me_irl

Let's break this down. Plugging these numbers into a mortgage calculator, yes a $600,000 home with a 3% interest rate would be a payment of ~$2024/month. However, this assumes a 20% down payment, $0 property taxes, $0 insurance, $0 HOA etc.

However, an 850k house at an 8.5% interest rate with those same numbers would "only" be $5228/month. Additionally, as other commenters have pointed out, interest rates are not that high.

OP is straight up lying to you at worst, or just cherry picking numbers in a very deceiving way at best.

Not that I'm trying to argue housing is affordable. Just that people will go on the Internet and tell lies to spin a narrative and drive engagement.

Can Also be titled why birth rates are low or why no one has spending money and sooo much more

Those numbers are so not reality. $2K/month is nowhere near the payment for the first one.

Point taken, but where are you in the world with an 8.5% mortgage? Rates in the US for 30 year mortgages are around 6.5% right now (source: https://fred.stlouisfed.org/series/MORTGAGE30US)

Both are heavily overpriced.

I still wonder why US houses are so expensive? I mean they are basically just a couple plywood planks slapped together, what can be so expensive about that?

Gary’s Economics has as usual many great videos about this

https://youtu.be/BJcpgg6-hNA

It sucks because this ridiculous setup distorts everything about the economy and benefits no one except banks and the rich

It would take about 45 years to pay off the house with the monthly payment on the left. The one on the right for some reason randomly increases the monthly payment so that you'd pay off the house in around 24 years.

Here in Australia, they just changed a lot of the tax laws. Every shonky house investor out there is freaking out telling everyone how important they are and we'll fail without them lol

Now do 2016

Made from the finest in cardboard material that every builder has assured me has the same structural quality as brick.

Well, the banks can't be loaning just anyone money for a home. They need that capital to be able to give loans to billionares, so they can fund their lifestyle and allow them to avoid paying any taxes.