17 ms·
Clearly you've never tried to purchase real estate in the Bay or done the math. $140k after taxes is more like 90k, and then rent eats up $25k of that alone. Su
by b9a2cab5 5y ago
Clearly you've never tried to purchase real estate in the Bay or done the math. $140k after taxes is more like 90k, and then rent eats up $25k of that alone. Subtract another $25k for living expenses (food, insurance, car, etc.) and you're left with 40k, which realistically you'd be dumping into a retirement fund. 2 bedroom house in a decent location with decent schools costs well over $1.5M, plus the insane property taxes due to Prop 13., and you need to pay cash or you won't win the bidding wars.
In states with functioning real estate markets, a decent house in a decent location costs $700k tops and you don't pay $3-4k/mo in rent for a shitty, tiny apartment next to a homeless encampment. My friend rents a highrise penthouse in Chicago for the same price as a 1930s 3bd apartment in SF.
- _RPL5_ 5y ago"functioning real estate markets" Is the housing market in the Bay area really uniquely dysfunctional? High property prices are a result of demand outstripping supply. It's what you get for concentrating the entire tech industry in one place. Similar to Manhattan and the financial industry. In that regard, the real estate market in the Bay area is basically working as intended. Or am I missing something?
- b9a2cab5 5y agoBy functioning, I mean markets where the local property owners haven't colluded to restrict supply via bullshit environmental assays, zoning, etc. Or at least they haven't sufficiently colluded to the level of straight up preventing new housing from being built.