originally posted by: toysforadults
a reply to: DAVID64
in 1938 it was considered $0.25
Average cost of new house $4,100.00
Average wages per year $1,780.00
Closest housing cost stat I can find. 8x your yearly salary would buy you a new house on minimum wage.
That's your metric depending on where you live.
Yes, you could get it together on a low wage to buy a house even in the early 1970s in the UK on a fairly low wage. That is how the baby boomers
scored because the houses were cheap in relation to wages and then the housing market/real estate market kicked in which was a winning lottery ticket
for them all. They were in the right place at the right time.
Now we have the minimum wage and yet nobody on the minimum wage in the UK could afford to save for a deposit and pay the mortgage. Even a couple on
the minimum wage, both working and without children, would seriously be struggling in most parts of the UK. There are still a few undesirable areas
where houses are cheaper, but even there they are still an investment.
Where I live the house prices are now so steep, approx 12 times the minimum wage. So even for a couple it would still be 6 times their combined annual
take home pay.
In the U.S,
The weekly take-home pay for a 40-hour-a-week minimum-wage employee, after Social Security and Medicare taxes. That adds up to $13,926.38 per
year, or just over $1,150 per month. The commonly cited minimum wage annual salary for a 40-hour-a-week worker is $15,080
US$188,900. That's the median price of an existing home sold in the U.S. in January. (February data will be released by the National Association
of Realtors later this month.) The Median Home Price Is $188,900.
Yep, it is most depressing! It is 13.5641853806 times more than the annual minimum wage. This is how badly we in the U.S and UK have drifted into
relative poverty for MOST of our citizens. The biggest population portion of our societies are on or close to the minimum wage.
This is a HOUSING CRISIS.
It is forcing a rental market for most of us, yet the rental market is not building anything like fast enough. This obviously can't go on. We need
look no further to understand why we have so many homeless people.
Women going to work has not made families twice as rich. Minimum wages have made poverty worse. Everything seems poorer for most to me. I see it
clearly and the figures tell me my observation and concern is real.
I think we need emergency measures. We need to build a lot of new houses very quickly yet somehow protect the investments and not flood the market.
For now building social housing that is protected by legislation would not interfere with the real estate market as these people will never be in that
market anyway until possibly much later down the line where they may become right to buy tenants all over again (just another case of history
repeating in a good way) only as renters to be exploited by business landlords and thast is part of the real estate market anyway.
Look, in Britain the council houses made money for the councils in two ways, as rental income then as recouped costs by selling to their tenants.
After that they have a third life as private real estate - playing their part in the real estate market at the low end of the market generally, but
still an important part of this market and industry.
So, were they a waste of time? I think not. They were worth building and now the need has arisen they are worth building again, but with a little more
care and sensitivity this time round.
Who really cares who does it? I do not. It just needs legislating for and regulating. Does it matter if it is the government/ part government/ private
or even all private? Not to me it doesn't.
Getting a balance on wages relating to living costs is paramount. it is way too greedy and money grabbing right now and is causing great poverty,
distress and insecurity for MOST citizens in the U.S, UK and I expect other Western states if France is anything to go by.
I would say that women going to work has made "them" twice as much out us, but for us it is just two times the work for the same money. The minimum
wage is creating poverty, not rectifiying it. It is really like the setting of standards of worker poverty for most. It is very Marxist considering we
are supposed to be Free Market democracies. It is giving most a wage that will never allow them to actually participate in the economies of their
societies other than be at the mercy of them for such very primary and basic needs like "shelter".
edit on 1-3-2019 by Malak777 because: (no reason given)