Comment by prewett
2 days ago
There's been 65% inflation over the past 20 years, so to properly compare housing prices you need to multiply the 20 years ago price by 1.65. A house that doubled in price in twenty years only increased by 20% in terms of actual purchasing power (2.0 / 1.65).
Housing prices doubling accounts for inflation.
In 2000 a median house would cost 3x the median income, in 2025 it's 6x (and in some cities, 8x or more)
Affordability has changed, it's well documented fact. This isn't napkin math or whinging.
Are wages indexed on inflation ? If they increase slower, wouldn't that mean the 20% increase represents more than that ?