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the "I can't buy a home like my parents" narrative is BS

Posted on: May 21, 2025 at 13:45:53 CT

tigerinhogtown STL

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63854

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M.O.B. Votes:

most will find this too long to bother with.

In 1981 I bought a 1500 sf home built in 1905 for $40k with a mortgage at 17% - $460/ month (thanks Carter) on a salary of $21k as a construction engineer(sold this one at $38k a $2k loss). That same home is now valued by Zillow at $165k basically a 4x increase ($925/month, a 2x increase). A new hire construction engineer starts at $75k a 3.5x increase, figure in the 10% drop in mortgage rates and it is a wash.

For all mortgage payment numbers I assumed 20% down, 7.5% current mortgage rate, and did not include insurance or taxes expecting that they have increased at close to the same rate as home values.

In 1984 I bought a 2300 sf home (built in the 1960s) for $70k with a mortgage rate at 13% ($640/month) on a salary of $28k sold it 2 years later for $82k. It's current Zillow value is $300k (1,680/month, a 3x increase), little better than 4x increase in value. An experienced construction engineer makes $90k, little better than a 3x increase.

In 1986 I bought a new 2200 sf home for $145k with a mortgage rate of 11% ($1,100/month)on a salary of $48k (top of the field for a project engineer at the time). Sold it 8 years later for $148k (did not do well). It's current Zillow value is $430k ($2,400/month a 2.2x increase) a 3x increase and the top salary for a construction engineer is currently $125k, 2.5x increase.

In 1994 I bought a 2200 sf home built in 1979 for $148,000 with a mortgage rate of 8.5% ($910/mo)on a construction project manager salary of $58k. Sold it in 1995 for $154,000. It's current value is $380,000 ($2,125/mo, 2.33x increase) a 2.5x increase, construction project manager salaries are in the $110 range, a 1.9% increase.

Please explain why this message is being reported.

REPLY

MESSAGE THREAD

the "I can't buy a home like my parents" narrative is BS - tigerinhogtown STL - 5/21 13:45:53

What this narrative really means is: My parents have worked - RayKinsella1922 SEC - 5/21 14:35:00

yeah, all the stories compare "average home price" - tigerinhogtown STL - 5/21 14:39:09

kids don't need 30 dolls, they only need 2 (nm) - KCT-BoneTiger MU

- 5/21 14:36:09

man....you're really shaken up your doll collection - CulturedDan MU

- 5/21 15:26:26

What they need is a 5,000 square foot home with a pool, - RayKinsella1922 SEC - 5/21 14:38:09

You missed a big issue in your post - AWOLTiger KC - 5/21 14:12:18

can't disagree with any of that - tigerinhogtown STL - 5/21 14:24:24

True, and location is critical in real estate. - RHAYWORTH MU - 5/21 14:19:25

I just put in an offer on this house - KCT-BoneTiger MU

- 5/21 14:31:41

I am all cash bid so you lose(nm) - tman MU - 5/21 14:52:24

Generally agree with this(nm) - meatiger MU - 5/21 14:17:06

You are ignoring a major factor and that is investment biz - TigerMatt STL - 5/21 13:55:45

This is massive and I'm surprised not talked about more - Eggs MU - 5/21 14:31:02

What can be done about it? - meatiger MU - 5/21 14:38:24

In my case I made the choice to sell to 1st time buyers - tigerinhogtown STL - 5/21 14:46:11

I blame that on realtors. The BS they try to pull on - tigerinhogtown STL - 5/21 14:35:41

I gave you current prices in each example - tigerinhogtown STL - 5/21 13:57:38

Did you see the story out of Bentonville last night about - KCT-BoneTiger MU

- 5/21 14:08:06

to be more precise about the source...it is the Waltons - tigerinhogtown STL - 5/21 14:27:53

Zillow value is useless if the house isn’t on the market.(nm) - TigerMatt STL - 5/21 13:59:14

not true at all. sold 2 recently and working on a 3rd - tigerinhogtown STL - 5/21 14:04:10

Pricing is irrelevant when there is no inventory.(nm) - TigerMatt STL - 5/21 14:49:24

that's not the argument, the argument is that they have - tigerinhogtown STL - 5/21 14:51:35

They have. You have to look at prices on available - TigerMatt STL - 5/21 15:04:30

just searched Bentonville, Ark. practically no inventory - KCT-BoneTiger MU

- 5/21 14:13:10

try Rogers, Centerton,& Springdale, e. Bentonville is crazy - tigerinhogtown STL - 5/21 14:18:57

Here in Vegas - JG A - 5/21 14:07:44

30 seconds googling and I found 404 - MU Diaspora MU

- 5/21 14:54:38

Google is faster than Yahoo - Wildcat KSU - 5/21 14:56:20

you should have bought all the inventory they had in 2009 - tigerinhogtown STL - 5/21 14:21:54

first statement true - JG A - 5/21 14:32:05

just scroll thru the pics on the right, several do and those - tigerinhogtown STL - 5/21 14:41:52

well OK you can get a 50 yr old shack - JG A - 5/21 16:20:43

RE: the "I can't buy a home like my parents" narrative is BS - sarasotatiger MU - 5/21 13:49:32

sorry, the above does NOT apply to Commiefornia - tigerinhogtown STL - 5/21 13:53:06

Boomers will never understand how you ruined the country - Columbian Gold MU - 5/21 13:48:46

correct, it is very hard to understand any type of lie(nm) - tigerinhogtown STL - 5/21 13:54:47

Fortunately you're all fat and dying (nm) - Columbian Gold MU - 5/21 14:12:03

I been dying since the day I was born(nm) - tigerinhogtown STL - 5/21 14:28:33

Incorrect - JG A - 5/21 14:09:35

I know they are lies because they don'tmatch up with the - tigerinhogtown STL - 5/21 14:26:10

Did you go to college to become a construction - KCT-BoneTiger MU

- 5/21 13:48:23

civil engineer but went straight into construction managemen - tigerinhogtown STL - 5/21 13:51:18

was college paid for or how comparable was the price of - KCT-BoneTiger MU

- 5/21 14:03:19

Mizzou room, food, books, tuition, fees totaled in the $3k/y - tigerinhogtown STL - 5/21 14:13:39

RE: Do you walk to pre-school or carry your lunch? - Achmed MU - 5/21 13:50:04