[Romulus968]

I'm in the labor force, but live at home. I can absolutely afford to purchase a home.

Why don't I?

Because I'm not spending $250,000+ on 1400sq ft. These types of articles make it seem like some huge mystery as to why society is the way it is today. It's no mystery. Houses cost to much and employers don't pay enough.

[mynameisash]

When my wife and I bought our house (Seattle area) six years ago, I was uneasy about spending $300k, and my family in the Midwest was aghast that we paid asking price.

Anyone in this area would now laugh at my previous situation; I certainly do. We briefly considered buying a slightly larger house in the area, but everything is going for about $800k now.

If I were just entering the job and housing market today here in the PNW, I would absolutely stay with my parents if I could. And I rather expect that my kids won't move out at 18.

[bozzcl]

I've been wanting to buy a house around Seattle for a while, but the asking prices are so ridiculous for what you get... it's just not worth it. Personally, I'm gonna continue renting for a while to see if the remote work situation opens new opportunities or brings prices down.

That being said, I learned recently that for the same prices you would pay here you can get a castle in Europe... so I made that my retirement goal.

[rufus_foreman]

It's hard enough to get contractors to work on my house as it is lately, I would hate to try to find someone to put a new roof on a castle.

[MeinBlutIstBlau]

Not to mention, a lot of older housing which ends up being cheaper, has just a myriad of problems with it. They become massive money pits or take well beyond 10+ years to even make a dent beyond the interest paid. Plus you need to fix them constantly or put up with a subpar experience. Over time, I guarantee you save more time renting than you ever will buying a home. People forget to factor that moving the law, blowing snow, paying property taxes and insurance all factor in as additional costs to maintaining property. That amounts to time lost. Unlike money, you can never get that back.

[01100011]

I try to tell this to kids having FOMO right now with the housing market going crazy(same feeling people had in '06, even if the causes were different).

I bought a house young(26) and spent a good part of the next 16 years working on it. Sure, I enjoyed some of it, but much of it I did not. I did make money with the appreciation, but I also spent a lot on repairs and improvements. If I had focused on my career and my hobbies, I'd be richer and happier now. That all said, I didn't have kids. Maybe if I did I'd think it was worth it. Society puts a high value on having a home though, and much of that is bullshit. The world wants you to think owning a home will complete your life and signify your success but it is much more complicated than that.

Homes tie you down. They're fairly illiquid assets. Transactional costs are huge. Neighborhood issues can significantly affect your quality of life and net worth while remaining nearly completely outside your control.

[MeinBlutIstBlau]

This is experience that nobody is told when they buy a house for the first time. Not to mention being tied down. Plus like you mentioned with your career and hobbies. They're just a shackle if your not committed to the lifestyle. Hopefully things worked out in the end.

For myself, I actually worked in the mortgage industry for a few years and nothing jaded me about homeownership more. It's a monumental scam unless you're a DINK family and maybe live in a condo. That's a bit smarter but the most expensive option out of all types of living usually.

[TuringNYC]

>> These types of articles make it seem like some huge mystery as to why society is the way it is today. It's no mystery. Houses cost to much and employers don't pay enough.

This is so true. I'd take it further -- for many (not for most of us developers/engineers) but for many others, the choice to move out is a very risky one because you're constantly on a thin line between paying student loans, mortgage/rent, and other costs of employment and wages may not grow while costs continue to grow. I've seen people just give up and enjoy what they have -- a parent's home at the cost of employment. Remember that it costs money to earn money if you need to move to a metro area and that cost can exceed the actual income, especially if it is a job without wage growth.

I think semi-permanent WFH changes the equation quite a bit -- one can now live with parents, earn, and save up money to hopefully cross the chasm into the world of sustainable ownership.

[rjbwork]

>I think semi-permanent WFH changes the equation quite a bit -- one can now live with parents, earn, and save up money to hopefully cross the chasm into the world of sustainable ownership.

This is what I'm doing I'm a software dev in my early 30's. A couple of years ago I moved back in with my parents for some health related reasons after being on my own for a decade or so, and ended up staying with them for another health reason.

Then COVID happened and the job I started 6 months earlier went full time remote. Previously I intended to move back to the city because my commute sucked. They've since terminated office leases and seem to be intending to go full time remote for another significant period of time if not permanently. I am saving an insane amount of money and I intend to stay with my parents as long as is feasible.

In a strange way, COVID is the best thing to ever happen to me financially. Home ownership in a dream location is looking to be a feat within reach in less than a decade.

[BitwiseFool]

I also can't compete with Blackrock and other professionally managed funds buying up swaths of homes tens of thousands of dollars over asking price because they want to rent them out later.

[brianxp]

let's fund our own town!

[tacocataco]

It's beyond my technical ability, but I always wished I was able to create an app where contractors could sign up to build a town "at cost" with everyone contributing their specialty. Each finished town would have an electrician/HVAC/etc for repairs or to other business with.

Maybe that would be something to pivot towards. Start with volunteer work. "Let's clean up the beach 6/10". People could earn karma/upvotes from the others who also contributed that's worthless like here, or to spend on stuff donated.

And I'd call it 4us.

Some day it will happen. :)

[BitwiseFool]

Let's just fork China's social credit score system.

[sadfasf122]

Not sure where you live, but 800 sqft condos are going for like $800K here in Toronto.

SFH under 2000 sqft are going for well $1.5M.

Inventory is near all time lows.

[xenihn]

right now, I can reasonably afford a $1.3 million mortgage. i could do more if i was willing to lose the ability to save/invest, and also rent out multiple rooms to strangers

there is nothing at that price point (or below) that i would consider worth the current cost, in any of the cities that I actually want to live in. and even if I found something, it's so unfair that my property tax rate would be so much higher compared to others (california)

i'm just going to save money, invest in things that arent real estate, and emigrate at some point. i think the only exception is if I married someone who was given a house by their family. not too unlikely in the bay area or in southern california, but it's still not something i can bank on. i wouldn't even want to if it was.

[missedthecue]

Well the idea is that you exchange $250k of dollars for $250k of land, brick, and lumber, and those will appreciate at a few percent per year.

Renting on the other hand is money out the door. You're not building any equity.

[whiskyant]

Dang, only $250k for 1400 sqft? That would easily be $1.25M+ here.

[partiallypro]

The pay is probably higher where you are, and in smaller markets (OP) people that are from your market are moving in driving up prices so that natives can't afford anything. That is my current situation as well, in the Nashville market. Homes that were only $300K a few years ago have shot up to $600-700K in just 3 years. A 2 bedroom condo 10 years ago that was $200K is now closer to a million.

[Tiktaalik]

lmao yeah that was my first thought too, and heck that'd be a teardown of a house where I live too. A nice new one much more...