User Panel
User Panel
User Panel
GA, USA
|
Posted: 4/24/2024 10:04:58 AM EDT
https://fortune.com/2024/04/23/housing-market-baby-boomers-home-prices-mortgage-rates-redfin/
Home prices have doubled over the past decade, rising almost 50% in the past five years alone. And the cost of owning a home is the highest on record. This means a lot of people wouldn’t be able to afford their current home if they had to buy it today, according to a Redfin-commissioned survey. Homeowners were asked, “If you were looking to purchase a home, do you think you could afford a home like yours in your neighborhood today?” And almost 40% of respondents said they “probably” or “definitely” couldn’t. Most homeowners who responded to the survey (roughly 80%) have lived in their home for at least five to 10 years. “That means the majority of respondents have seen housing prices in their neighborhood skyrocket since they purchased their home,” the analysis said |
|
|
USA
|
Posted: 4/24/2024 10:07:15 AM EDT
[Last Edit: miseses]
[#1]
Before covid I was almost able to buy a house with cash. Kept waiting thinking prices would drop.
After covid prices exploded so much I had to just buy raw land and build a tiny house myself for cost of materials, because literally everything was gone and what little wasn't was 3x the price it was before. The fed really damned people with young expanding families by pinning interest rates near 0, guaranteeing an arms race to lock in all the housing for 30 years. You simply can't compete with somebody who has a mortgage with negative real interest rates, they'll never sell for less than a kings ransom. In effect they bifurcated the populace -- those who secured housing before or at the beginning of covid, and those who hadn't. It will take at least a decade before the bifurcation starts to wane. |
|
|
OH, USA
|
Posted: 4/24/2024 10:08:16 AM EDT
[#2]
What if they stopped going to Starbucks and eating avocado toast?
|
|
|
TX, USA
|
Posted: 4/24/2024 10:09:37 AM EDT
[Last Edit: ag04blast]
[#3]
Quote HistoryOriginally Posted By Brutus_15: What if they stopped going to Starbucks and eating avocado toast? and tugged on does bootstraps! But seriously... plenty of people will be along soon to say stop whining, better yourself, learn to sacrifice. Yep just save a little and that job that has raised 10% in pay will certainly get you to that home that has raised 50%, 100%, 150%+ in value. Some will admit that the middle class has been getting screwed for years now. Our monetary policies have fucked them all and the younger generations are going to suffer for it. Those that have already made it there (the old generations and even most of the millennials now) are fine - we got "in" before things really got fucked. The "rich elites" that are robbing everyone will be fine. Those trying to make their way up are going to have a tougher and tougher time. Less will "make it" that generations before. |
|
|
PA, USA
|
Posted: 4/24/2024 10:11:31 AM EDT
[Last Edit: DrFrige]
[#4]
Deleted COC6 ~DrFrige
|
|
|
|
Posted: 4/24/2024 10:13:29 AM EDT
[#5]
Quote HistoryOriginally Posted By Dano556x45mm: F the boomers. F the government that caused this. |
|
|
|
|
Posted: 4/24/2024 10:14:24 AM EDT
[#6]
Quote HistoryOriginally Posted By Brutus_15: What if they stopped going to Starbucks and eating avocado toast? |
|
|
|
TX, USA
|
Posted: 4/24/2024 10:16:57 AM EDT
[#7]
Quote HistoryOriginally Posted By R2point0: My daughter is 28 and lives a very frugal life. She doesn't make a lot for the Northern VA area, yet she's still managed to save up almost 40k. But housing prices around here are simply out of reach. As it is she splits an apartment with a roommate and still spends 40% of her take-home on housing. Yes, she's looking for another job, but she could bump her salary by 50% and still be priced out of the market. Quote HistoryOriginally Posted By R2point0: Originally Posted By Brutus_15: What if they stopped going to Starbucks and eating avocado toast? I often wonder if we continue on the path we are on if we will see Generational Mortgages become a thing in the US. |
|
|
WI, USA
|
Posted: 4/24/2024 10:17:10 AM EDT
[#8]
No way could I afford to buy my house for what it's worth today. It's quadrupled in value in the 30 years I've owned it. My pay has not kept up.
I feel bad for the new generation of renters. They will end up with the government and situation they voted for. |
|
|
WI, USA
|
Posted: 4/24/2024 10:17:16 AM EDT
[#9]
I think this goes for a lot of folks who bought homes pre-2020 not just boomers. I bought my nice little house as a single man for $92k in 2015 with a 3 something interest rate. It's now valued around $200k and with current interest rates at around 7% .faaack man, I'm not saying I couldn't afford it but life would certainly be different. We now have 2 kids and are having a hard time figuring out how we are going to upgrade our housing situation
|
|
|
|
Posted: 4/24/2024 10:17:29 AM EDT
[#10]
Half of baby boomers or more are retired. Maybe I am crazy but isn’t it typically accepted that you buy a home when you have the most income?
|
|
|
|
|
Posted: 4/24/2024 10:18:06 AM EDT
[Last Edit: Firearmsenthusiast]
[#11]
It's not just boomers. We bought a project house in 2018, and moved in. We are only half way done with it, and we could not afford to buy it today. Well we could, but there is no way I would. Our payment would be double. When we are done with renovations, we will be living in house we could not otherwise have afforded.
Yeah ok, it great for us, but it is no way a sustainable market. |
|
|
|
|
Posted: 4/24/2024 10:18:38 AM EDT
[#12]
I definitely couldn't.
|
|
|
|
|
Posted: 4/24/2024 10:20:17 AM EDT
[#13]
Ah, boomer hate Wednesdays.
|
|
|
|
OH, USA
|
Posted: 4/24/2024 10:20:55 AM EDT
[#14]
Quote HistoryOriginally Posted By R2point0: My daughter is 28 and lives a very frugal life. She doesn't make a lot for the Northern VA area, yet she's still managed to save up almost 40k. But housing prices around here are simply out of reach. As it is she splits an apartment with a roommate and still spends 40% of her take-home on housing. Yes, she's looking for another job, but she could bump her salary by 50% and still be priced out of the market. I’m in a very similar boat, and so are a lot of my peers. It’s a little demoralizing, did everything right, saved, and now I’ve pretty much given up and will play the wait and see game over the next few years. |
|
|
USA
|
Posted: 4/24/2024 10:21:30 AM EDT
[#15]
If the average person cannot afford the cost of the average house what does that tell you?
It tells you there will be a crash in prices sooner or later. Then there will be belly aching as people owe more than their house is worth. Government bailout for these hapless people comes next. |
|
|
USA
|
Posted: 4/24/2024 10:22:17 AM EDT
[Last Edit: miseses]
[#16]
Quote HistoryOriginally Posted By Brutus_15: I’m in a very similar boat, and so are a lot of my peers. It’s a little demoralizing, did everything right, saved, and now I’ve pretty much given up and will play the wait and see game over the next few years. Quote HistoryOriginally Posted By Brutus_15: Originally Posted By R2point0: My daughter is 28 and lives a very frugal life. She doesn't make a lot for the Northern VA area, yet she's still managed to save up almost 40k. But housing prices around here are simply out of reach. As it is she splits an apartment with a roommate and still spends 40% of her take-home on housing. Yes, she's looking for another job, but she could bump her salary by 50% and still be priced out of the market. I’m in a very similar boat, and so are a lot of my peers. It’s a little demoralizing, did everything right, saved, and now I’ve pretty much given up and will play the wait and see game over the next few years. Find a place with no building codes and haul in a trailer. Lower your standards, and become trailer trash. Basically what we did, but I built a shanty-house because I am too poor for a trailer. Better than renting. |
|
|
|
Posted: 4/24/2024 10:22:17 AM EDT
[#17]
"No one is coming. It's up to us."
|
|
|
|
AR, USA
|
Posted: 4/24/2024 10:22:52 AM EDT
[#18]
No shit. I'm a millennial, and it's still true.
|
|
|
|
Posted: 4/24/2024 10:23:28 AM EDT
[#19]
Quote HistoryOriginally Posted By ScopeScar: F the government that caused this. Quote HistoryOriginally Posted By ScopeScar: Originally Posted By Dano556x45mm: F the boomers. F the government that caused this. The government caused homes to increase in value? Hasn’t real estate historically done that all on its own? |
|
|
|
|
Posted: 4/24/2024 10:24:42 AM EDT
[#20]
There's no way I'd find another house for $77K like we did in 2005. It's small, 1100sqft 1957 ranch, full basement, 2+ car garage on 1/2 acre, but it's enough for the 2 of us if we had about 12 yard sales.
|
|
|
|
|
Posted: 4/24/2024 10:24:49 AM EDT
[Last Edit: pestilence12]
[#21]
My wife and I were lucky to get in a couple of years before COVID. We scrimped and saved, cashed in the last remaining mature bonds my grandfather left me, and went all in on getting a house.
Four years later, COVID. Now, in 2024, the gov is saying my house is worth double what I purchased it for in 2016. The taxes have gone through the roof (especially since my property came with a little land). I'm lucky there's one insurance company that will still insure me (fire risk). I can't fathom trying to buy right now. Housing prices are absolutely insane. We hired a young guy at my work, and the rental prices discussion came up. Turns out, he's renting in the same area I used to live in during college, on the poor side of town. I lived in a 3 bedroom four-plex, rent was $750 a month for the whole unit. Had 2 roommates, so my rent was $250 (which I paid by working a seasonal forestry job, plus a weekend job, and an overnight job, all while in school full-time). His unit is renting right now for 2k, and his portion is $650. I could see in real time his heart breaking when I told him what I paid for that same unit 15 years ago. It's so fucked up, this whole thing. I count my lucky stars and thank God daily for a roof over my families' head. I pray the situation improves for people, soon. |
|
|
|
USA
|
Posted: 4/24/2024 10:25:56 AM EDT
[Last Edit: miseses]
[#22]
Quote HistoryOriginally Posted By redfish86: The government caused homes to increase in value? Hasn’t real estate historically done that all on its own? Quote HistoryOriginally Posted By redfish86: Originally Posted By ScopeScar: Originally Posted By Dano556x45mm: F the boomers. F the government that caused this. The government caused homes to increase in value? Hasn’t real estate historically done that all on its own? Yes. Interest rates pinned near 0 lowered the cost of borrowing. This created an arms race to secure these mortgages at 0%, with ever increasing bids. Then 30 year mortgages locked in these rates. Then the fed reverse, creating a sort of ratcheting effect. No one wants to give up the negative real rate mortgage, asr opportunity cost of selling is high. You would have to compensate them for their loss -- only now you must compensate verse a high interest rate. At the same time, no one wants to buy because interest rates and cost of borrowing are now high. The result -- low home sales and a bifurcation of the market. The housing supply is gone, and will be for a decade+. |
|
|
|
Posted: 4/24/2024 10:26:11 AM EDT
[#23]
no shit
|
|
|
|
|
Posted: 4/24/2024 10:26:18 AM EDT
[#24]
Quote HistoryOriginally Posted By redfish86: The government caused homes to increase in value? Hasn't real estate historically done that all on its own? Quote HistoryOriginally Posted By redfish86: Originally Posted By ScopeScar: Originally Posted By Dano556x45mm: F the boomers. F the government that caused this. The government caused homes to increase in value? Hasn't real estate historically done that all on its own? |
|
|
|
WI, USA
|
Posted: 4/24/2024 10:26:26 AM EDT
[#25]
Boomers? Hell this is probably true of anyone that’s owned their house now for 10+ years.
|
|
|
MI, USA
|
Posted: 4/24/2024 10:27:38 AM EDT
[#26]
Quote HistoryOriginally Posted By miseses: Before covid I was almost able to buy a house with cash. Kept waiting thinking prices would drop. After covid prices exploded so much I had to just buy raw land and build a tiny house myself for cost of materials, because literally everything was gone and what little wasn't was 3x the price it was before. The fed really damned people with young expanding families by pinning interest rates near 0, guaranteeing an arms race to lock in all the housing for 30 years. You simply can't compete with somebody who has a mortgage with negative real interest rates, they'll never sell for less than a kings ransom. In effect they bifurcated the populace -- those who secured housing before or at the beginning of covid, and those who hadn't. It will take at least a decade before the bifurcation starts to wane. Add in tax and spend policies from gov and you've pretty much covered it imho. I could buy my house at todays prices and interest rates. |
|
|
TX, USA
|
Posted: 4/24/2024 10:27:45 AM EDT
[#27]
I’m mid fifties. There is no way in hell I could afford to buy my property today on what our household makes. Property across the street from me just listed for 1.5M. But then again, when I was 24 years old, I could barely afford the starter home we purchased. That starter home value grew over the next 20 years and together with that and saving ( a lot of saving and sacrifice) and buying the land my house is on now several years before we built has all helped. Growing wealth and acquiring property usually takes time.
|
|
|
|
Posted: 4/24/2024 10:28:10 AM EDT
[#28]
This has always been the case.
|
|
|
|
|
Posted: 4/24/2024 10:28:57 AM EDT
[#29]
Quote HistoryOriginally Posted By redfish86: The government caused homes to increase in value? Hasn’t real estate historically done that all on its own? Quote HistoryOriginally Posted By redfish86: Originally Posted By ScopeScar: Originally Posted By Dano556x45mm: F the boomers. F the government that caused this. The government caused homes to increase in value? Hasn’t real estate historically done that all on its own? Did you get your covid checks? You can not print billions of dollars and not have inflation. |
|
|
|
|
Posted: 4/24/2024 10:29:53 AM EDT
[#30]
Oh look another boomer hate thread.
How about hate the politicians who engineered this shitstorm. Who engineered the whole COVID bullshit who spend all our money. And allow us to be invaded. But lets blame your fellow citizen and take the spotlight off the politicians who are happy to see us fight each other. |
|
|
|
|
Posted: 4/24/2024 10:31:02 AM EDT
[#31]
Quote HistoryOriginally Posted By 73RR: Oh look another boomer hate thread. How about hate the politicians who engineered this shitstorm. Who engineered the whole COVID bullshit who spend all our money. And allow us to be invaded. But lets blame your fellow citizen and take the spotlight off the politicians who are happy to see us fight each other. Those politicians were boomers. |
|
|
|
NC, USA
|
Posted: 4/24/2024 10:31:35 AM EDT
[#32]
Dumb article. Clickbait title. Meaningless statistics.
Boomers are almost 80 years old. So an 80yo couldn't afford to buy their current home, at the current price, on a retiree's income? No shit. Did they compare the Boomer's historical income and original purchase price to to inflation adjusted figures representing modern dollars? Nope. |
|
|
|
Posted: 4/24/2024 10:31:40 AM EDT
[#33]
|
|
|
|
|
Posted: 4/24/2024 10:32:27 AM EDT
[#34]
I would swap my house for anyone's youth. We bought our house for 127k in 1994. Our combined income was about 45500. Our house is now worth 400000 and our combined income is around 155000. I wouldn't finance my house currently.
|
|
|
|
|
Posted: 4/24/2024 10:32:54 AM EDT
[#35]
Quote HistoryOriginally Posted By ag04blast: I often wonder if we continue on the path we are on if we will see Generational Mortgages become a thing in the US. Quote HistoryOriginally Posted By ag04blast: Originally Posted By R2point0: Originally Posted By Brutus_15: What if they stopped going to Starbucks and eating avocado toast? I often wonder if we continue on the path we are on if we will see Generational Mortgages become a thing in the US. I saw an add on TV last night about assuming the mortgage of the home you want to buy. I think it might have been a realator.com ad but made me think, that would be something. |
|
|
|
|
Posted: 4/24/2024 10:33:04 AM EDT
[#36]
I haven't worked in 17 years.
Why would I want to buy a house? I have two, that's enough. |
|
|
|
|
Posted: 4/24/2024 10:33:34 AM EDT
[#37]
If you can't see that the "Great Reset" globalist push is behind this, and that it's all deliberate, you are a moron. Just keep hollering " boomers did this" or "millenials did this" while these fucking globohomos sit back and laugh. Some day a real rain will come....
|
|
|
|
|
Posted: 4/24/2024 10:35:27 AM EDT
[#38]
How many thousands of times have you heard "your home is not an investment"?
Turns out, maybe it was. |
|
|
|
|
Posted: 4/24/2024 10:35:35 AM EDT
[#39]
I am retired and my wife is in pre retirement mode working part time.
There is no way we could afford to buy our house and property now. If we were still both working full time we might be able to swing it but it would be very difficult and in reality we wouldn't take on that large of a payment. |
|
|
|
|
Posted: 4/24/2024 10:36:20 AM EDT
[Last Edit: pestilence12]
[#40]
Quote HistoryOriginally Posted By cavedog: Ah, boomer hate Wednesdays. It's not hate. It's a statement of fact. Housing prices have skyrocketed. If you secured a mortgage for a home 15-25 years ago (when most millennials were still in high school), your home would be double, triple, or quadruple the value today (depending on area). Boomers are lucky they were in the market before this. Boomers I know will say "yeah the house was only 40k, but my interest rate was 12%! I got rejected for 2 mortgages before I finally got a house!". Yeah that's unfortunate and all, but at least there were houses for sale that you could actually afford with your current pay. That is not the case today. Also, if you did have to rent, it wasn't costing 40% of your fucking monthly income. I don't hate boomers. I hate the attitude that seems to come with them. "bootstraps, wasting money on cell phones and Netflix, get a better job, etc. etc.". Man, I DID ALL THAT. I lived poor as fuck from 18-28. I'm still not in a wealthy state. I have a little spending money now and then but man, shit is tight. I went to college, I believed all the lies. School grades -> college -> high paying job -> house, car, family. Bullshit. I'm not blaming boomers for the current situation, I'm blaming them for sitting smug and telling millennials that it's not that bad and to toughen up. It's BAD right now. |
|
|
|
|
Posted: 4/24/2024 10:36:29 AM EDT
[#41]
More bitching about how it’s SO HARD for young people today.
My parents’ home isn’t their first house. Or even their second. There was a long line of houses that were bought/sold before it, as their careers progressed. |
|
|
|
PA, USA
|
Posted: 4/24/2024 10:37:12 AM EDT
[#42]
Quote HistoryOriginally Posted By redfish86: The government caused homes to increase in value? Hasn’t real estate historically done that all on its own? Hey man, don’t be shitting on my antigovernment rage. |
|
|
USA
|
Posted: 4/24/2024 10:38:38 AM EDT
[Last Edit: miseses]
[#43]
Quote HistoryOriginally Posted By Mall-Ninja: More bitching about how it’s SO HARD for young people today. My parents’ home isn’t their first house. Or even their second. There was a long line of houses that were bought/sold before it, as their careers progressed. I don't blame boomers for much of this, but they are responsible for the passing of zoning that made those first houses they bought impossible to build in many areas. Minimum sq ft requirements, ever more onerous codes, all while they grandfathered their own properties from being subject to the law they imposed on their children were a significant factor in making it impossible for some to get to step A in the progression. To build our DIY house, one commonly made by boomers small "craftsmen home" I literally had to find one of the few counties in the entire US that still allows that anywhere near civilization. And navigate the minefield of HOA/CC&Rs that boomers spoiled the title with, forever encumbering property with their demands. |
|
|
SC, USA
|
Posted: 4/24/2024 10:38:47 AM EDT
[#44]
Quote HistoryOriginally Posted By JimEb: Boomers? Hell this is probably true of anyone that’s owned their house now for 10+ years. Or really just bought before 2020. We signed on our house build in late 2019, builder told us that if we built today the house would cost 30-40% more, and the land we bought for 125k in around 2017 would probably be worth at least twice if not 3x what we paid. And I'm technically millennial ('82) |
|
|
CT, USA
|
Posted: 4/24/2024 10:40:15 AM EDT
[#45]
Quote HistoryOriginally Posted By cavedog: Ah, boomer hate Wednesdays. 
|
|
|
NV, USA
|
Posted: 4/24/2024 10:40:37 AM EDT
[#46]
Originally Posted By phungus: https://fortune.com/2024/04/23/housing-market-baby-boomers-home-prices-mortgage-rates-redfin/ Home prices have doubled over the past decade, rising almost 50% in the past five years alone. And the cost of owning a home is the highest on record. This means a lot of people wouldn’t be able to afford their current home if they had to buy it today, according to a Redfin-commissioned survey. Homeowners were asked, “If you were looking to purchase a home, do you think you could afford a home like yours in your neighborhood today?” And almost 40% of respondents said they “probably” or “definitely” couldn’t. Most homeowners who responded to the survey (roughly 80%) have lived in their home for at least five to 10 years. “That means the majority of respondents have seen housing prices in their neighborhood skyrocket since they purchased their home,” the analysis said So their investment paid off? Does them not working have anything to do with purchasing a home? Are they still living in the first home (starter home) they purchased or have they upgraded at least once? There is so much ignorance in this article it is amazing someone would believe it. |
|
|
|
Posted: 4/24/2024 10:41:49 AM EDT
[#47]
Property we purchased in 2018 for 145K now has an assessed value of 800K. A couple of similar properties around it are listed at 1M now.... This has got to crash.
|
|
|
|
NV, USA
|
Posted: 4/24/2024 10:42:38 AM EDT
[#48]
Quote HistoryOriginally Posted By pestilence12: It's not hate. It's a statement of fact. Housing prices have skyrocketed. If you secured a mortgage for a home 15-25 years ago (when most millennials were still in high school), your home would be double, triple, or quadruple the value today (depending on area). Boomers are lucky they were in the market before this. Boomers I know will say "yeah the house was only 40k, but my interest rate was 12%! I got rejected for 2 mortgages before I finally got a house!". Yeah that's unfortunate and all, but at least there were houses for sale that you could actually afford with your current pay. That is not the case today. Also, if you did have to rent, it wasn't costing 40% of your fucking monthly income. I don't hate boomers. I hate the attitude that seems to come with them. "bootstraps, wasting money on cell phones and Netflix, get a better job, etc. etc.". Man, I DID ALL THAT. I lived poor as fuck from 18-28. I'm still not in a wealthy state. I have a little spending money now and then but man, shit is tight. I went to college, I believed all the lies. School grades -> college -> high paying job -> house, car, family. Bullshit. I'm not blaming boomers for the current situation, I'm blaming them for sitting smug and telling millennials that it's not that bad and to toughen up. It's BAD right now. I’m pretty sure the baby boomers made it through a stock market collapse, gas shortages, another economic depression, and still found a way to keep their dream alive. Millennials can toughen up, and Generation Z can be the ones crying about home prices. Maybe Gen X could learn the difference between Z and Millennial. |
|
|
|
Posted: 4/24/2024 10:43:16 AM EDT
[#49]
I bought right after the housing market collapsed last time, no way I could buy it today.
|
|
|
|
USA
|
Posted: 4/24/2024 10:44:30 AM EDT
[#50]
I bought my home in 2020 and wouldn't be able to afford it today because rates have doubled
|
|
|
Win a FREE Membership!
Sign up for the ARFCOM weekly newsletter and be entered to win a free ARFCOM membership. One new winner* is announced every week!
You will receive an email every Friday morning featuring the latest chatter from the hottest topics, breaking news surrounding legislation, as well as exclusive deals only available to ARFCOM email subscribers.
AR15.COM is the world's largest firearm community and is a gathering place for firearm enthusiasts of all types.
From hunters and military members, to competition shooters and general firearm enthusiasts, we welcome anyone who values and respects the way of the firearm.
Subscribe to our monthly Newsletter to receive firearm news, product discounts from your favorite Industry Partners, and more.
Copyright © 1996-2024 AR15.COM LLC. All Rights Reserved.
Any use of this content without express written consent is prohibited.
AR15.Com reserves the right to overwrite or replace any affiliate, commercial, or monetizable links, posted by users, with our own.
Attached File
