So I saw one of those birthday gifts where they tell you about what important events that occurred on the day you were born, how much a loaf of bread cost the year you were born, etc. This was for my mother, born in 1945.
It listed both the average income and the average price for a 3 bedroom home in 1945. The income was aroud $4600, and the home just over $4000, IIRC. Now, the price of homes and the average income has gone up, but it doesn’t seem that income is keeping up with real estate prices. The average (family) income is what, maybe $75,000? But the average home is more than $200,000.
So what gives? Are homes really that much more expensive to purchase today, or am I missing something?