A 79% jump in income needed to buy a home is not just a data point—it’s a red flag that the American Dream is slipping out of reach for millions.
If you're serious about wealth building in this environment, start actively investing in alternative assets that hedge against inflation and rising housing costs—waiting isn't a strategy.
A primary reason US housing has become unaffordable is because large foreign banks are competing with everyday Americans for single family and multifamily residences. Deutsche Bank, UBS, RBS, Credit Suisse and others have been buying single family homes for nearly a decade and then renting them to what would otherwise be buyers now pushed out of the market. A recent statistic is chilling: a small Midwestern town was devastated by a tornado. Residents of single-family homes were left without shelter, waiting for the homes to be rebuilt. They weren't allowed to do anything more than gather personal belongings. Why? 87% of the homes were rentals owned by a foreign bank. This in the middle of Kansas. The same foreign banks clobbered by the mortgage securitization scams of 2007 are likely exacting their revenge, only it's average Americans that are paying the price. How to fix this? Clamp down on foreign ownership of real estate, let the big banks unwind their positions over a few years and then wage growth will eventually bring single family homes within reach again. The bad news: pernicious US currency devaluation for years to come.
Surprising that the household incomes are at those numbers for a typically valued home of $360k. The down payment of 20% is a lot for someone earning those amounts?
I bought my house in 1983 when interest rates were high, but the house price was about $600K lower than the current Zillow estimate. Over the years, as the interest rates dropped considerably, I refinanced a couple of times and took some of the equity out. In 1997, a one-time exclusion ($250K single, $500K married couple) was passed for capital gains tax after selling your primary residence. The disincentive for me to sell the house is that MUCH of the capital gain of the house is FAKE. It's mostly currency debasement (inflation) since 1983. Even since 1997, and using the low-ball government estimates of inflation, the purchasing power of the dollar has almost been cut in half. If I were to sell my house now, because, the exclusion has not been indexed to inflation, I would be paying a lot of capital gains tax and California income tax on FAKE gains from 1983. I would be much more likely to sell my house if the exclusions were $500K single and $1M married. I know other boomers in the same boat, and it's one reason boomers aren't selling, so there isn't as much inventory available.
Why do you start with 2020? There was practically no price change from 2020 to 2021:
Jan. 2020 -> $51,646, Jan. 2021 -> $51,740
The real prices increases began under Biden thanks to absurd and unnecessary post-Covid spending. Grow some balls and put the blame on housing prices and inflation where it belongs...on Democrats.
I believe you misspelled “scamdemic era”, no biggie, a lot of people still think there was a killer boogeyman chasing them around in 2020 and simply “disappeared” because millions of people were tricked/coerced by billionaires into poisoning themselves for power and profit … 🤔… or was that just a stupid movie script that never got produced because, obviously, the average Joe Bloggs wouldn’t be dumb enough to fall for that?
We were blessed to have locked in a 2.85% mortgage. Problem now is, it doesn’t make any financial sense to move as our housing costs would easily double.
A 79% jump in income needed to buy a home is not just a data point—it’s a red flag that the American Dream is slipping out of reach for millions.
If you're serious about wealth building in this environment, start actively investing in alternative assets that hedge against inflation and rising housing costs—waiting isn't a strategy.
A primary reason US housing has become unaffordable is because large foreign banks are competing with everyday Americans for single family and multifamily residences. Deutsche Bank, UBS, RBS, Credit Suisse and others have been buying single family homes for nearly a decade and then renting them to what would otherwise be buyers now pushed out of the market. A recent statistic is chilling: a small Midwestern town was devastated by a tornado. Residents of single-family homes were left without shelter, waiting for the homes to be rebuilt. They weren't allowed to do anything more than gather personal belongings. Why? 87% of the homes were rentals owned by a foreign bank. This in the middle of Kansas. The same foreign banks clobbered by the mortgage securitization scams of 2007 are likely exacting their revenge, only it's average Americans that are paying the price. How to fix this? Clamp down on foreign ownership of real estate, let the big banks unwind their positions over a few years and then wage growth will eventually bring single family homes within reach again. The bad news: pernicious US currency devaluation for years to come.
Surprising that the household incomes are at those numbers for a typically valued home of $360k. The down payment of 20% is a lot for someone earning those amounts?
I bought my house in 1983 when interest rates were high, but the house price was about $600K lower than the current Zillow estimate. Over the years, as the interest rates dropped considerably, I refinanced a couple of times and took some of the equity out. In 1997, a one-time exclusion ($250K single, $500K married couple) was passed for capital gains tax after selling your primary residence. The disincentive for me to sell the house is that MUCH of the capital gain of the house is FAKE. It's mostly currency debasement (inflation) since 1983. Even since 1997, and using the low-ball government estimates of inflation, the purchasing power of the dollar has almost been cut in half. If I were to sell my house now, because, the exclusion has not been indexed to inflation, I would be paying a lot of capital gains tax and California income tax on FAKE gains from 1983. I would be much more likely to sell my house if the exclusions were $500K single and $1M married. I know other boomers in the same boat, and it's one reason boomers aren't selling, so there isn't as much inventory available.
Why do you start with 2020? There was practically no price change from 2020 to 2021:
Jan. 2020 -> $51,646, Jan. 2021 -> $51,740
The real prices increases began under Biden thanks to absurd and unnecessary post-Covid spending. Grow some balls and put the blame on housing prices and inflation where it belongs...on Democrats.
I believe you misspelled “scamdemic era”, no biggie, a lot of people still think there was a killer boogeyman chasing them around in 2020 and simply “disappeared” because millions of people were tricked/coerced by billionaires into poisoning themselves for power and profit … 🤔… or was that just a stupid movie script that never got produced because, obviously, the average Joe Bloggs wouldn’t be dumb enough to fall for that?
We were blessed to have locked in a 2.85% mortgage. Problem now is, it doesn’t make any financial sense to move as our housing costs would easily double.