POV: Buying a home four decades ago. 🏡💰

POV: Buying a home four decades ago. 🏡💰
•
•
•
#realestate #newhome #housingmarket #houses #floridaliving #vintageflorida #househunting #newconstruction

[@thoughtlesskills]

A 60k home. What a dream

[@jonny-b4954]

I got my 900 sq ft home for $65k about 10 years ago. Got crazy lucky buying from my landlord who wanted to get out of Dodge yesterday, haha.

[@ryanrognstad7094]

I love people that don't understand how intrest rates work... plus they are always the ones that think homes are too expensive nowadays

[@saulchicha9873]

We can thank our government on both sides for wanting communism

[@clintcetti]

18.4% in 1981

[@chalkylover]

@@jonny-b4954me too. Got a $60k house of 1000sqft. Wasn’t pretty. Had asbestos siding and floor tile, not the best neighborhood, old kitchen, bad sewer main. Renovation plus market appreciation means I sold it for double what I bought it for. There’s still $60k houses out there. People just don’t want to put in the work.

[@tyl7150]

Damn those 60k homes are worth 600k now.😂

[@Runtz707]

Over 1million if you live in California some houses and land people bought back the. For less then 20k are making millions of fucken dollars

[@tslonaker4609]

It doesn't matter what the interest rates or the prices of homes were back then. What was the percentage of the monthly household net income that went towards mortgages/rents. I'm willing to bet the percentage was lower, thus making homeowner ship a lot more achievable.

[@zzanatos2001]

Even at 13% interest, homes were more affordable in the 80s because home prices were so much lower. Salaries have doubled since then, but home prices have gone up 500%+ and that house that sold for $60 in 1982 now lists for $300k-$400K.

[@elliotalderson4568]

Nope..wages have only gone up by 150%, adjusted for inflation, since 1989 Average home prices have gone up by 2x from 1985 to 2023. $100k in 1985 would have the same buying power as $212k today. Median home price in '85 was $85-$100k depending on the month. 2023 it was approximately $415k

[@bbbean]

​@@elliotalderson4568 you tried it, buckaroo. You're still wrong, though.

[@tslonaker4609]

1980 Median household income: $16,830 1980 Median home price: $47,200 2023 Median household income: $67,521 2023 Median home price: $426,056

[@russelljohnson6951]

They weren’t affordable when pay was 200-300 week

[@spartang.1388]

The more things change is the more they stay the same.

[@gearmonkey5904]

No a 60k dollar home today doesn’t exist 😂😂😂😂😂😂😂

[@TheDarknessOfGames]

@@gearmonkey5904do you understand inflation?

[@kontrygrll01amerika54]

I was fortunate to buy my home in 1981 before the mortgage rates went up into double digits. The next home I bought was in 2002, so I got a 5% mortgage then, again before mortgages went through the roof once more. You need to pay attention, save money and buy when the rates are favorable.

[@ineedhoez]

Amen.

[@howardkurtus7069]

Don't confuse luck with strategy, people in your generation killed pensions in favor of self directed 401k's and effectively killed retirement for future generations.

[@rantinggrannyb7408]

I remember seeing a mortgage statement of my mother's at 18%. 😮 That's insane.

[@Notrocketscience101]

Remember that Christmas movie with Jimmy Stewart called It's a Wonderful Life? That movie was from 80 years ago and the premise is all about homes being unaffordable

[@ronniecarter9688]

I spit my coffee when I seen the price on the billboard for that property in sunrise as I live @ south Florida NOT far from that community…

[@LygerTheCLaw]

inflation, 50 years ago gas was like 50 cents a gallon. don't think too hard about it. i watched maximum overdrive last night and it was funny watching them fill a diesel rig for $20.

[@johnwyman6126]

​@@LygerTheCLaw That's right, today you just need to double it and add a zero.

[@Jaret180]

Hey yes I'll take 4 please!

[@JJ-th1jc]

Yeah, you could by a 3br 2ba home for 60k in california in the early 80s. My mom did it and paid $870 a month due to having an intrest rate of 16%. And minimum wage was $2 an hour. My parrents made $38k per year combined. No one was bying even $20k house at double the minimum wage with intrest rates at 16%. Inflation was 9%. We have become soft as a babies butt. I get it, we are all spoiled to 3% intrest and 2.3% inflation, and now the pendulum has swung. But it will swing back. The problem is that the rich take more and more with each swing of the pendulum and dont pay their far share of taxes. It will catch up to them one day when a hot mic hears them say "LET THEM EAT CAKE" -Marie Antoinette circa 1789 😵

[@representin614]

Just for perspective household median income in 1982 was about 20k. Inflation was much higher which is why Paul Volcker raised interest rates high enough to intentionally cause a recession. It was painful. My dad lost his job, but it finally ended runaway inflation and Reagan was re-elected in a landslide. I highly recommend reading about that era if you didn't live through it.

[@davidcontreras8158]

Interest rates push out regular people when wages are suppressed. Higher interest rates can be charged if the price of the house go's down or wages keep up.

[@jonathantaylor6926]

Now these homes are $550,000 and the mortgage payment is $40,000 per year and 110k downpayment

[@Jonathan-pr1wo]

Wish I would’ve been born sooner. I would’ve been able to buy 2 houses for the price of 1 right now and not have to show a lot documents just to get pre approved for a loan.

[@Lzrdman91]

That condo mortgage in today’s money would be about 2,400 a month. 😅

[@raulrodriguez4006]

Something eventually gives. I bought my home 2 years at 6 percent interest.

[@nickNcar]

Back then, median income in todays cash is 80k, and median home cost was around 230k Now median income is 80k and median home cost is 400k Home prices have nearly doubled, and income is the same. It still sucked during the 80's im sure but its worst now and going to get even worst

[@aalleezzzz]

Id tals 14% internets any day if housing prices actually followed inflation from back then, my mortage would be less and what I owe would be way less

[@arturopalos2739]

The interest went up to 21% for some months. After that it went to 16%.

[@viewerone]

I’m just thinking about the guaranteed rate of return on my savings at 10+%. No more stock market gambling.

[@tazpupper7828]

In 1980 at 7% $60,000 house would cost you a total of $143,000 and mortgage cost over a total of 30 years that’s not including taxes insurance that’s just the loan, the payment would be $400 a month $800 a month taxes and insurance included. The only thing that has changed since 1980 is cumulative inflation, a $60,000 house in 1980 is now $242,000 a 30 year mortgage at 7% would cost you a total of $580,000 $340,000 of which is interest and your mortgage payment with taxes and insurance included would be in the range of $2600 a month. The problem is only going to get worse overtime because there is no deflation on interest rates as the economy inflates, you do know interest rates work the same on big numbers right ? I hope people also know that the cumulative inflation rate is supposed to be 2% it’s been roughly 6 to 7% for the last four years because of Covid that’s inflation that doesn’t go anywhere.

[@jonathantaylor6926]

Pretty sure this is Sunrise Florida near Miami.. so these houses are more like $550,000 these days.

[@clintcetti]

60k mortgage in 1981 would be a 207k one today. So the question would be, would you buy a 207k home w an 18.4% interest rate. If yes, how nice would that home have to be for that to happen. In other words a 400k mortgage today might need to be reduced by half for me to consider it. Thus a 1984 60k 18.4% home = 400k 6% today to the buyer. Purely an example

[@rayw7960]

One thing you can always depend on is the greed of bankers.

[@user-ix3sp5bi6v]

Home prices are just over inflated, it's pure greed

[@craig2Afreedom]

BUY low SELL high.

[@somewhereinoklahoma5574]

Nice perspective. That banker and realtor were more transparent than today’s industry professionals. I think ethics have eroded

[@MissterX]

They are current starting at 8.5 that guy was wrong.

[@compmanio36]

I'll never afford a home at this point. And the older generations wonder why we're so angry.

[@dallasron51]

Many of us know why you’re angry and we agree that you should be. The financial industry and politicians have screwed you. They screwed our generation, too. It’s what they do.

[@unclebilly1353]

Mortgage rates change. I would rather take a high mortgage rate . Then buy a house overpriced home. I could always refinance in the future. At least I'm in the game.

[@Clevelandsteamer324]

Now people are Gladly paying $60k for a car without blinking an eye. Pay cash or ride a bicycle

[@elberethreviewer5558]

These same 40-year-old homes sell for $500,000 or more.

[@mm4894]

It depends on where you live. In my area, back then 60,000 could buy you a 3 bedroom townhome. Today, those same townhomes would cost you about 200,000.

[@ryanrognstad7094]

I love people that don't understand how intrest rates work... plus they are always the ones that think homes are too expensive nowadays

[@Filmstyle0801]

Seven to eight hundred dollars sounds like a luxury nowadays

[@gilldavidmour4199]

1984

[@ballzzd33p29]

Lol. That 60k home cost 450k today.

[@jonathantaylor6926]

Closer to 550k

[@sailorcowboy]

thats not a mortgage rate its a credit card interest rate! t

[@mikerb86]

lol $700 is child’s play

[@MrSlicky77]

Naw, we want the money now. Not the thirty years it usually took………….why would we do that when we know everyone needs a home🤣🤷🏽‍♂️

[@st.patty1416]

400 begining now😢

[@devinfisher1651]

60k!!! Buy it with cash bru

[@jonm4501]

Best decision I ever made was agreeing to a 12.5% yearly Adjustable rate mortgage, every year after that the rate adjusted downwards. It was around 7% percent when I sold the house 10 years later. God bless Ronald Regan.

[@bbbean]

🤡

[@M.T.V.P]

😂😂😂

[@Metonymy1979]

3 bedroom for 60k!!!!

[@jarremesadieu8836]

Thanks Reagan

[@emailsuxor]

Bahahahaha

[@user-sk6jm7nt5z]

Funny that no one realizes that if it was mandatory to have a one time fixed rate of say 5% without the possibility of change there would never be any 'financial crisis '.If that flat rate would include credit cards,debit cards, store credit,etc. there is still enough made by banks and there would be a complete stable economy. This cycles of increasing the interest is just a money grab.Happens every twenty years or so.But hey,your public schools do a bang up job of educating you,eh?

[@JohnnyDouchbag-nr5yf]

Keep voting Blue

[@dugproductions2556]

Personally, I would love to tell you The Truth from The Holy Bible about what is going on. However, I politely encourage you to read it for yourselves. By The Way, check out Truthunedited and Stephan Darby's sermons to get a deeper understanding for The Life. May YAH bless you, your families, and HALLELUYAH!

[@LygerTheCLaw]

meanwhile every kid out there is saying we all had it so well. my parents home in california sold for $700k over 20 years ago, i was making over $20 an hour as a journeyman auto tech but i couldn't afford a home back then. the market has always had ebbs and flows and always has had unaffordable and affordable areas.

[@bbbean]

🤡

[@LygerTheCLaw]

and then the burger flippers cried, and caused the biggest recession of our lifetime. meanwhile nothing got fixed, just all that hard work and those retirement funds became worth a whole lot less for the middle class in roughly 2 years time.

[@joeyork9891]

Joe bidens fault

[@limitlesspursuit]

All this tells me is they never wanted people to have things. Just PAY MORE!

[@limitlesspursuit]

How is it risky to think people could afford a cheaper price!?

[@user-nw8xz5hl5w]

Yeah and look at the president before Reagan in that era it was the peanut head Carter that interest rates were 18% go figure just like it is now. This should have been a Simpsons episode.

[@user-nw8xz5hl5w]

Yeah cuz look who was president before that was, peanut head Carter, business interest rates were 18%.

[@ProperCity]

😂😂