re: The math for buying a home no longer works, per WSJ

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I'm in my early 30's and college educated. Average income. I track every single dollar I make and spend in a spreadsheet. I'm very financially literate. The only reason I was able to save money this year was because the little that I had in the stock market is up 130% YTD and up 301% all-time (first invested in 2018). Otherwise I'm about even for the year not including investments.

In the last year,
- I've paid $0 on car notes (still driving 12 y/o Toyota)
- haven't 0 new clothes
- taken 1 vacation out-of-state for a bachelor party
- gone out to dinner maybe once every couple months
- spend minimal on entertainment while also living a life (no cable bill, 1 streaming service)

The overwhelming majority of my post-tax income went to housing, utilities, gas, student loan payments, and groceries. The only reason I spent any more money this year as I did last year and the year before is because the price of groceries and other goods went up drastically.


I suppose I could've saved a few thousand had I not bought an engagement ring and used a piece of twine instead, so yeah.


I don't mean to be abrasive as you should be proud of what you've accomplished, but it's not as simple as just being disciplined anymore for the average American. The math just doesn't add up to be able to save any significant amounts of money every year on your average salary if you don't live in a tent.

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You are doing everything right (I don't mean to be condescending as if you were my son, but the tone and words are the same for him).

How much longer on your student loan? And how long have you been paying on it?

I tell my kids that they can have a car payment or a student loan. Both is stupid. So choose one and live with the decision (and regardless of which one they choose, pay it off in 3-5 years. Treat it like a car loan and get out from under it asap).

I presume you live with your fiance'?

Don't take this the wrong way either, but I was working 2 jobs when I bought my wife's engagement ring.

The choices we make in our 20s and 30s set us up for who we are in our 40s and 50s.

Matthew McConneghy said that your hero should be yourself 10 years from now.
Now what do you need to do every day to make that hero a reality?

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Kids are a choice as well. If you cannot afford them, don't have them. If you value them more than owning a house, have them. Choices.

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Who are you?

(no message)

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Now you're being intentionally obtuse, and Im not just talking about lowballing the price for those two things, I'm talking about being dismissive of the other things that people spend on that they don't have to: gym memberships, hair/nails (for the ladies), cabs/ubers, food and drink, cars, new phones, nicer apartments than they can afford or need, clothes. The list could go on.

I sacrificed on ALL of those things in my 20s so I could live within my means and save enough to ultimately buy a place, Somehow I was able to do that starting out making about $28k per year in the 2000s. So forgive me if I don't sympathize with the "plight" of people who indulge in all of those things and have the balls to complain that they can't afford a home in their ideal location.

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I did all of this shite too, and yes I'm a bit jaded at some of my peers because I saw the dumb shite that they were doing with their student loans while we were pinching pennies. But, as I said earlier in this thread I could've made all of the same "smart" decisions cutting costs, paying tuition in cash, etc... and just entered the housing market 6-7 years later and I would essentially be screwed. My buying power would probably be reduced by over 100k.

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No. We should all go to trade school and live in the boonies like your buddy. Don't have kids, don't go out to dinner, don't buy anything. In fact, I hope you grow your own food you spendthrift.

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No life allowed until you have a fully funded retirement and a mortgage.

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So you think people should have kids, ready or not? Sounds like a great plan.

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Lol. People should have kids if you want to have kids and raise a family.

You should not need to “wait” for some arbitrary financial milestone. You have the kids if and when you want and then figure it the frick out.

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It blows my mind that people ARE actually living on low income and the rant argues "it can't be done".

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We’re talking about buying a home in 2023, you’re talking about something completely different.

The US and western Europe are just about the only places on earth that the norm/expectation is for individuals/nuclear families to live separate from extended family, and its only been like that since the development of the suburbs in the 1950s.

We are fortunate to have our own place in a low COL area, but I totally wouldn't be opposed to either set of grandparents living in an in law suite and helping out with expenses and childcare if we were in a different situation. This is the only way I see the problem being solved, and also gives empty nester retirees a purpose.

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Then buy $100k less of a home.

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And once again the point goes right over your head.

While this guy loses $100k of buying power, millions of others are being taken out of the market completely.

The first time home buyer looking for a $200k house in 2020 is now out of the market in 2023.