My alternate take. This is a prime example of why housing shouldn’t be viewed as an investment. If the value of a home outstrips the rate that wages increase then isn’t this story always the logical conclusion?
Eventually no one will be able to afford a house not merely because they can’t buy it in the first place, but because even if they inherit it they can’t keep up with the tax bill because on paper it’s worth 8 times what their parents paid even inflation adjusted. I’m not even making those proportions up, that’s about the change in cost in my neighborhood I think.
My alternate take. This is a prime example of why housing shouldn’t be viewed as an investment. If the value of a home outstrips the rate that wages increase then isn’t this story always the logical conclusion?
Eventually no one will be able to afford a house not merely because they can’t buy it in the first place, but because even if they inherit it they can’t keep up with the tax bill because on paper it’s worth 8 times what their parents paid even inflation adjusted. I’m not even making those proportions up, that’s about the change in cost in my neighborhood I think.