‘This Is Unprecedented’: Why America’s Housing Market Has Never Been Weirder

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>The typical 2020 homebuyer made nearly $100,000 What the hell are y’all doing for work?

madeup6

I think this is a shadow of housing problems from the 2008 crisis. Suddenly everyone stopped building houses because they got so cheap, so we lost a few years worth of construction. Then everything ramped up a few years back with boomers getting back into houses and suddenly there aren’t enough for millennials, especially with investors buying them up for pennies in 2011. As boomers decline I believe the prices will go down but i fear it will take a while.

drumdogmillionaire

Am 34, make 20/h part time in supply chain chemical production planning and live with my dad after my mom died of cancer. My dad cares for my 38 year old down syndrome brother. It’s been a hard year us, with Covid and mother passing. I’m pursuing an MBA part time while working this new role. I will probably never be able to afford a home nor even get married or have kids. I’m not that great at relationships either. It’s tough out there. I didn’t make good choices early in life but I’m paying for that. I don’t envy those who are in the buying market for a home right now. You might be overpaying for something in value that may come down but, as others have said, there are no signs of it slowing down. I have thought about moving out of the country. I’m seeing Germany as one of the top countries that Millennials like in rankings (unemployment rate, salary, rent costs, etc). I’m not sure I could learn another language as I wear hearing aids. I’m kinda dating a French woman right now (its complicated) and am learning French on Duolingo just to learn something new and impress her. I’m hoping that in a year or two, after being in my new role (I was unemployed all of last year even though supply chain business was going gang busters in some sectors), that I can leverage my new found skill-sets in the job market. Who knows, maybe my life will turn out OK as for many others who may be in my position.

BlueOceanMBA

It’s amazing watching my home appreciate 9% YoY but this can’t possibly end well. This only tells you the part of home purchase, but have you read any articles of how buyers are skipping inspections and bidding up 10%-15% asking prices just to get into a home that’s falling apart or attacked by legally protected birds (no joke). Yes millennials are buying, but millennials aren’t necessarily the best shoppers especially if they’re FOMOing everything in sight. Although I can see the long term benefits (because prices will be victim to gravity…eventually) as rent & home ownership become affordable again, I think the last piece of the puzzle would be that increase in minimum wage to help the lower end get up. But that’s a whole other discussion for another day.

tendiebater

It would be interesting to see how much this along with the WFH trend could ultimately create a bit of deurbanization (i.e. pushing people out into smaller towns and cities). There are lots of towns still in decent shape and with declining populations where housing is quite cheap.

ontrack