10 ms·

95% of Googlers in NYC will be lifetime renters just like they are in the Bay Area. Hardly the gilded class

zjaffee 8y ago
This isn't true in the slightest, the only people who will be this way are those who are unwilling to make sacrifices in terms of quality or amount of space within a certain location, in return for the desire to own. The regional home prices in the bay area are more than twice what they are in the greater NYC region.
taurath 8y ago
"Googlers, hardly the gilded class" is a silly argument. SWEs can afford to buy in the Bay, and can in NYC too. $250-300k is enough to afford a $1.5m place. Yes, many Google employees aren't engineers, and not everyone working there gets paid like one.
- almost_usual 8y ago
  As long as you assume all things remain constant for the next 30 years which is an exciting assumption.
CydeWeys 8y ago
Way more than 5% of my coworkers at Google NYC own their own place. You're also off on the stats for the Bay Area as well.
vonmoltke 8y ago
95% of Googlers in NYC who insist on living in Manhattan. Hell, not even then.
- vonmoltke 8y ago
  Curious why I got downvoted here. I was disagreeing with the post I was replying to. Did I come across in the opposite direction? I was attempting to make the point that this statement would only possibly be true for those who insisted on living in Manhattan, and that it isn't even true for that segment.
JumpCrisscross 8y ago
Friend just bought a $400,000 one-bedroom co-op in Midtown East. He makes a low six-figure salary, and will have to be judicious about his spending for a few years. New York isn’t the Bay Area—we build supply to meet demand.
- chrisseaton 8y ago
  I don’t understand - are you giving this near half-million single bedroom as an example of affordability?
  - woolvalley 8y ago
    Well if your income is $133k/yr, then it would fit in the 3x annual income rule for housing affordability, which the typical sr eng at google now exceeds.
    - v30000 8y ago
      Affordability should still mean that you get value for your money, not that any surplus wages disappear in the pockets of the land owning class.
    - chrisseaton 8y ago
      It’s one room! I think that 3x rule is supposed to be about space for perhaps a family and other normal requirements for most adults. Not digs for a twenty-year-old.
      - saalweachter 8y ago
        It's also in Midtown East. Also, one bedrooms are luxurious. Advice for anyone looking for an apartment in Manhattan: don't waste your time on one bedrooms, look for studios. You pay an unnecessary premium for the extra wall, and it ultimately just makes the space less usable. You can find larger, nicer, better located studios for much less than you'd be paying for a one bedroom.
eecsninja 8y ago
A lot actually live outside of NYC (not just Manhattan): Westchester, New Jersey, Long Island, etc
abalos 8y ago
My plan right now is to rent in the city, buy a cabin or getaway house upstate for 200k and move there when I get older. Hard part is just finding somewhere that doesn't suck.
- hnmcQIOoQUDv 8y ago
  Bearsville, Woodstock, Saugerties. The Rondout in Kingston has a certain charm but may be impacted by flooding. Downside is you need a car or take one of the Peter Pan buses. Could Amtrak to Rhinecliff and taxi.
asdfasgasdgasdg 8y ago
Nonsense. Most Googler engineers (more than 5% of the workforce) will be making at least $200k take-home after five years or so. This kind of salary can easily pay for a $1.5M home purchase. That won't buy you a four-bedroom in Chelsea, but it can buy you a reasonable home further out. And that's assuming no contribution from your spouse. Now they may choose to rent, as I do, but that's because there are some big flexibility advantages to renting compared to buying.
- jahlove 8y ago
  $200k/yr can "easily" pay for $1.5m home purchase? The general rule-of-thumb for how big of a mortgage you can afford is in the range of 2-3x your gross income. [1][2][3]. You're talking about a staggering 7.5 multiple, assuming no down payment. Yes you can accrue a nice down payment after a couple years with that salary, but it's hard to make a huge dent in $1.5m. [1] https://www.investopedia.com/articles/pf/05/030905.asp https://www.investopedia.com/articles/pf/05/030905.asp [2] http://time.com/money/collection-post/2792048/how-much-should-i-spend-on-a-house/ http://time.com/money/collection-post/2792048/how-much-shoul... [3] https://smartasset.com/mortgage/buy-a-home-for-2-5x-your-salary https://smartasset.com/mortgage/buy-a-home-for-2-5x-your-sal...
  - asdfasgasdgasdg 8y ago
    200k take-home in NYC is about 350k gross. And why on earth would we assume no down payment? Surely we have been saving some fraction of our income during the years prior to buying.

This isn't true in the slightest, the only people who will be this way are those who are unwilling to make sacrifices in terms of quality or amount of space within a certain location, in return for the desire to own. The regional home prices in the bay area are more than twice what they are in the greater NYC region.

taurath 8y ago

"Googlers, hardly the gilded class" is a silly argument. SWEs can afford to buy in the Bay, and can in NYC too. $250-300k is enough to afford a $1.5m place. Yes, many Google employees aren't engineers, and not everyone working there gets paid like one.

almost_usual 8y ago
As long as you assume all things remain constant for the next 30 years which is an exciting assumption.

CydeWeys 8y ago

Way more than 5% of my coworkers at Google NYC own their own place. You're also off on the stats for the Bay Area as well.

vonmoltke 8y ago

95% of Googlers in NYC who insist on living in Manhattan. Hell, not even then.

vonmoltke 8y ago
Curious why I got downvoted here. I was disagreeing with the post I was replying to. Did I come across in the opposite direction? I was attempting to make the point that this statement would only possibly be true for those who insisted on living in Manhattan, and that it isn't even true for that segment.

JumpCrisscross 8y ago

Friend just bought a $400,000 one-bedroom co-op in Midtown East. He makes a low six-figure salary, and will have to be judicious about his spending for a few years. New York isn’t the Bay Area—we build supply to meet demand.

chrisseaton 8y ago
I don’t understand - are you giving this near half-million single bedroom as an example of affordability?
- woolvalley 8y ago
  Well if your income is $133k/yr, then it would fit in the 3x annual income rule for housing affordability, which the typical sr eng at google now exceeds.
  - v30000 8y ago
    Affordability should still mean that you get value for your money, not that any surplus wages disappear in the pockets of the land owning class.
  - chrisseaton 8y ago
    It’s one room! I think that 3x rule is supposed to be about space for perhaps a family and other normal requirements for most adults. Not digs for a twenty-year-old.
    - saalweachter 8y ago
      It's also in Midtown East. Also, one bedrooms are luxurious. Advice for anyone looking for an apartment in Manhattan: don't waste your time on one bedrooms, look for studios. You pay an unnecessary premium for the extra wall, and it ultimately just makes the space less usable. You can find larger, nicer, better located studios for much less than you'd be paying for a one bedroom.

eecsninja 8y ago

A lot actually live outside of NYC (not just Manhattan): Westchester, New Jersey, Long Island, etc

abalos 8y ago

My plan right now is to rent in the city, buy a cabin or getaway house upstate for 200k and move there when I get older. Hard part is just finding somewhere that doesn't suck.

hnmcQIOoQUDv 8y ago
Bearsville, Woodstock, Saugerties. The Rondout in Kingston has a certain charm but may be impacted by flooding. Downside is you need a car or take one of the Peter Pan buses. Could Amtrak to Rhinecliff and taxi.

asdfasgasdgasdg 8y ago

Nonsense. Most Googler engineers (more than 5% of the workforce) will be making at least $200k take-home after five years or so. This kind of salary can easily pay for a $1.5M home purchase. That won't buy you a four-bedroom in Chelsea, but it can buy you a reasonable home further out. And that's assuming no contribution from your spouse. Now they may choose to rent, as I do, but that's because there are some big flexibility advantages to renting compared to buying.

jahlove 8y ago
$200k/yr can "easily" pay for $1.5m home purchase? The general rule-of-thumb for how big of a mortgage you can afford is in the range of 2-3x your gross income. [1][2][3]. You're talking about a staggering 7.5 multiple, assuming no down payment. Yes you can accrue a nice down payment after a couple years with that salary, but it's hard to make a huge dent in $1.5m. [1] https://www.investopedia.com/articles/pf/05/030905.asp https://www.investopedia.com/articles/pf/05/030905.asp [2] http://time.com/money/collection-post/2792048/how-much-should-i-spend-on-a-house/ http://time.com/money/collection-post/2792048/how-much-shoul... [3] https://smartasset.com/mortgage/buy-a-home-for-2-5x-your-salary https://smartasset.com/mortgage/buy-a-home-for-2-5x-your-sal...
- asdfasgasdgasdg 8y ago
  200k take-home in NYC is about 350k gross. And why on earth would we assume no down payment? Surely we have been saving some fraction of our income during the years prior to buying.