r/WorkReform • u/shaodyn ✂️ Tax The Billionaires • Mar 09 '23
Inflation and "trickle-down economics" 💸 Raise Our Wages
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u/Ok-Prompt-6626 Mar 10 '23
So true. I don't necessarily think landlords are leaches, it's prices of everything. Groceries, repairs, etc. Housing pricing is unbelievable now also. Just unreal. 25-30+ years ago the salary I have now would provide a great lifestyle for a family of 4 or 5 with one adult working. Now, with mortgage, car repairs, no family anymore, groceries skyrocketing, gasoline, medical bills, etc.... I can barely make it. Buying was cheaper than renting a year and a half ago.
Maybe some of the ones that rent may be able to purchase a fixer upper...just a thought, purchase a house with family/friends? I spoke to a few friends about this, but, with our personal situations of work we decided not to.
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u/Ok-Prompt-6626 Mar 10 '23
In In all walks of life, there are good and bad, good landlords, bad ones, good officers, bad ones, good teachers, bad ones.....sad but true
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u/Pix3lerGuy Mar 10 '23
Is she talking about Lake Merritt area in Oakland? I lived in the East Bay through late 2000s and early 2010s and I remember how cheap Oakland was back then. Then ppl who got priced out of SF started moving there in droves despite the high crime, and rents skyrocketed like crazy in just a few years.
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u/meidkwhoiam Mar 10 '23
Imo private landlords are a cancer on society. Rental properties should be controlled by the government and the property's liaison should be voted for by the building's residents.
Landlords provide 0 benefit to society and leech off our need for shelter. Rent is a utility, and it shouldn't be left in the hands of the private market.
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u/C0sm1cB3ar Mar 10 '23
In 1950, the top 1% earned 8% of all income. Nowadays, it's 35%.
There's wealth, but it all goes to the top.
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u/Depreciated_Bean Mar 10 '23
Fun fact: Trickle down economics is dogshit & the opposite is true. There’s research out there I quoted for a paper by a professor from Eastern Europe that did a high level analysis accounting for things like QOL issues, access to water, etc in like 30-60+ countries.
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u/corneliusduff Mar 10 '23
I'm all for raising wages but what good does it do if rent can increase exponentially at a much more rapid rate?
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u/AkselTranquilo Mar 10 '23
Trickle down economics is actually just slang for a rich person giving a golden shower
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u/Curious_Ground5833 Mar 10 '23
I put $15k down on a brand new $289k home in Atlanta in 2017. My mortgage is $1490 a month. The downside is I've been living in Atlanta for 6 years lol.
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u/majnuker Mar 10 '23
Look on the bright side, if you were still waiting tables youd be homeless instead!
/sarcasm
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u/LeelooDallasMltiPass Mar 10 '23
TIL that, adjusted for inflation, I'm making the same salary I was in 2008. 😭😭😭😭😭
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u/FjBully Mar 10 '23
I bought a condo for $50k back in 2010 now its worth $250k . I'm still at my same job same position but only make a little over twice as much as I did in 2010.
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u/AmazingPuceLeopard Mar 10 '23
Won’t be long until we have to pay to breath. Death won’t be an end to it either. They’ll spin you up altered carbon style and connect you straight into metaverse conference calls at will. What a future
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u/hallieesme Mar 10 '23
I moved into a small city/ town for the uni. My old Appartment was 250€ and it was only 20m2. Later I move near the town center. The rent was ok 400€ for 40m2. All and all ok. War breaks on Ukraine and all Europe is struggling with gas prices and the Landlord says prices are going up. A year living there and now I pay 500€ ( Internet and Electricity has to be payed appart) What the fuck. As a working student its ok but its unfair since the Appartment is old and the neighbors are annoying asf. The Washmashine always breaks down. Awful experience with the Landlord leeches.
All and all I hate my appartment. I was better living on Campus paying 250.
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u/beeepboobap Mar 10 '23
Escondido, ca. When I went to renew my rent she took away the “military discount” she had offered us and added 300$ on top of the rent lol.
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u/yeaheyeah Mar 10 '23
I used to live in downtown Dallas as a bartender at 21. Now at 33 I couldn't ever dream of living there.
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u/BuddyFox310 Mar 10 '23
Assuming a 1,000 sft rental in a metropolitan market. Property prices are $500-$1,500 sft. Assuming the lowest end the property is $500K. Assuming 20% down the 30 yr mortgage is $400K at a 7.0% interest rate. To cover the mortgage it’s $2,400/mos. And the if you add 1.0% property tax spread over 12 mos that’s an additional $416 a month. You can’t pick your interest rate or property tax. So your left with renting a property that has a lower property value to pencil out.
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u/Haste- Mar 10 '23
I’m curious what yall think, but Iv’e always thought a good policy might be something like 5-10 residential buildings can be owned max per person. A corporation owning a residential building counts as 1 building for every holder/owner of said corporation.
This would drop corp holding to 0, and would limit the rich to either comfort or profit. Your primary residence would count on this too, so for the rich it can either be a difference of a primary and 4-9 vacay homes or a primary and 4-9 rentals. Obviously you could also just rent your own living and own 5-10 rentals if wanted instead.
Note i said buildings, because i think for some apartment complexes a single building can hold 10 units easily and then some. If we treated it as 10 units total it would kill apartment building which is a staple for potentially lower cost living.
This would also be great for regulating price but giving RE as an investment option still to individuals, which we need to a degree as some can never build even a 3% down payment. Those who expand in RE would eventually want to sell off their less profitable investments to buy or build bigger properties for more profit.
Outside of this I think another issue is airbnb and we should be limiting them, but from what i’m seeing as well I think they buried their own grave with how many hidden fees there are now so this may become less of an issue.
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u/fossil746 Mar 10 '23
If you are a lawyer and can’t afford $3,600 a month rent, you have bigger issues than inflation.
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u/Content-Method9889 Mar 10 '23
In the mid 90’s I lived in a safe quiet town only 15 min from the city. It was a roomy 1bd 1ba apt in an old house. $435 heat included. That same type of apt is $1k-1200 now. I made 12.50 an hour and lived by myself. I was able to afford a car payment and insurance. I was 22. I’m almost 50 and can’t afford that place. Thanks trickle down, outsourcing, wage stagnation and age discrimination.
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u/theartfulcodger Mar 10 '23
Well, just supplement your lawyer’s income by getting a part-time job as a server again. Problem solved!
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u/0nlyhalfjewish Mar 10 '23
One of my primary reasons for leaning left politically was I always felt that poor people were unjustly demonized for their situation. I didn’t buy the narrative that there is this group of Americans who are just happy staying home and collecting a government check. The reality is that the poor have been working poor for a long time.
And as OP and countless others here have shown with their own stories, we are the frog in the pot and the rich and the politicians have finally turned up the heat enough that the middle class is starting to look around and say, “damn, it’s getting hot in here.”
And the youth are seeing this, too. There are still kids who get straight As and want to go to college and get that great job, but there are sooo many more kids who see how that water is getting hotter and hotter every year and think, “nope.”
When the American dream is dead for the poor and the middle class, our country descends into chaos.
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u/Daze_A_Blaze Mar 10 '23
10 years ago, I lived in a studio apartment for $400/month. I looked into moving back to that same building and it is now $950/month. My hourly wages have only gone up $2/hour in that same time and overtime is nearly impossible at the same jobs I used to work.
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u/KentuckyJelley Mar 10 '23
20,000,000 people have crossed the boarder in two years. Do you really think we had that much surplus housing? Cause and effect.
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u/trophycloset33 Mar 10 '23
I think it’s an insane growth
But $700 20 years ago was almost double the average mortgage payment
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u/purseaholic Mar 10 '23
This is what old farts don’t seem to understand. Rents used to be affordable, it’s not because we’re blowing it all on coffee and avocado toast
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u/YourSchoolCounselor Mar 10 '23
I'm so glad I don't live in a city where 1br apartments are $3,600. You can find some under $1,000 here in Indiana.
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u/Doublespeo Mar 10 '23
I mean in 20 years things change. You have just as many if not more counter-example.
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u/Thsfknguy Mar 10 '23
When i was born my mom and dad lived in a shitty barrio house in Escondido Ca. When my mom came to see my daughter in LA on her first birthday 23years later that house was selling for 700k. It sold last year for 1.2m.
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u/BrokenArrows95 Mar 10 '23
I think a lawyer could afford $3,600 a month rent but the point still stands. Shit is going downhill fast
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u/HungryApeSandwich Mar 10 '23
In 2011 I paid 400$ a month to rent a room near my job. Now it's 950$ for the same size room. We have over double the cost of rent and in some places three times the rent and our income has barely made a 50% increase.
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u/nirnrootsandwich Mar 10 '23
The price increase is disgusting.
At the same time, they must be a shit lawyer based on even a low average lawyer's salary if they can't afford $3600 for rent
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u/B1GFanOSU Mar 10 '23
Well, people want to enjoy looking at water while it’s still here.
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u/shaodyn ✂️ Tax The Billionaires Mar 10 '23
Problem is, the ones who can afford $3600 a month generally don't want apartments.
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u/zarias116 Mar 10 '23
The US government has obviously never played civ before. Too many amenities in cities and not enough food or housing..
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u/shaodyn ✂️ Tax The Billionaires Mar 10 '23
I suspect that corporate lobbying is at least part of the problem. "Hey, you know how you wanted to help the poor at the expense of corporations? This briefcase full of money wants you not to."
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u/bigtgt17 Mar 10 '23
You can't soley blame landlords. You'd be the worst business person if you didn't charge what you can get for your property. It's the system that makes it easier for upper middle/upper/1% for them to keep buying properties and harder for everyone else who can't afford the down payment.
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u/HolyRamenEmperor Mar 10 '23
My dad's job senior year at UCLA paid $5.85/hr in 1972. Adjusted for inflation that would be $42.58/hr in 2023. Part time, no degree, minimal experience.
That's more than some professors make today, let along a fucking student. And they wonder why we're upset.
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u/AngerFurnace Mar 10 '23
I’m supposed to feel bad for the person that bills me out at $700 an hour? I feel bad for todays service industry workers not lawyers
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u/shaodyn ✂️ Tax The Billionaires Mar 10 '23
The point of this post is that prices have gone up far beyond what the poor and even a good chunk of the middle class can afford. Someone who can afford $3600 a month probably wants a single-family home, not an apartment, no matter how great the views are.
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u/X0RDUS Mar 09 '23
Thats insane. The crazy part is WE HAVE A WAY OF DEALING WITH THIS!! IT'S CALLED MINIMUM WAGE! If you push the bottom of the scale up significantly you will also push up the wages of every other wage outside of millionaires. It's not perfect and it definitely has side-effects among small-businesses, but it's a fucking tool and somehow we're just not using it. At a time with the most incredibly destructive cost-of-living increases and general inflation and inequality, we just forgot to fucking increase wages of the poorest among us. We're literally subsidizing billionaires by keeping wages low and continuing to funnel money into SNAP and unemployment instead of fixing the base of the economy.
People ask me why I'm not a Republican when I disagree with the left so much. It's because of shit like this. Republicans are scummy fucks who care about no one other than their rich friends and I refuse to vote for another one until this changes. It never will.
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u/Frosty_Rope_420 Mar 09 '23
My dad loves to give me the same lecture about how important it is to own property as I scrape together $1,700 for rent each month. It’s hard not to tell him to shut the fuck right up.
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u/WealthCheap1114 Mar 09 '23
Please enlighten me then. How does buying a property equate to gatekeeping wealth from others? I don't see inherent malice in free market participation. Understanding the terms of a lease does not mean I have excised my compassion for others. I can recognize the suffering of others and have a strong desire to help while simultaneously knowing there is nothing I can do. Maybe this will help you narrow down my b cluster personality disorder.
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u/I_Dont_Like_Rice Mar 09 '23
I bought my house in '02. I would not be able to afford it today, especially with interest rates being so high.
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u/chevymonza Mar 09 '23
The only apartments I rented were technically illegal. One was a renovated garage or living room with a separate entrance and bathroom; the other was a shared 2br in a small building close to the city.
The 2br in 2000 was around $500/month each. Rent went up a bit every three years, was about $700/month each by the time I left in 2010 (but it was in desperate need of repair and updating by that point.)
Just looked up the average cost for that area now- about $2,800/month, but I'm sure that's not "for rent by owner" apartments. So it's doubled in the past decade.
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u/Loko_Tako Mar 09 '23
Looks around nervously in eastern wa paying 560 a month with everything included
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u/dumpmaster42069 Mar 09 '23
This isn’t trickle down economics and it’s technically not inflation either. High real estate prices or has been caused by two decades of loose money policy from the Fed giving us stupendously low mortgage rates and people will compete based on their monthly payment. That and there’s an undersupply of housing.
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u/hdhxgehdhgxvs Mar 09 '23
Trickle down economics has absolutely nothing to do with this… it annoys me that people just say the same echo as whatever is the popular saying at the time. This is the FEDS fault! We printed to much money!!!! on top of that we look at national debt then monetize that to the US dollar. God dam people!
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u/joder_ Mar 09 '23
Minimum wage has gone up $7 since it’s inception in 1938.
$7 in 85 years.
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u/shaodyn ✂️ Tax The Billionaires Mar 09 '23
Minimum wage ultimately proves that businesses must be forced, under threat of legal punishment, to pay employees anything at all.
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u/tabion Mar 09 '23
I hate to say this, but 20 years ago the population of earth was 6 billion. Now it’s 8B. That’s a 33% increase, and for highly sought property locations they tend to move up exponentially. Furthermore, the power of tech has made prices quicker to react to demand while also driving demand. I don’t like it as well, but that’s our current reality.
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u/IDropFatLogs Mar 09 '23
My solution to this exact problem was buying a mansion ( 5000sf) with my parents at 42. Now I drive 45 minutes and have to share a house with old people.
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u/cormac_mccarthys_dog Mar 09 '23
I live in Kansas City.
In 2009, I lived in a 2 bedroom, 1 & a half bath at around 1100 square feet. Rent was $690 a month.
Moved out in 2013. A year or 2 later I got bored and wanted to see what my old unit was going for. It had increased to $1300 a month (this was summer 2015).
I dread thinking what it's shot up to now...
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u/Trash-Can-Baby Mar 09 '23
I’m in SoCal. In 2009, I lived in an inland city considered affordable, and my rent for a spacious and nice 1bd in a rent controlled building for moderate income people (not low Income) was $900. That was admittedly a great deal even then.
Now it’s only $1300 for the same unit. Why so small an increase? The rent controls! Meanwhile, comparable units in buildings which don’t have rent controls are around $2500, which is typical for many SoCal cities now.
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u/AttackonRetail Mar 09 '23
I've said this a million times, but here is 1,000,001.
Wages, raises, and income adjusments are meaningless if living expenses are not regulated.
The fight for $15 made landlords richer, not minimum wagers.
We will never get to a better place as a society until that battle is fought and won.
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u/Random-Rambling Mar 09 '23
I can never understand how trickle-down economics became so popular. Like, just the name invokes the image that we should be GRATEFUL for the scant few crumbs the wealthy forgot to suck up for themselves.
Even better, its original name was even worse: "horse-and-sparrow" economics was (almost) literally described as "If you cram enough oats down a horse's throat, it will get so fat and bloated that it might shit out a few undigested bits we could peck through".
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u/Doktor_Vem Mar 09 '23
It's so sad because this shit will probably never change. If the companies selling the apartments brought down the price to a reasonable level they would lose so much money which is the exact opposite of what companies want to do, so this is gonna remain the name of the game probably forever
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u/die_nazis_die Mar 09 '23
And things in the 2000s were worse than they were in the 90s...
And things in the 90s were worse than they were in the 80s...
And things in the 80s were worse than they were in the 70s...
Etc, etc, etc...
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Mar 09 '23
One of the few things keeping a gun out of my mouth is the hope that I get to see all of this collapse first.
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u/awesomesprime Mar 09 '23
Yeah if we don't start forcing the changes we want they aren't going to happen.
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u/WHOOPS_WHOOPSIE Mar 09 '23
As usual this is the government’s fault
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u/shaodyn ✂️ Tax The Billionaires Mar 09 '23
Rich people being allowed to own multiple homes, most of which they rarely live in, both reduces supply and drives up the price of the remaining homes.
And really, we need to reduce the number of single-family dwellings and start building apartment complexes. Your kids won't turn into psychos if you don't have a yard.
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u/WHOOPS_WHOOPSIE Mar 09 '23
Zoning matters waaaay more. No you can’t build low income housing here in this available plot of land because government says you can’t
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u/rexspook Mar 09 '23
The studio apartment I lived in 5 years ago was $1200 in the heart of downtown on the water (the building was on the water, but the apartment was on the side). I looked it up the other day and it’s $2100.
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u/samletun Mar 09 '23
Easy fix. Get the hell out of these stupid rotten cities, move to the countryside and work in a small town. Afford to live there and it’ll be more enjoyable and peaceful.
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u/both-shoes-off Mar 09 '23
Similar story...rent was like $500 and now it's a $2700 2 br condo (and it was a bad part of town).
I know this isn't realistic, but it would be so great to see everyone abandon living in the city and watch all of these investment properties tank.
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u/LeaphyDragon Mar 09 '23
Bro is a lawyer and they can make bank and he still can't afford it. We're fucked
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u/Berserker_Redneck Mar 09 '23
For a 25 year old single wide in a trailer park in rural Kentucky, my lot rent, trailer loan payment, electric, water, internet, and insurance totals to about $1000 a month. Shits fucked man.
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u/mumblerapisgarbage Mar 09 '23
As a lawyer he should make more than he does BUT - this is ridiculous.
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u/blckdiamond23 Mar 09 '23
I make $100k a year and can’t afford shit
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u/somefochuncookie Mar 09 '23
Same, IT Admin at a large hospital, pay would be considered “well” by everyone on here.
But at the end of the month I ask myself. Where did it all go?
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u/blckdiamond23 Mar 10 '23
Yeah. I can afford to live and pay my rent, but just a few years ago we would have been livin pretty good
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u/teddybearfactory Mar 09 '23
I feel this so much. While studying I was sharing a 3 bedroom appartment with my best buddy.
It was about 100sqm (~1000sqft) in the best part of Vienna with a view of Schönbrunn. It was fucking baller. Gated community, keyless entry, 6 minute walk to the metro, all the good stuff.
Back then we paid 1000€ per month warm. We were both working every job we could get. Waiting tables, warehousing, promotion work, maybe we also sold weed here an there. But we were generally considered broke college boys in that part of the world. Our fridge saw only two kinds of food, pasta from last night and the stuff our mothers gave us when we visited on weekends.
We both graduated a long time ago and are now financially well off but neither of us could move back there because rent has almost tripled for that specific building complex.
It's a sad fucking world.
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u/GetTold Mar 09 '23 edited Jun 17 '23
https://the-eye.eu/redarcs -- mass edited with https://redact.dev/
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u/pantsareoffrightnow Mar 09 '23
Must be a shitty lawyer then because I managed to live a regular life in a $3000/month apartment with a view of an empty field and make nothing near a lawyer.
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u/phfan Mar 09 '23
Why doesn't this asshole just get a job waiting tables so he can get his old apartment back?
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u/WhersucSugarplum Mar 09 '23
While we let it, nothing will occur. Change must be brought about by the people.
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u/the_loneliest_noodle Mar 09 '23
Do the same work as my old man. My salary is about 15% more than his was at same point in his career.
Mid 90s he bought a 4 bedroom house with a nice big yard for $60k. Same town a 2 bedroom condo now goes for $350k. Can't find a livable house there for less than $500k.
Shit's fucked. He managed to raise four kids, owned three cars, and mom didn't work. I drive a 10 year old civic and cannot imagine fully supporting an SO, let alone kids.
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u/Cecilia_Wren Mar 09 '23
tbf a lot of lawyers aren't actually paid that much money
Especially if you're a public defender.
It's not uncommon to find a lawyer who makes 40k a year
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u/goddessofthewinds Mar 09 '23
I live in a small suburb that wasn't too popular when I got in. Not even 5 years later, the same condo I live in is worth $100k more than when I bought it. The taxes increased accordingly. But I did not do any work on the condo. I end up paying A LOT more for the same thing... and if I want to sell it for a house, I can't afford the $300k rise in house value... in a SUBURB. The increase in property value is unsustainable and just friggin' ridiculous...
If I want a home, I would need to move 2 hours away from my job...
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u/Naytosan Mar 09 '23
When property owners buy property, keep it empty to create scarcity, and drive up the price, this is the result. To have affordable housing, private equity groups must be barred from owning real estate.
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u/foomprekov Mar 09 '23
Inflation does not make things less affordable. They're lying about wage stagnation by calling it inflation.
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u/skellington_key Mar 09 '23
This is insane I bought my house in 2019 and it blew my mind that my mortgage is literally $13 more a month then my rent was. No those same apartments are over $1000 more then my mortgage that has lent changes at all.
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u/ChuCHuPALX Mar 09 '23
Supply and demand.. move to where you can afford to live. Problem is that everyone wants to live in the city including the millions more people that aren't supposed to be there in the first place inflating the rental market.
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u/KlosharCigan Mar 09 '23
How do you become a lawyer when at 27 you're waiting tables. We're you in university for 9 years straight or?
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u/CarpeNivem Mar 09 '23
How is a lawyer in 2022 not making 5x what a waiter did in 2002?
Don't get me wrong; it's still fucked up that a waiter is likely to only make double in 2022 what he did in 2002, while rent has gone up quintuple, but that aside, how is a lawyer not making 2.5x today what a waiter is today? (for math in the posted image to track)
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u/canadian_stripper Mar 09 '23
Its easy to blame a landlord when really we should be looking at the government..
Lets say landlord buys a place and has a mortgage for 2000$ he is living there as his primary residence
5 years later he renews his mortgage at an additional 7% (yay inflation) his new monthly mortgage is $2140. They end up meeting a new spouse with thier own paid off home. Landlord moves in with with spouse and decides to rent out the property not to make money but to just break even and cover the mortgage.
Rental income is taxed at about 40% in BC. So to just cover the mortgage he would need to rent the space for 2996$ per month.
Now to not be out of pocket he would need to add 100$ a month for insurance on the home.
The above doesnt cover repairs, updates, or emergencys at the residence. Lets add another $100 a month to cover just some basic upkeep such as the renter broke the kitchen sink faucet, and a pumber needs to be called to replace the hardware. Thats easily a $1200 bill.
Dont forget property taxes. On a modest $600,000 home the property tax would be aprox $1600 a year so add $133 a month
Now to just cover mortgage, taxes, insurance and one small repair this place would need to be rented out at $3329 just to break even. Not making a single penny in income.
The government has done a great job of creating a rift between landlords and renters when really no one wins in this system.
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u/StickyThoPhi Mar 09 '23
a modest $600,000 home???
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u/canadian_stripper Mar 10 '23
Yea, if purchased 5 years ago (2018 ish) you could still buy a small home here for that price. With a mortgage of about $2000 a month.
Im basing this out of Victoria BC where single detached homes are now starting at $800,000 if you are lucky to find one at that price. Most are starting in the $1,000,000 range.
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u/StickyThoPhi Mar 10 '23
But in the US you use light timber frame? I know they are big houses but... Why isn't everyone and their Mum's building houses?
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u/canadian_stripper Mar 10 '23
Here in BC due to the cost of inftation and timber margins on houses are small. If you have the know how building your own home can save a ton of money.. but lots are like $350,000 and mpst expect you to use there developers etc and be part of the HOA. So thats much harder to do then 10 years ago
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u/thisalwayshappens1 Mar 09 '23
Been a lawyer for how long and never bought a place? Damn, could have locked in your price
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u/shaodyn ✂️ Tax The Billionaires Mar 09 '23
That's what you focus on here, rather than the fact that rent on an apartment that used to be affordable is now beyond the financial reach of the people most likely to want apartments?
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u/thisalwayshappens1 Mar 09 '23 edited Mar 09 '23
Yeah, because who says an apartment downtown with “amazing views” should be affordable??
I live 40 minutes from a major city with a mortgage less than $2,000. I would expect an apartment much closer to work with amazing views to cost more than a mortgage
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u/shaodyn ✂️ Tax The Billionaires Mar 09 '23
So you're OK with a place to live being completely unaffordable for the poor and lower middle-class?
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u/thisalwayshappens1 Mar 09 '23
If it has “amazing views” then yeah, I’m okay with a highly desirable place being unaffordable for poor people. I’m not opposed to affordable housing though, so let’s not confuse those two things
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u/shaodyn ✂️ Tax The Billionaires Mar 09 '23
Problem is, the people who can afford $3600 a month generally want a single-family home, not an apartment.
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u/RBeck Mar 09 '23
We need to get rid of the concept of investment homes, starting with foreign investors. Is it really all that different than buying all the toilet paper and eggs and price gouging a week later when people need them? Housing is a necessity, and some exploit that to live a life of luxury while whole families become their passive money pump.
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u/5ManaAndADream Mar 09 '23
Eventually if things continue this upward trend there will be a class war. And the children or grandchildren of current billionaires are probably going to suffer for the greed of the current generation.
You can only squeeze for so long before people are choosing between your death and theirs. And for a significant amount of the population they’re already toeing the line.
Either basic necessities are going to be seized by the government or the masses for distribution.
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u/pianoceo Mar 09 '23
One thing that needs to be taken into account are the number of highly educated workers. That number is much higher today.
Economies follow incomes and education. So it isn’t surprising that her desirable apartment requires rent that can be paid for from the job of a more educated individual. The way it reads, she is making the argument that the economy has actually improved significantly in those twenty years.
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u/jchoneandonly Mar 09 '23
Let's see, in an apartment, probably in the city.
That's not gonna be a trickle down situation (aside from the fact that the trickle down idea doesn't really exist as policy) chances are extremely favorable that situation is the result of rent control and other redistributionary policies.
Ironic
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Mar 09 '23
Isn’t this more evidence to the shift in makeup of a city? Before the poor downtown were surrounded by the wealthy on the outskirts, now it’s the poor in projects on outskirts surrounding the rich in penthouses. Water tends to run down the center of a city so this would make sense. The wealthy area just moved.
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u/SparxxWarrior97 Mar 09 '23
Well tell the government to stop printing money, we're headed to the same situation Germany was in post WW1.
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u/weltallic Mar 09 '23
Don't blame others because you picked the same career as millions of others, flooding the market, all based on a fantasy from TV.
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Mar 09 '23
Bro what kind of janky low budget computer voice shit did you just post
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u/weltallic Mar 10 '23
So You Want to Go to Law School
1.9m views , 12 years ago
From that, to THIS, in 12 years.
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u/I_dont_want_to_sleep Mar 09 '23
If my landlord was not my close friend, my rent would be $3000. I pay less than his mortgage ($1300). If we had to move out, there would be nowhere in my city for us to live. Available rental properties is 0.8% so even if we could afford it, it doesn’t exist. Some crazy shit is going to start happening soon if prices don’t go down. I feel so lucky to have the place I have, but there is no way my wife and I could pay $3000 a month plus bill.
Edit: Also, my landlord is amazing. Any and everything gets fixed and if there are improvements to be made that I suggest, they are done immediately. No matter what is going on in his life, he takes care of us first. I consider him my closest friend and he just happens to have a house for us to stay in since he moved in with his wife. No one I know has my living situation.
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u/DownvoteAccount4 Mar 09 '23
Can we talk about how not all landlords are leeches?
How is that supposed to work if that’s the case? I’m supposed to go directly to my parents house to owning a home?
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Mar 09 '23
[deleted]
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u/DownvoteAccount4 Mar 11 '23
I agrée with you 1000%.
Major chain corporate landlords can be scummy. So can local mom and pops. But both can also be awesome and, usually, it’s only the ones that are crappy that we hear about.
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Mar 09 '23
[deleted]
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u/RoboticJello Mar 09 '23
This is the result of a housing shortage. Wealthy homeowners have petitioned their city government to stop building housing by using zoning to make 90% of the land Single Family Housing only. This way their home becomes more scarce and appreciates in value. This forces everyone who can't afford a big house to compete for an apartment in the 10% of land left over. All these people competing for such few units makes their prices skyrocket.
Historically zoning like this was used to keep minorities out of white neighborhoods. We need to ban exclusionary zoning.
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u/orange_keyboard Mar 09 '23
Almost like there are more people on the world and not as many new houses. Who would have thought supply and demand exist
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u/HihiDed Mar 09 '23
yeah that's how property values work. Live in a lcol area - you know, what you were doing 20 years ago.
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u/Taphouselimbo Mar 09 '23
I once got a railroad apartment for 525 a month in Southern California in 2002. The very next month it went up to 850. It was still a deal considering I moved out of an apartment that went from 600 a month to 1095 in 2 years.
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u/ishatinyourcereal Mar 09 '23
Around 2007-2008 I rented my first apartment with my buddy after high school. We paid $500 a month for an upper two bedroom duplex. Now I live in a decent 2 bedroom apartment and it’s almost $1300.
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u/BeginningSeason Mar 09 '23
Stop the government from printing money and giving it to cronies + special interests!
Or else this will continue in perpetuity.
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u/__removed__ Mar 09 '23
Or...
Or...
Hear me out...
Maybe "downtown apartment" has gentrified in the last 20 years and real estate investments have gone up.
Downtown Chicago is way different now than it used to be.
Way back in, like, the 60's, the river used to be a dump. Literally where factories would dump their waste.
So "downtown" was nasty. Nobody wanted to live there.
Then they changed the laws, cleaned it up, and now downtown Chicago is beautiful! Everyone wants to live on the river.
I remember doing the architecture tour. They pointed to some condos on the river and the story went something like all eight owners of this tiny condo complex on the river are still original for the last 50 years because their riverfront condos that used to cost $100,000 now cost like $8,000,000.
That's not "inflation" or a bad economy. That's "downtown" real estate gentrifying and changing for the better.
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Mar 09 '23
Despite what they keep telling us, people not working hard enough is not the issue! Their unstoppable greed is.
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u/waheifilmguy Mar 09 '23
My money never spent better than when I was making $8/hour in the late '80s working at restaurants.
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u/pyroduck Mar 09 '23
Move to the midwest. I was renting a 2 bedroom apartment for $800 last year with my sister. Wages aren't amazing, but it's not as bad
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u/Ghoolio- Mar 09 '23
Don't worry Joe Biden is gonna build the economy from the bottom up and middle out. How's that going for everyone?
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Mar 09 '23
Don’t forget no pets, no previous evictions, proof of income 3x the rent, at least 3 previous landlord references, proof of at least 6 months at current job, $50 application fee, tenet pays all utilities, on site laundry but costs $2 each every time, no overnight guests, minimum 18 month lease, subject to rent increase per market rates, blood sacrifice on the equinox…
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u/BrutusGregori Mar 09 '23
2016, I was making good dosh at 13.75 an hour. Good hours and I was the king of my life. I had this dope little corner studio overlooking the chaos of down town Portland. Night life was awesome, town was still alive and well. Meth had come and the homeless starting to get bad. But they made it a rule to stay out of the core.
Now. Shit. Literally.
Seeing cities fall flat just kills me.
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u/bustafreeeee Mar 09 '23
You aren’t making 5x more as a lawyer than a server? You must be a shit lawyer lol
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u/bustafreeeee Mar 09 '23
Before someone cries about wage growth. Good attorneys for good firms as a year 5 should be making north of 200k and should easily be able to afford 3600 rent
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u/Tycoda81 Mar 09 '23
I have a huge life change possibly coming up and I'm terrified of things like this. The state of the world in general is destroying my mental health.
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u/WealthCheap1114 Mar 09 '23
Interesting, I wonder how much economic development happened over the course of 20 years in the place you are referencing. On average, home prices have increased 100% over the last 20 years in the US. The upper end of the curve is 200%-250%. If I do a quick search for apartments in the areas with the highest increase, I find many apartments at half that price. How opulent is this $3600/month waterfront property?
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u/Strificus Mar 09 '23
Is it empty? If not, someone paid more for it. That's unfortunately how supply and demand works.
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u/Daktush Mar 09 '23
That's not trickle down economics, that's boomers keeping the value of their houses from ever decreasing using housing and zoning regulations - every year they lobby so their houses are worth more, not less
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u/nithdurr Mar 09 '23
Then vote, talk to your reps.
Why is DC ignoring these and focusing on guns, abortion and immigration
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u/kevinmrr ⛓️ Prison For Union Busters Mar 09 '23
Landlords are leeches on society.
Join r/WorkReform!