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To: qam1
Most parents bought their house in 1968 for $65,000, but it would go for $800,000 today...

They were also paying for that $65,000 house on one $10 per hour paycheck.

9 posted on 07/13/2007 7:55:38 AM PDT by DuncanWaring (The Lord uses the good ones; the bad ones use the Lord.)
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To: DuncanWaring
They were also paying for that $65,000 house on one $10 per hour paycheck.

No, probably not. The formula used then was that you bought a house that was worth twice your annual income. So the family that bought a $65K house to be comfortable had to have an income of $32K per year.

My parents bought a beautiful little house in 1963 for $37,500. Dad was making about $25000 a year then, so making a $200 mortgage payment was a breeze. The same house is going for around a million dollars today. With that traditional formula the family would have to be making four or five hundred thousand dollars a year to afford it. And this is no mansion, just a charming four-bedroom cottage. Not many thirty-somethings have an income sufficient to buy a house like that near the place they grew up.

16 posted on 07/13/2007 8:56:31 AM PDT by Fairview ( Everybody is somebody else's weirdo.)
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To: DuncanWaring

Uh.. So the price of a starter house is 12 times as much since 68, but wages have what? Doubled?


18 posted on 07/13/2007 9:13:12 AM PDT by Smogger (It's the WOT Stupid)
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To: DuncanWaring

“Most parents bought their house in 1968 for $65,000, but it would go for $800,000 today...”

Who in the world was paying $65,000 for a house in 1968? It would have had to been the upper 1% of wage earners back then.


24 posted on 07/13/2007 9:36:27 AM PDT by caver (Yes, I did crawl out of a hole in the ground.)
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