• 31337@sh.itjust.works
    link
    fedilink
    arrow-up
    7
    arrow-down
    1
    ·
    6 months ago

    you can buy a house even on a median salary or lower.

    I think think this very regionally dependant. Median household income and house cost in Austin, for example, is ~$70k and ~$650k, respectively. I grew up in a very small rural town, very far from any cities, and even though houses were much cheaper, they were still unaffordable to most people unless they could land one of the few available union jobs (most jobs available were in manufacturing and paid near minimum wage).

    Things may be getting better, slightly, for the median person, but inequality is soaring, and a more dangerous problem IMO. Money is power, so inequality is a direct threat to democracy. It’s also inequality, not poverty, that has the largest effect on crime rates, and social decohesion in general.

    • sugar_in_your_tea@sh.itjust.works
      link
      fedilink
      arrow-up
      2
      arrow-down
      1
      ·
      6 months ago

      But crime is actually on a downward trend:

      In 23 of 27 Gallup surveys conducted since 1993, at least 60% of U.S. adults have said there is more crime nationally than there was the year before, despite the downward trend in crime rates during most of that period.

      If income inequality is, in fact, a driver for crime, there must be an explanation for what’s pushing crime down.

      That’s certainly possible, but I think a simpler and more likely explanation is that we’re getting more exposed to media, and media sells the rare events harder than the common ones, because that’s what attracts eyeballs.

      Median household income and house cost in Austin, for example, is ~$70k and ~$650k, respectively.

      Yeah, and that totally sucks, but you’re also probably not going to buy the median house for your first home. Here’s one in Austin for $325k, which is still expensive, but half the price you quoted. I didn’t do a ton of research here (literally 30s search for 3+ beds, 1.5+ baths), but it seems like a decent starter home.

      The bigger issue is interest rates, because a $650k house is way more affordable at 3% than 7%. If we assume that $325k house is available and we put 5% down, that house would cost:

      • $17k down
      • $2,607.77/month @ 7% interest

      On a $70k salary, that’s ~45% of really income, which is pretty high for a housing expense (ideally housing is more like 30%). But it’s not unapproachable.

      I’m not going to do a full budget breakdown, but hopefully my point is that if you look for a way, you can probably find a way. It’s probably not going to with if you’re making minimum wage, but if you’re at the median income, it’s a possibility, especially if rates come down a bit.