I'll never forget when I sat down with my parents and we talked housing prices. They said "why aren't you building something new if the old buildings are so expensive?"
I had to break it to them that a plot of land is not $10k, it's $200-300k. Then add the actual cost of housing construction and you're easily looking at a MINIMUM of $500k for any new construction
They told me they thought it'd be closer to $100k even after they adjusted for inflation
I had to sit them down and show my parents that while when they were my age there was a short period where interest was around 20%, the cost of a home has skyrocketed so much since then that even at the current 5ish% my interest alone would be higher than their entire mortgage payment back then.
567
u/Ok-Primary2176 18h ago
I'll never forget when I sat down with my parents and we talked housing prices. They said "why aren't you building something new if the old buildings are so expensive?"
I had to break it to them that a plot of land is not $10k, it's $200-300k. Then add the actual cost of housing construction and you're easily looking at a MINIMUM of $500k for any new construction
They told me they thought it'd be closer to $100k even after they adjusted for inflation