper manipulation (not a threat to BTC as 'physical' settlement is cheap), and ridiculously high transaction costs for physical metal, yet despite these obstacles it's still performed near perfectly as an unleveraged fiat short averaged over decades long timeframes (44x versus 42x money expansion since '71).

Economy always finds it's level.

BTC has none of those issues, it's in the process of monetization, it can't be paper manipulated, and transaction costs are negligible, BTC will therefore track much more closely as a fiat short, and as it has yet to reach full capitalization, it will act as a LEVERAGED fiat short, a leveraged short without liquidation risk. Capital flight into BTC until full capitalization is the trade, simple as

[Anonymous No.56071564]

>>56069934
>has never been to the northeast, houses with 7-9 bedrooms were considered middle class, giant 84 inch windows with 12ft tall ceilings across 3 floors
OP consider traveling it might make you less retarded

[Anonymous No.56071624]

>this thread, again
>mere hours after it was last proven to be BS

how do i get one of these bot posting jobs?

[Anonymous No.56071635]

>>56069967
>>56071624
at least it didn't take long this time.

just (((((TRUST))))) the CPI

[Anonymous No.56071748]

OP's not wrong, though. Average home size in 1950 was a bit under 1000 sq ft. Average family size was 3.3. So two parents and 1-2 kids were living in what was probably a modest 2 bed 1 bath home.

Cost per square foot has certainly gone up, especially over the last few years. But it's not as bad as you might expect just looking at home prices. What consumers expect for the size of homes as well as the features and amenities has gone up over time as well. For example, a house in the 50s probably had Formica (aka plastic) countertops. Modern buyers expect granite instead which is more costly to transport, cut, install, and seal.

[Anonymous No.56071779]

>just buy a smaller house bro
All of the houses built in the last 3 decades are huge and the population has gone up by 100 million people. Buying a 40 year old 1500 square foot house for $350k is a directly worse deal than any generation before us ever faced. It doesn't matter if you price in square footage since you can't divide a fucking house. Hope this helps.

[Anonymous No.56072238]

>>56069934
>>56069938
>>56069943
American house prices are ok on real terms. Other places are much more fucked up.

[Anonymous No.56073375]

>>56071779
OPs not wrong. Neighbor was raised with 5 siblings in one bedroom house. Build your own as they did.

[Anonymous No.56073718]

>>56069938
Yep. Plenty of successful Millennials though.

>be boomer born in 1955
>graduate college in 1978
>first job out of college pays 15k/year
>homes are 50k (3.3x salary)
>have to borrow at 10% interest rates
>96% of first payment is interest
>s&p is $100
>10 years later s&p is $270 (+270%)
>give birth to millennial

>be millennial born in 1990 to boomer parents
>graduate college in 2012
>starting salary out of college is 45k
>housing price is 230k (5.1x salary)
>get to borrow at 3.5% interest rates
>58% of first payment is interest
>S&P is 1350
>10 years later S&P is 4200 (+311%)
>complains about how much worse they had it

https://www.naceweb.org/job-market/compensation/salary-trends-through-salary-survey-a-historical-perspective-on-starting-salaries-for-new-college-graduates/

[Anonymous No.56073728]

>>56071383
This dude wrote all this to say that housing follows inflation

[Anonymous No.56073788]

>>56071383
Is this THE definitive midwit post?

[Anonymous No.56073881]

>>56073718

Now factor in higher taxes, insurance premiums, fuel costs, student loan payments, absolute amount needed for downpayment, being stuck in the high rent trap for longer, higher concentration of well paying jobs in expensive metropolitan areas, less collective bargaining leading to more people getting zeroed out after losing good employment, more of the gains in the S&P 500 going to the 1%, on and on.

[Anonymous No.56074278]

>>56073728
Explaining that 1) nominal rise in housing has been a product of debasement not house size 2) how to financially escape the wage/debt plantation is hardly >inflation effects housing
>>56073788
Stay poor, debtslave

[Anonymous No.56074932]

>>56074278
The actions are the same but go ahead and stroke your 105 IQ, seems to make you happy since you post this bullshit daily

[Anonymous No.56075068]

>>56069943
>each time the price for the house per square footage goes up, theres a market crash

[Anonymous No.56075089]

>>56071383
Since 1963 m2 has grown 5216% average house price sale since has only grown 2149%?

[Anonymous No.56076222]

>>56069934
>Graph doesn't conveniently show that the square meter is now 1h30 away from work

[Anonymous No.56077254]

hey zoomies, I have a small shed in the backyard I use to keep my lawn equipment, how about I convert it into a tinyhome and you live in there? I will sell it to you cheap at only $300k hahahaha.

[Anonymous No.56077291]

It is kind of ridiculous that families of 6 were jamming into 2 bedroom ranch homes in the 60's while families of 3 are now complaining that their 5 bedroom 3k sq foot home is too pricey.

[Anonymous No.56077514]

>>56069934
>>56069938
>>56069943
Problem is that it isn't profitable for builders to construct smaller houses anymore so there is a lack of supply of houses which are smaller in square footage. Even if price per square footage is the same, there's not enough to go around and people are still priced out of the market regardless.

[Anonymous No.56077602]

>>56069938
>2014

[Anonymous No.56078094]

>>56069934
irrelevant argument as the size of the family doesnt increase income
or do your 4 kids earn a wage perchance

[Anonymous No.56078168]

>>56074932
Kek. "Inflation increases prices" conveys no information, "only nominal prices have risen, and all of this nominal increase can be explained by monetary debasement" conveys useful, actionable information.
>>56075089
Yes. Housing is illiquid, If debasement increased all prices equally and proportionally there would be no impetus to debase, debasement is a wealth transfer from illiquid assets (including labor) to liquid assets.

[Anonymous No.56078562]

>>56069934
>>56069938
>>56069943
Private your paid to do better shilling then this. Lower. Your. Tone and do better next time I'm writing this thread off as a failure just like your parents did you.

[Anonymous No.56078600]

>>56070079
>>56073718
>>56073728
>>56074932
>>56077254
>>56077291
That goes double for you private dickshitters Lower. Your. Tone and do better next time

[Anonymous No.56079094]

>>56071383
So.... inflation?

[Anonymous No.56079228]

>>56069934
comparison is likely invalid.
people who used to buy small houses now buy apartments.
house =/= home
also, people aren't reproducing anymore.

[Anonymous No.56079355]

>>56069934
I don't think that this is entirely accurate. And I say this as someone that owns two homes between my wife and I. People want bigger homes not for the size but because the smaller homes are also older homes. If you could get a small home that is a new construction I think they'd sell well. But the only small homes that exist were built in 1950 and they've got all kinds of structural issues that new home buyers don't want to deal with.

[Anonymous No.56079367]

>>56069938
This is correct though. But the market isn't really driven by rational demand. Housing is an inelastic demand and we're continually importing new migrants that buy up all of the cheap housing and turn them into ghettoes forcing people to buy the bigger more expensive homes.

[Anonymous No.56079379]

>>56070079
I unironically bought a house like this two years ago for 350k. Bretty comfy

[Anonymous No.56079382]

>>56069967
Your salary is only stagnant if you're working a job meant for Mexicans, negros, and teenagers. Look around at your coworkers. Are they worthless subhumans that you despise? Guess what. You're in good company.

[Anonymous No.56080058]

>>56069967
My apologies for my private replying out of turn he just got off the boat and projects constantly due to being intimated by me I'll have his pay docked