i’m over half, and expecting yet another rent increase soon.
Who are the half that make the 7 figures required to not spend half your income on housing?
Did they just fully make up have the surveyed population?
$1400/mo, the rough figure from the article, is 30% of $56k/yr. If you made $1m, 30% of that would give you $25,000/mo. How do you figure?
Median household is apparently 80k now. 30 percent of that monthly is 2,000.
In my city 2,000 will rent you an infested place with water damage from the flood a year ago. But if the city comes around you have to pretend not to live there or else they’ll kick you out.
Don’t forget that household income is everyone in the house. So if you are all poor college kids with part time jobs making 15-20k a year your household income will still be close to or at the median, even though each of you are individually really poor
That’s not nearly the normal though. Dual income households are the norm by far.
Sure but any part time jobs the kids have also count towards median household income I assume
That’s like a 2 year period in an 18 year living situation.
Kids live at home a lot longer now 😂 way more than two years haha
I wonder if it’s net or gross.
Besides, it’s not seven figures, just mid-six figures necessary for that.
The typical “30% on income” advice is based on gross, not net. Which is about 93,000 a year for the median mortgage payment right now.
I lived in a place that cost 800$ a month for a room in the bay area and I was taking home more than 60% of my income working full time.
It’s doable, and it doesn’t mean only rich people aren’t rent burdened…
Maybe roommates?
You don’t need remotely close to that income level. 200k household income will get you a nice home at a reasonable price.
Oh yeah just 2.5 times the median household income, no problem. Hey while we’re here can I have a million dollar loan?
Never said it was inexpensive. It’s just not nearly as expensive as you all make it seem. 15% of the country does hit this number and 25% are close.
Y’all out pretending nobody is buying houses.
No no we know people are buying houses. It’s just hard to compete when that person is Black Rock and they bought an entire development before it even hit the market.
Corporate owners own less than 4% of single family homes.
It’s not okay and that does put pressure on the market. We should strive to minimize that.
It’s not the hellscape you want it to be. $2500/mo still buys you a 2400sq ft home in a nice neighborhood in moderate CoL areas. Again that price is out of reach for many, but home ownership rates for Gen Z is higher than millennials when adjusted for age. Most of America own their homes.
It really doesn’t mean anything to say what a home might cost in a certain area, without specifying that area. People can’t just move across the country, because they don’t have jobs. And if you’re putting them in a situation where they would have to commute an hour and a half each way, that has its own set of issues.
The numbers that you include look nice, but I’ve seen a lot of other numbers that don’t look nice. Obviously this all depends where you live, how much money you have, and what kind of place you want to buy.
And yet the home ownership rates increase.
Again, it’s far from perfect. Not the hellscape described. Again, MOST (Almost 70%), will own their homes when they retire.
Well that’s a flat out lie. CoreLogic straight up tells anyone willing to read that investors own 20-30 percent of housing in every state. And they’re 30 percent of the purchasing for houses on the market every month.
Just to point out, with the median mortgage at $2349 a month, it’s more like you need a household income of $93,000 a year (probably closer to $100k with utilities and other expenses) for your housing costs to equal 30% of your income. That is steep for a lot of people, but still much more attainable than 7 figures. A quick Google says that makes up around 37% of US households as of 2022. Still doesn’t quite add up to their figures, admittedly, unless “nearly half” is doing a lot of work in that sentence.
deleted by creator
same. I remember being told 1/3 was the ideal, and thinking “you aren’t spending twice that?”
I’m wondering if the people in this thread who are saying they pay less than 30% of their income on rent as if it’s some sort of trick or achievement actually understand percentages since they don’t seem to understand that the “nearly half” part of the headline puts them in the majority…
Same people that refuse a pay raise because they don’t understand the core concept of tax tables.
I don’t know anyone spending less than half of their income on housing.
they make your walls so thin so you can hear your landlord masturbating to this
I actually thought 30% housing was the norm for the past 10 years?
The goal but never the reality.
Ideally rent should be 1/4th or less of your budget
LOL
deleted by creator
My rent doubled in five years.
The place I used to rent is also doubled.
Everything doubled.
We should build and fund more public housing.
Unfortunately, a large chunk of the country doesn’t believe the government can or should do anything, so I guess that’s a difficult pitch to make.
This is the solution. Unfortunately in the United States when most people think of government housing you think of run down slums.
We need to follow the examples of Austria’s social housing. https://youtu.be/41VJudBdYXY
I really liked this, especially since quality, quality of life including ample green space is incorporated. Thank you for sharing.
I really wish we’d get that here but… it’s the US. Profit over people.
Yes; I’m wondering if political/natural disaster might accidentally converge to increase the odds?
I wish. I’m at a little below half lately.
Us too.
And that is only going to go up. In my area at least, the price of rent has gone up ~15% per year for the last 5 years. In 5 more years the apartment I was renting will cost more per year than my house payment.
Your daily reminder that basic housing should be absolutely zero fucking dollars because housing should be a human right, and anything above 0% should be criminal.
I know that rent has gone up, but you definitely can hack it. I never spent more than 30% of my take home pay on rent. I managed that by looking at places that fit my budget or living with roommates. Pretty much you won’t have very good luck if you’re a single person trying to rent your own place though. In terms of finding places within budget, I always avoided any type of new buildings built in the last five to ten years or so. The cost of those is usually highest. They’ll promise flashy amenities, but it’s usually not worth it. Also, avoid corporate landlords. If you can, find a mom and pop landlord that’s been in business for awhile. They usually have better deals and don’t go up on rent every year provided you’re a good tenant that pays on time and doesn’t cause any stresses for them. You’ll have the best luck with this if you stick to places where people list their own properties like Craigslist, Facebook marketplace, etc. Avoid spots that corporate landlords use like apartments.com.
Edit: Or, don’t. Ignore this advice and pay through the nose. You’ll be renting forever.
