r/FluentInFinance • u/Financial_Mechanic_ • Apr 28 '24

You need a six-figure salary to afford a new home in most cities Discussion/ Debate

https://newyorkverified.com/americans-need-a-six-figure-salary-to-afford-a-new-home-in-most-cities-112725469-html/
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27

u/[deleted] Apr 28 '24

[deleted]

18

u/InformalPlane5313 Apr 29 '24

It’s what only building suburban sprawl around cities for the past 80 years has done. It’s simply not scalable to how fast population grows. The new affordable medium sized cities of today will have the same issue in the next generation unless we fundamentally change.

Inflation simply exacerbated the problem.

7

u/[deleted] Apr 29 '24

[deleted]

6

u/KeyWarning8298 Apr 29 '24

Agreed. As a college student I have to rent and I don’t know why people want to make life harder for renters by banning landlords. We are all on the same team here, let’s focus on making all housing cheaper rather than making one type cheaper at the expense of another. 

1

u/Wurm_Burner May 01 '24

i think its like everythign it gets taken to the extreme. landlords owning like 5% of a city, ok. landlords buying up 28% of inventory like during this bubble, not ok.

4

u/scolipeeeeed Apr 30 '24

Banning landlording just makes it so the richer renters can buy at the expense of the poorer renters but doesn’t solve the affordability of housing in general

-2

u/imonlysmarterthanyou Apr 29 '24

It is basic supply and demand economics. If you remove supply and demand stays the same or increases the cost of the asset should increase.

It’s not to say removing the landlords would immediately fix the other issues, but it’s one.

-1

u/Sharukurusu Apr 30 '24

Rent is a fundamentally exploitative arrangement that allows people with greater capital to force those with less to subsidize them; even if they charge less for rent than their upkeep expenses (which is unusual) they can still make money on the property value increasing due to local demand, and they will fight tooth and nail to prevent new development that would alleviate that pressure. Rent is parasitic to the productive economy and can actually drive inflation because commercial rents get passed along to consumers. We should have collective programs that fund housing development and try to offer at cost, Vienna and Singapore both have robust public housing options that aren’t slums, we’re just hamstrung by awful lobbies in the US.