4 ms·

People's homes were much less luxurious, as their lifestyle. A lot of the things we take for granted the people at the time they only dreamed about.

dgabriel 7y ago
In the last 6 years, my rent has gone up by about 800/mo. It's the same apartment.
- jakeogh 7y ago
  Why rent? You are paying that money anyway. Get a FHA loan. You could be on the other side of that equation. Sure it seems bad for you, but in actual fact, the place you are living has gone up in value. That's unambiguously a good thing.
  - SeanAppleby 7y ago
    That is not unambiguously a good thing. That's a bad thing. Think about it. Housing is considered a good investment because it consistently has gone up in cost faster than the rest of the economy. As this continues housing becomes more expensive relative to median purchasing power. Unless housing becomes a bad investment, it will by definition continue to be something that a smaller percentage of people can afford over time. We would be better off if housing became a consumption good/commodity that by default stayed roughly the same price in real dollars forever, since that's the only way housing can stay accessible to average people indefinitely.
  - Buttons840 7y ago
    It's the same apartment. The apartment is increasing in value. I understand the economics of how this can happen, but I'm not becoming any more optimistic while trying to reconcile these two facts.
- dorgo 7y ago
  Inflation? Afaik, new constructions have to comply with more regulation (noise insulation, materials, environment protection etc) than before, which makes them more expensive. At least where I live.
asdff 7y ago
It's the same housing stock for the most part as the 1980s. There are teensy tiny bungalos that leak water built well before the 1980s in Los Angeles right now that are asking for nearly a million dollars. In fact, you will have a hard time finding any home in LA that hasn't gone up in price given an arbitrary 10 year period, while wages have been stagnant for the most part. It's a recipe for disaster when shelter becomes an investment opportunity rather than a basic human need.
- tathougies 7y ago
  > It's a recipe for disaster when shelter becomes an investment opportunity rather than a basic human need. Why would this being an 'investment' interfere with its pricing anymore than if everyone had lived in these homes as shelter? You don't magically have the privilege of selling 'investments' for more than you bought it. Not trying to be facetious... just genuinely curious? If people are willing to pay that price, then that is the price it would have been, whether or not it was bought for investment or living, right?
  - freeone3000 7y ago
    You can only live in one house. You can invest in as many houses as you want.
    - tathougies 7y ago
      But why would that change how much someone else is willing to pay for it?

dgabriel 7y ago

In the last 6 years, my rent has gone up by about 800/mo. It's the same apartment.

jakeogh 7y ago
Why rent? You are paying that money anyway. Get a FHA loan. You could be on the other side of that equation. Sure it seems bad for you, but in actual fact, the place you are living has gone up in value. That's unambiguously a good thing.
- SeanAppleby 7y ago
  That is not unambiguously a good thing. That's a bad thing. Think about it. Housing is considered a good investment because it consistently has gone up in cost faster than the rest of the economy. As this continues housing becomes more expensive relative to median purchasing power. Unless housing becomes a bad investment, it will by definition continue to be something that a smaller percentage of people can afford over time. We would be better off if housing became a consumption good/commodity that by default stayed roughly the same price in real dollars forever, since that's the only way housing can stay accessible to average people indefinitely.
- Buttons840 7y ago
  It's the same apartment. The apartment is increasing in value. I understand the economics of how this can happen, but I'm not becoming any more optimistic while trying to reconcile these two facts.
dorgo 7y ago
Inflation? Afaik, new constructions have to comply with more regulation (noise insulation, materials, environment protection etc) than before, which makes them more expensive. At least where I live.

asdff 7y ago

It's the same housing stock for the most part as the 1980s. There are teensy tiny bungalos that leak water built well before the 1980s in Los Angeles right now that are asking for nearly a million dollars. In fact, you will have a hard time finding any home in LA that hasn't gone up in price given an arbitrary 10 year period, while wages have been stagnant for the most part. It's a recipe for disaster when shelter becomes an investment opportunity rather than a basic human need.

tathougies 7y ago
> It's a recipe for disaster when shelter becomes an investment opportunity rather than a basic human need. Why would this being an 'investment' interfere with its pricing anymore than if everyone had lived in these homes as shelter? You don't magically have the privilege of selling 'investments' for more than you bought it. Not trying to be facetious... just genuinely curious? If people are willing to pay that price, then that is the price it would have been, whether or not it was bought for investment or living, right?
- freeone3000 7y ago
  You can only live in one house. You can invest in as many houses as you want.
  - tathougies 7y ago
    But why would that change how much someone else is willing to pay for it?