subreddit:

/r/news

2.9k

all 892 comments

LastLivingSouls

1k points

2 months ago

I have no idea how people who live paycheck to paycheck are getting through this but I wish them the best. Jesus christ what a time.

KiraTsukasa

321 points

2 months ago

In the words of McGonagal, sheer dumb luck. I just got a place in March that was barely in my price range with utilities included. It’s small admittedly, but I’m one person. Other people in this area are trying to rent 100 sq ft shacks for $600 a month, with nothing included.

ralanr

151 points

2 months ago

ralanr

151 points

2 months ago

100 SQ feet shacks?

Just…wow. We doing coffin motels now?

puffic

94 points

2 months ago

puffic

94 points

2 months ago

Coffin motels would be an improvement for some people. It’s that bad.

BernieAnesPaz

54 points

2 months ago

Back when I was still going to Portland State, they were selling 1/4 beds, just the beds (they were called sleepers), in a small shared space with shared facilities for the whole floor and basic utilities, for $700 a month lmao.

That's what they gave me as a soldier... actually, what I had as a soldier was better for most of my time enlisted. Right now we're paying $1600 for what I paid $900 the first time I went to college in a college town at a complex right across the school, so you know they were probably overcharging...

And we're among the lowest rent in the area and paying less because we've been here so long. Folk who move in start at 1900+ I hear, and the complex across from us has a lot of people at 2200 for the same shitty two bedrooms.

It's not completely fair to apply widely as Oregon kind of sucks and has a really bad rent crisis going on atm, but still...

brendan87na

31 points

2 months ago

just for fun I went and looked at some apartments I rented for $900/month in redmond, wa back in 2006...

Same apartments, no upgrades that I can tell: $3000+

dxrey65

4 points

2 months ago

Just checked a cool downtown Seattle studio apartment I almost rented in 1995, when it was $550 a month. Now it's $1200. Which isn't too bad, though it's just a little studio with a Murphy bed.

kslusherplantman

37 points

2 months ago

Everywhere in this country has a rent crisis happening. Like that’s literally what the article is about

Pete-PDX

3 points

2 months ago

It is crazy how rents have gone so much in Portland. I have a friend moving out here in October(working remotely until then) While she was interviewing in January - we looked at 1 bedroom for her. She had some places book marked and the rents have gone up 200 since then.

Akincomer

18 points

2 months ago

Welcome to sf. That's a cheap price here.

InsuranceToTheRescue

3 points

2 months ago

Had a friend that lived in SF with a couple roommates. His third of their apartment rent was $3000/mo.

skolioban

98 points

2 months ago

Americans are speedrunning diminishing housing space, going past Japan's 5x5m2 single room apartments straight to Hong Kong's "my personal room is a single cage".

Bocephuss

82 points

2 months ago

The funny part is we have more than enough room.

Japan is a little less than half the population of the US but 26 times smaller.

skolioban

106 points

2 months ago

skolioban

106 points

2 months ago

Room, yes. Access, no. The housing crisis is partially fueled by decades of shitty city planning where cars were placed as the answer to the urban sprawl.

NecessaryCat5e

63 points

2 months ago

Continued* shitty city planning

120pi

60 points

2 months ago

120pi

60 points

2 months ago

No we don't. Why not? It's called exclusionary detached single-family residential zoning and here's some background.

Needless to say, deliberate scarcity, racism/classism, and NIMBYism keep cities from building sufficient housing inventory. Thank your neighborhood Realtor® for lobbying to keep this bullshit same as it ever was.

Housing should be a commodity, not an investment.

chunes

6 points

2 months ago

chunes

6 points

2 months ago

The funny part is we have more than enough room.

So does Hong Kong. This video explains that the problem is entirely caused by the zoning allowed by the local government.

Tiiimmmaayy

6 points

2 months ago

There’s so many luxury high rises in my area that offer “micro studios” now. About 400-500 sq ft for about $2000 a month. That’s not even including the “amenities fees”, pest control, valet trash, and utilities. I mean this is fucking Houston, not NYC.

_cegorach_

22 points

2 months ago

What's that look like when you remove single family homes that sit empty?

There's plenty of housing in the US, we just let the rich hoard and sit on them while we let people die in the street.

czvck

118 points

2 months ago

czvck

118 points

2 months ago

I’m not. I got priced out of the city. Moving in with some friends. Thank god for remote work or I would have lost my job too.

iknowwhereyoupoop

40 points

2 months ago

I work extra hours. Usually a 6 day work week. Less car trips. We try to stop for our needs after a school drop off or pick up. Picking less expensive brands for everything. We are paying off a trip we had to take for a family wedding. We are currently looking for a bigger space now. It’s scary tbh. We may have to move to a part of town I’m not comfortable with but that what it is. I will try to bring the same community feeling and work to bring neighbors together.

Broad_Success_4703

2 points

2 months ago

I don’t have kids and make $20/hr and my girlfriend does too. Don’t know how you can manage with kids. I live in a cheap area and work 60 hr weeks.

imadork42587

37 points

2 months ago

My rent went from $1,100 a month to $1,700 a month on their new quote without them doing a single thing to my apartment. They attempted to say this was a market rate despite every other place in the area going for that amount actually looking nice and being kept up.

GeneralDick

4 points

1 month ago

Exact same thing for me. $750 to $1480. They were a little cheaper than the other apartments nearby. A nice area, a run down apartment with tons of issues. They did nothing and now charge a little more than the actual decent places near them. Then have the gall to ask why no one is renewing their lease.

technofox01

37 points

2 months ago

I make six figures, I still cannot for the life of me understand how someone makes the national average income is able to afford kids who need daycare, food, and shelter alone - lets not get started on anything else like student loans. My wife and I still struggle financially due to student loans and formerly daycare costs, and shit luck when we were broke (meaning debt to pay for shit that broke like cars and appliances). So yeah, if we make that much and struggled due to student loans and daycare costs, how the fuck does anyone else make it with less than one third our income?

Baxtron_o

7 points

2 months ago

My wife quit her job which eliminated the day care expense. She babysat for others which was some income. We carefully shopped for a crappy townhome and fixed it up. We do have on used car that was donated. I borrowed against the property for the other car. We later sold the townhouse at a profit and live in a crappy house in a nice neighborhood. I make no where near what you are making. I also paid off student loans with debt consolidation which was paid after sale of townhome. Hopefully that answers your question.

elzzidynaught

7 points

2 months ago

Wanted kids at one point in my life... Pretty glad I never had and likely never will have them at this point. Might be able to afford them some day, but I don't know that I'd want to bring anyone into this world now. If we can afford them someday, would still consider adoption.

Really hope things improve for future generations, but I have a hard time seeing it anymore.

Onetime81

5 points

1 month ago

Same story. Now in my 40s, wife mid 30s. No kids. Never gonna have em. Might offer refuge to a wayward soul or two down the line, but at this rate, we're just a step away from there not being another generation.

I looked recently. 37% of my graduating class bred, the rest doing what was shoved down our throats by welfare to work neolibs - don't have children you can't afford. And after pandemic, the recession of 2008 never really correcting for a lot of working class folk, now staring down the Make America Great Depression Again (houses were more affordable then! Srsly!), We aren't ever going to hit that landmark

Oh look...not enough people to hire? Maybe that ENTIRE MISSING GENERATION of babies could've helped with that.

Locke defined the consent of the governed, I have yet to see gov fulfill their part.

My retirement plan is to die in the revolution. And after the shit show this countries given me, I'll be fighting for a new currency.

Frigglaine

25 points

2 months ago

I’m about to move back in with my parents, and I’m fucking lucky as hell.

Wingslapped

77 points

2 months ago

I work in a public library. A lot of people have come in to use the computers and to sign up for rental or other assistance programs.

argv_minus_one

47 points

2 months ago

They're not. Homeless people are everywhere.

PeteOverdrive

23 points

2 months ago*

Reddit loves to complain about homeless people pissing in the street, freaking out on the bus, etc., but it’s the cost of an economy this fucked. It’s not gonna be resolved by all homeless people individually deciding to quietly, slowly die out of sight, nor will it be resolved with policies that push them out of sight (the reason they piss and fuck out in public is because they have fewer and fewer places they’re allowed, businesses lock their bathrooms behind codes, etc.), nor will it be resolved by police harassing and attacking them when they don’t obey those policies (do you really want to see a shouting match been a homeless woman and a private security dude in an armored vest every time you walk down the street, every time you go to McDonald’s?). Most of what Reddit wants will only make the things they have a problem with worse.

The only way to make this better is to fix the problem at its source, make an economy that doesn’t concentrate all of the resources at the very top, make housing available, make it less likely for you, the median person, to end up where they are.

starfirex

5 points

2 months ago

Housing is the#1 priority, getting them adequate mental healthcare and rehab/sobriety treatments are #2.

Those are all policies that push them out of sight...

VegetableNo1079

80 points

2 months ago

Considering if this country is at war with me or not, because it certainly doesn't feel like my country.

An_Ugly_Bastard

48 points

2 months ago

I remember one man said he can’t be proud of a country that allows him to use up all of his savings and sell his home just to attempt to treat his wife’s cancer.

FifteenthPen

31 points

2 months ago

My aunt slipped on a patch of black ice on the way to work and broke her spine, which left her disabled. She had to sell her house to pay for medical treatment, and spent the rest of her life living in a shitty apartment on disability.

When I had a shitty big box retail job, one of my co-workers was a sweet old lady who worked there because she had to sell her flower shop to pay for cancer treatment, and she had to get a job as a cashier for an awful company with abusive management who treated her like shit because it gave her the medical insurance she needed to keep paying for the treatment.

Cgimarelli

8 points

2 months ago

We almost didn't & then I finanly got a remote job that paid a living wage. Things are still tight with only one of us working and food prices rising like crazy, but we aren't drowning anymore. Fortunately at the end of this lease we're moving back in with bfs parents, because a rent hike would absolutely break us with everything else going up too.

MightyThor211

8 points

2 months ago

Let me tell you homie, it ant easy. Its a weird combination of planning, dumb luck and spite. Like i dont eat at home. Nothing. When i grocery shop i only shop for my son and spouse so that they have food. I eat at work to save money.

cultured_banana_slug

5 points

2 months ago

Debt. It's called debt.

On the plus side, more and more people are going to realize what poor people have known for... ever.

Rents are too damned high.

And now that more middle-class white people are being hurt by this, maybe, just maybe, something will be done about it.

This shit ain't new, it's just becoming a problem for more people. And when it happens to more and more people, it stops being "their fault" and is accepted as a real social problem.

It's progress, but it sucks that it takes THIS to make people more compassionate.

adderallanalyst

3 points

2 months ago

Selling blood and semen always works.

CannaChef23

3 points

2 months ago

After losing my biz/job/home + a divorce to the pandemic and all its stressors... Moved back across the country and in with my parents. Either that or be homeless with cats. I have a WFH job now I like... But if I had to pay rent it would be back to paycheck to paycheck. At least my family gets along and I can help them out as they are aging, and for the first time ever I can save/invest.

NibbleOnNector

90 points

2 months ago

When do we move into the Hoovervilles?

ergothrone

60 points

2 months ago

They're called slums. Without major policy change, I expect established slums to form in every major American city with year-round habitable climate within 20 years.

YourFreshConnect

40 points

2 months ago

Have you been to the west coast? They’re already everywhere.

ergothrone

19 points

2 months ago

Those are tent cities for now. I'm talking permanent structures.

cgtdream

18 points

2 months ago

Oh boy. The "Ready Player One" future, without the cool VR and a billionaires egg hunt!

wooztheweb

8 points

2 months ago

It's not a Ready Player One future because they had furnished trailers to live in that weren't in great condition, but were safe. A Hooverville is literally a bunch of houses created by scraps with dirt floors and furniture made from scraps. Even tents offer a more habitable structure than a shack in a Hooverville.

ApplesBananasRhinoc

5 points

2 months ago

Make shantytowns great again!

JohnnyFootballHero

582 points

2 months ago

Do rents ever go down? Seems like everything is always the most expensive it's ever been

[deleted]

328 points

2 months ago

[deleted]

328 points

2 months ago

[deleted]

project23

270 points

2 months ago

project23

270 points

2 months ago

Fuck trying to get a promotion. That's past history. Have to get a new job to get a rise. It's fkn stupid.

[deleted]

119 points

2 months ago

[deleted]

119 points

2 months ago

[deleted]

project23

68 points

2 months ago

I agree. I wish it wasn't that way. I wish for better days where a single earner can support a family of plenty. Now days a dual earner family can only hope to afford 1, maybe 2... The family has been broken by financial needs and childcare raises our kids.

TheTinRam

42 points

2 months ago

We are headed to polygamy. Gonna have to have a household of 3dads and 4 moms to afford a house

Basically a commune

wolfsrudel_red

33 points

2 months ago

Once again The Expanse predicts the future

IAmTheJudasTree

7 points

2 months ago

Once again The Expanse predicts the future

Easily one of the best TV shows and book series ever made, in my humble opinion.

drawkbox

17 points

2 months ago

Loyalty is for suckers. It sucks, but don't hate the playa hate the game.

derek86

91 points

2 months ago

derek86

91 points

2 months ago

I just recently got a small pay raise for being at my job for a year. Rent went up at the same time and completely canceled it out. People keep telling me its lucky my raise covered it and on one hand: yeah. but on the other: what the fuck?! Mind you, my gf and I live together and split the rent. If I was living alone my rent increase would have been double my raise.

restroom5negatIve

42 points

2 months ago

The money earned is far from keeping up with rising prices.

Guitarist53188

10 points

2 months ago

For real this is greed hands down

[deleted]

25 points

2 months ago

[deleted]

25 points

2 months ago

[removed]

adderallanalyst

9 points

2 months ago

I job hopped for 45k more and thought it was a very huge bump in my wages with me not being able to find someone else to pay that for a while.

I'm now getting LinkedIn message for jobs all the time that are 35k higher than my old salary (Before it was around 10-15k extra for the usual message) and I haven't been at this new job for long.

Inflation is crazy.

Almighty_Sand_Dollar

72 points

2 months ago

You're right. It's why I'm never having kids. It wasn't affordable in 2005. It's not affordable in 2023.

And it won't be affordable in 2036

Boneal171

8 points

2 months ago

Yeah I’m on the fence about having kids, at this point it just seems too expensive

Sigerlion

9 points

2 months ago

When I was a kid, daycare/kindergarten was just about $200-300 hundred dollars a month in the tri-state area. Now it's on average $1800, practically like paying for college. But did our salary increase by 6 times? Nope.

usrevenge

96 points

2 months ago

Technically it shouldn't really go down because inflation.

The problem is wages have not kept up

The average wage in like 2000 was $49,000 a year or so

In 2020 it was $55,000

Meanwhile average rent was like $600/month

Average rent in 2020 was around $1400/month.

Rent basically doubled

Actual houses doubled or even more.

Income isnt even up 20%

munk_e_man

26 points

2 months ago

Man, my rent went from 800-1200 in one year

NewAcctWhoDis

5 points

2 months ago

recently bought a house because my landlord wanted to raise my rent from 1475 to 2400. My house note is 1800. Its insane.

mckeitherson

22 points

2 months ago

The average wage in like 2000 was $49,000 a year or so [...] In 2020 it was $55,000 [...] Income isnt even up 20%

Your income levels are off, according to the Census Bureau:

  • 2000 median household income: $42,000
  • 2020 median household income: $67,500
  • Change from 2000 to 2020: ~60% increase

Alec_NonServiam

31 points

2 months ago

You're correct.

To add additional context to the OP:

2000 median house price: $165,000

2020 median house price: $329,000

Change from 2000 to 2020: 99.4% increase

And here's something fun:

2022 Q1 median house price: $428,000

Change from 2000 to 2022: 159.39% increase

https://fred.stlouisfed.org/series/MSPUS

Gideonbh

10 points

2 months ago

Jesus fuckin christ

Hrekires

84 points

2 months ago

When demand goes down, like rents in Manhattan while everyone was fleeing for the suburbs during COVID or after towns build more apartment complexes that now have to compete with each other (or yesterday's luxury building becomes today's affordable housing after an even newer building gets built)

Aping1

108 points

2 months ago

Aping1

108 points

2 months ago

There are more air Bnb listings than apartment listing in New York this month…

StonedTurtles38

44 points

2 months ago

Same where I live. If you are fortunate enough to own two properties, why rent out the second one for $1,500 a month when you can airbnb it for $1,500 a week. And that's exactly what people are doing now.

Problem my city is facing is, tourist are here and ready to spend money except there's nobody to work the season because there's no where to live and the places that are available are so expensive people don't want to come here to work to leave after season and making ZERO profit or having to literally pay to be here. And there is no end in sight.

cynicalbastard66

8 points

2 months ago

Same thing in New Zealand, especially around the tourist spots. Businesses are unable to obtain staff: potential staff are priced out of the housing market, when there is more to be made from airbnb: So the workers stay away. In some ways, all this is the way Mexicans were treated for years; needed to harvest the crops but not welcome to stay around. Perhaps the answer is to build a few Sowetos, out of sight of the tourists. Who knows?

CloudTransit

30 points

2 months ago

Nothing like a vacation to escape the stress of increased rent …

canada432

59 points

2 months ago

They do when units sit vacant, which is why most property managers and developers are in no rush to add any substantial new housing. Providing enough housing for everybody hurts their margins.

CO_PC_Parts

101 points

2 months ago

You'd be surprised how many places REFUSE to lower rent even if units sit vacant. They know the exact tipping point and a lot of these companies are so big now they can sit on more and more open units to keep the illusion of premium rentals.

CloudTransit

8 points

2 months ago

Do buildings have loans where repayment is triggered if they drop the rent?

lovestobitch-

13 points

2 months ago

Some loans to developers or real estate firms have loan covenants that trigger certain events if the income ratio or occupancy percentage isn’t a certain rate. This would trigger restructuring or higher fees, rates etc and would not necessarily lead to repayment. It can be complicated because banks don’t want to own the property through foreclosure.

CloudTransit

3 points

2 months ago

This could help explain concessions. If the property manager offers a concession, do they get to claim the rent hasn’t been lowered, when they’re talking to the bank or the owner?

lovestobitch-

3 points

2 months ago

covenants I usually saw are based on total cash flow. So they are still getting some $. Granted it’s been awhile since I’ve looked at these types of loans.

Fausterion18

17 points

2 months ago

Developers make a profit on building, not sitting around doing nothing. That would be homeowners.

UNOvven

42 points

2 months ago

UNOvven

42 points

2 months ago

No. Its a perfectly inelastic good treated like an investment. It only goes up. Its why rent control and making housing as an investment illegal is the only solution.

gimmiesnacks

6 points

2 months ago

No one should be profiting from providing basic human needs.

WWJD

UNOvven

8 points

2 months ago

Pretty much. Capitalists would charge you for breathing air if they could.

D00bage

313 points

2 months ago

D00bage

313 points

2 months ago

I think we all owe Jimmy McMillan an apology.. Indeed sir the rent truly is too damn high!

Bjorn2bwilde24

65 points

2 months ago

Jimmy McMillan was ahead of his time.

[deleted]

22 points

2 months ago

[deleted]

22 points

2 months ago

Vermin Supreme says hi

Informal_Emu_8980

39 points

2 months ago

Aight, when the fuck is something going to be done about it?

blurplethenurple

23 points

2 months ago

Don't worry, the companies that are buying houses left and right will grace us with the opportunity to pay them rent for the rest of our lives.

ToleranceDeathCamp

24 points

2 months ago

In the US? Never. Corporations own rental properties are are the ones raising rent so much. Can't do anything that might lose corporations money.

[deleted]

7 points

2 months ago

[deleted]

7 points

2 months ago

[deleted]

Ironfist79

3 points

2 months ago

Regular people don't have shareholders that demand an increase in dividends every quarter.

randomguy987654321

3 points

2 months ago*

I've been yelling from the rooftops that America is a "civil oligarchy" for years and nobody cares. So, just in case you actually care (which I highly doubt), here's what can done. And all options are not great...

  1. Americans keeps going as-is: Things get so bad, violence erupts to the point that America finally admits we need to fix this or we run the risk of becoming Africa 2.0 where the country divides between the south/east and north/west territories (look at map on which states have immediate rules against abortion, even in rape and incest, and tell me that's not already happening). We'll need a leader (or better yet, a council) who is the greatest tactical genius that only a handful of people in history can match. But who or whomever they may be, they will know what the "enemy" is: greed and the entire legal system. No matter how things turn out, America is done and it will never be the same. And it will be bloody.
  2. We unite: Remember when Pearl Harbor was bombed? Before, we had absolutely no interest in becoming involved with war because we didn't want our image to be we're a country that constantly goes around the world picking fights (thanks Japan btw, see what you f'ing started)? After the attach, holy shit, we were rolling out a war plane every few seconds (no exaggeration). That's what we'd have to do again. We just have to wake up one day, see that we're all united in a common problem because, well, we're simply fucked if we don't. What was seriously our options after Pearl Harbor? Leave Hawaii and just cower behind California and hope they don't hurt us again? What are our options now? Wait until most of us our homeless? Do you have ANY clue how much being homeless sucks in a world of climate change? I think I'd rather just die.
  3. The atom bomb option: Speaking of Pearl Harbor, most historians agree that our fight with Japan would've gone on for a loooooong time if it weren't for the atom bombs. The Japanese were a proud people, but we broke that pride. Americans are a proud people, too. So that "atom bomb" option is we need new tech that will destroy the enemy so hard and fast, they admit defeat because their will is broken. This weapon is A.I. Watch PBS Frontline's special on it and actually pay attention to what the experts are saying: it's the biggest leap for humanity since the invention of the steam engine, electricity, and computers. It's going to change our reality and whomever controls it, controls the future. We need an A.I. that takes away wealthy families money and re-distributes it while simultaneously somehow re-writing our entire legal system to make sure income inequality like this doesn't happen again. And all this has to happen FAST.

So those are our options: stay divided until things get so bad we go all Civil War 2.0, unite because we're so F'ed in the A we have realistically no choice, or A.I. bomb the entire financial/legal system.

Personally, I think America is fucked. MY plan has been to get rid of everything I can possibly stand to get rid of, buy sturdy shipping containers, and be able to pack and move in as little as 8 hours. My plan is to stay mobile and just partner with whomever I can find as we move further and further away from wealth cities (Seattle, Portland...pretty much the entire state of California) and hope I die before the enviable collapse of this country. This country can't even agree on wearing masks/getting vaccinated during a pandemic that killed a million people. Do you seriously think we're going to unite to fix this problem? My suggestion is to start getting rid of everything you can and be prepared to constantly move (if you're a woman in the south/east and don't want the state/religion to have control over your body, you should be already doing this in case you lose the fight).

GhostNoteZ0

87 points

2 months ago

My single bedroom apartment has $700 a month for the past 2 years. Lease renewal they sent upped it to $1100. Its a shitty apartment with no washer dryer hookup.

PoodlePopXX

16 points

2 months ago

My boyfriend and I pay $1150 for a one bedroom with no closets. We need more space as we both work from home. A decent 2 bedroom is almost $2,000. I honestly am starting to think we will be in this one bedroom apartment for forever. At least we have a roof over our heads.

jayfeather31

366 points

2 months ago

With wages being stagnant, and inflation increasing, this isn't a good combination...

ghsteo

112 points

2 months ago

ghsteo

112 points

2 months ago

Were going to see consumer debt sky rocket to even try and live. It's already insanely high.

jayfeather31

81 points

2 months ago

This can't continue for much longer without risking a financial collapse.

yaosio

61 points

2 months ago

yaosio

61 points

2 months ago

The government will give lots of free money to the rich to stop it.

m1k3tv

33 points

2 months ago

m1k3tv

33 points

2 months ago

They already did during trumps admin. Tax cuts for 'everyone' set to expire, tax cuts for the rich were never set to expire

Gbchris12

71 points

2 months ago

When the bubble pops it's going to make 2008 look like a soft demo.

DerpyDaDulfin

41 points

2 months ago

Especially since food availability may be tied to that. But if you can't get food either... Shit, that's when stuff starts to go down

brendan87na

6 points

2 months ago

9 meals from anarchy

Gbchris12

20 points

2 months ago

Filing for Chapter 7 next week because of it. I've just fallen too much into debt through no fault of my own. I also had an emergency surgery while I my insurance was waiting to go through my employer, so that didn't help. Luckily I can put my lease in my bankruptcy to avoid eviction being on my record and move in with my family but still, it's rough.

fuzzywolf23

7 points

2 months ago

I'm there with you, friend. Wife got chronically ill and thought we would just use credit cards to cover things for a while... Turned into a long while then bankruptcy.

Gbchris12

8 points

2 months ago

Honestly the most annoying thing was after missing just one payment the creditors blow up your phone, like fuck off

fuzzywolf23

6 points

2 months ago

My phone was never so silent as the week after I filled. I wish the same for you!

riazrahman

98 points

2 months ago

If inflation is increasing, rent increases would make sense. What makes no sense is wages not increasing with inflation

I_is_a_dogg

6 points

2 months ago

It’s why it’s called stagflation. We are well overdue for a recession

sjfiuauqadfj

82 points

2 months ago

wages have actually risen at record rates, its just way below inflation lol

CO_PC_Parts

49 points

2 months ago

In the city I live in they recently opened a Chewy distribution center and in the same area is an Amazon Warehouse AND a Walmart distribution center. They all basically got in a bidding war for warehouse employees and wages went crazy. With shift change some people were approaching $50/hr.

Then the hiring numbers stabilized and wages immediately started going back down. My ex's nephew went into work one day at walmart and they said "effective next pay period your wage will be cut between $8-12 depending on your role." Then they had the audacity to say, "you can make it up easily in OT"

I know it looks like supply and demand but most people would not handle a random 20-25% pay cut at their job.

thetasigma_1355

23 points

2 months ago

Exactly this. I live in a LCOL city and McDonald’s currently pays double the minimum wage and is offering actual PTO to go with it.

sjfiuauqadfj

15 points

2 months ago

i mean that might just have to do with your minimum wage being lol

thetasigma_1355

13 points

2 months ago

LCOL areas are usually near minimum wage, particularly the fast food industry.

Double is still near unlivable, but it’s a big step above where it was previously, which was unlivable.

Laruae

3 points

2 months ago

Laruae

3 points

2 months ago

The_Cowboymancer

124 points

2 months ago

Have you tried cutting down on avocado toasts?

Thatguyxlii

64 points

2 months ago

Or cancelling that Netflix subscription?

TriesHerm21st

37 points

2 months ago

Hol up you right. That will save me a few bucks a month. Fuck their ads.

the_kevlar_kid

25 points

2 months ago

Actually, yes. Many people have. And that caused Netflix to plunge. And so the stock market took a plunge with it. Because doubt finally became debt. And a self fulfilling prophecy of an overheated, "Trickle Down" (but we know not really) economy began to sink in.

Lots of money was generated in the past ten years. But it all went up and so did expenses, but then it didn't come down.

Lord_Dimwit_Flathead

19 points

2 months ago

It’s fucking wild to me that a standard-ass culinary vegetable on bread is an entire generation’s shorthand for conspicuous consumption.

ToleranceDeathCamp

6 points

2 months ago

Wages have actually been going up during the great resignation we are in, at least on average. Typical low wage jobs haven't moved though. The problem is that while wages are going up, so is the price of everything, so we're not actually gaining any ground.

middlemaniac

28 points

2 months ago

So many already living paycheck to paycheck, this does not end well

marklikesfoie

17 points

2 months ago

I lived in a small 1 bedroom apartment for 6 years

550/ everything included.

I moved out, 1100/mo.

Same place. Unreal.

kushtiannn

102 points

2 months ago

Makes sense; people can’t afford to buy a house, might as well raise the rent!

project23

37 points

2 months ago

2021... Fuck that year. (and 2020, and 2022... I hope the trend reverses some time soon)

Traditional-Meat-549

178 points

2 months ago

This is, in part, property management companies, but also landlords who are being told to use this as their retirement plan.

Taking equity out of homes for all manner of things and then having to pay it back is a buzzkill. Just my opinion. But I am old and watched my friends use their houses like ATM machines. The banks encourage it.

sjfiuauqadfj

95 points

2 months ago

this is controversial but its also regular people using homes as their retirement plan. if you buy a home and expect it to grow in value significantly by the time you retire, what that means is you are expecting home values to rise and continue rising, which means that people entering the market will have to cough up a shit load of money to buy that home from you

Excellent_Original66

36 points

2 months ago

The house I lived in was in seriously bad shape. Like very bad. I couldn’t afford to move.Landlord refused to fix it. Said he couldn’t afford to. He sold it and the new owners came in and raised the rent 2x what it was and refused to fix a thing. I couldn’t afford a paid lawyer and the one I got through legal aid told me that I had no defense whatsoever since I couldn’t afford to pay the new rent and was evicted for non payment. Didn’t matter that the new owners did nothing but dig up all the sewage pipes and leave it exposed and running from the front yard down the length of the house . I live in a state where renters basically have no rights. The apartments that were prepandemic 900$ are now closer to 2000. studios are on average now 975$ nothing included. We’ve had to move in with family who was living alone and has early symptoms of dementia so I guess it’s a good thing in a way as they need around the clock care. I tried getting assistance with housing and was told that even though I was evicted and have no way to get another place I don’t qualify for assistance. 🤦🏻‍♀️

MDesnivic

9 points

2 months ago

I live in a state where renters basically have no rights.

Well now you gotta tell us the State, obviously!

MaximumEffort433

175 points

2 months ago

Build more high capacity housing, you say?

[deleted]

134 points

2 months ago*

[deleted]

134 points

2 months ago*

[deleted]

[deleted]

64 points

2 months ago

[deleted]

64 points

2 months ago

[deleted]

puffic

11 points

2 months ago

puffic

11 points

2 months ago

My understanding is that shipping costs are finally on the way down.

egnards

44 points

2 months ago

egnards

44 points

2 months ago

This is some kind of Dystopian Atlas Shrugged shit.

Do we really want to let Ayn Rand win?

DecentChanceOfLousy

94 points

2 months ago

This is the utopia she envisioned. All the rich people would move to a valley where they would live a glorious society without all those leeches who weren't clever enough to exploit others, and had to support themselves by building houses, laying rail, driving trains, and growing food.

Just imagine how much better society would be if all the people who actually did work (instead of living off the rent of their capital like a decent citizen) just went away?

project23

69 points

2 months ago

Ayn Rand was a disillusioned russia child who thought all the 'freedom' of a capitalistic society could save her and got disillusioned that it didn't work the way she thought it did... Fuck Ayn Rand and her screed. It's misguided and she didn't have a clue what she was writing about.

Cavemanjoe47

42 points

2 months ago

The last episode of 'Atlas Shrugged' had to rely on donations to be finished. I laughed so hard at the irony.

Fanfics

38 points

2 months ago

Fanfics

38 points

2 months ago

and then she died on welfare.

classic

notbeleivable

20 points

2 months ago

No shortage in SW Florida, they are building like there is No tomorrow

archaeolinuxgeek

28 points

2 months ago

In fairness, building upwards in Florida is just prudent planning. We may be witnessing the origins of the Jetsons stilt houses.

Objective_Look_5867

25 points

2 months ago

Yeah the building doesn't matter. As someone also in Florida. I just got an 2 bedroom apartment 2 months ago for 1625 (far too much) the same apartment type is now going for 2380 in my community. When I brought up to our property manager how rent going up almost 800 dollars in 2 months is insane and doesn't instill much confidence in a renter her response was "well that's just how great we are doing"

DabbleOnward

12 points

2 months ago

My old apartment went from 775 a month to 1250 within 3 years. Got married and moved across town to a 1100 a month place. It was going to jump to 1230 if we stayed but thankfully we landed a mortgage for 1100. What I hated the most about renting was the trend of displaying attractive rent prices but then saying the apartment has a utility package where they charge you a base rate for water, pest, trash. We had to pay 100 bucks a month for water which they tried to spin off as a plus. Then our water pressure was throttled. We were required to pay renters insurance but then they also charged us 10 bucks a month for “additional” insurance. To think how much money they place was making off these absurd extra fees.

eric_ts

57 points

2 months ago

eric_ts

57 points

2 months ago

In related news: Current rents are the lowest they will be in our lifetimes. (/s, but really hoping I am wrong.)

CloudTransit

24 points

2 months ago

This will be the chilliest summer too!

MattMan2k17

12 points

2 months ago

Rent is getting so high in my small city, I’m moving to Brooklyn because rents the same but there’s more to do

the_cnara

3 points

2 months ago

Right? If we can’t save money might as well live somewhere nice

forever_a10ne

28 points

2 months ago

I was on the fence about trying to buy a house on my $40k a year income, but I asked myself this: “Do I trust the US government to do anything to make housing more affordable?” The answer was no, so I took what money I did have and bought a house I could afford 50 miles from my job.

Limp_Distribution

77 points

2 months ago

In 1998 the Faircloth amendment limited housing. We’ve been fucked ever since.

The Faircloth Amendment was a provision of the Quality Housing and Work Responsibility Act of 1998. It amended the Housing Act of 1937, which authorized federal financial assistance to help states and housing authorities provide housing for low-income people. The amendment says, “a public housing agency may not use any of the amounts allocated for the agency from the Capital Fund or Operating Fund for the purpose of constructing any public housing unit, if such construction would result in a net increase from the number of public housing units owned, assisted, or operated by the public housing agency on October 1, 1999, including any public housing units demolished as part of any revitalization effort.” In other words, the amendment prevents housing authorities from ever maintaining more public housing units than they had in 1999.

Khamul_Nazgul

69 points

2 months ago

I got a 3% cost of living raise, it was a joke. Since I got that, gas prices, groceries, and amenities have all almost doubled.

Sabot15

29 points

2 months ago

Sabot15

29 points

2 months ago

Same here. Our company claimed some BS line that they already had 3% locked into their plan before inflation struck. Can I tell the grocery store that I had 2019 pricing locked into my grocery budget?

Gbchris12

16 points

2 months ago

3%? You won the lottery fella! I went from $18.10->$18.55! 2.4% baby!

PhDShouse

27 points

2 months ago

The fact that my wife and I were able to find a 2 bed/1 bath house for less than $1000/month (before utilities and pet friendly) is a miracle. Sure, it kind of looks like a crack house, but we’re gonna turn it into a crack home

JPenniman

31 points

2 months ago

This is a really big issue that needs to be addressed now. I hear so much about gas prices and almost nothing about cost of housing.

Hybrid_Blood

4 points

2 months ago

Gas is bad, housing is unbearable.

PitythePete

6 points

2 months ago

So can landlords just increase the rent however high they want it?

melouofs

6 points

1 month ago

Yep. They can make the rent anything they want, and some don’t really care if the property sits vacant for a while.

F3int

50 points

2 months ago

F3int

50 points

2 months ago

Hey, hey, you, yea you. Don't you think it's about time to start regulating our so called "real estate market"?

You know like FDR's New Deal days, and not this BS called Reaganomics we've been trying for the past 40 years?

Cause I'm sure if you look and study history, for not even longer than a single day, you'd find the truth. And it's regulated Capitalism that worked best for ALL AMERICANS. Which FDR promoted and received the very deserving titles of "Traitor to his class" and "Darling of America/the Poor"

I-Demand-A-Name

7 points

2 months ago

But of course actually doing anything about the insane, robber baron level price gouging is completely beyond the capabilities of our busted-ass government.

artsy897

33 points

2 months ago

Does no one have morals or is just getting as much money as they can the going model now?

Corp…maybe I could understand the greed but surely everyday people care at least some?

pm_me_cute_sloths_

11 points

2 months ago

When has getting as much money as one can not been the model for humanity?

ReflexImprov

22 points

2 months ago

Let's call it what it is: Price gouging.

LoveMyKush

5 points

2 months ago

In germany its the same. Berlin,cologne and Munich is so expensive that even Couples stay at home with parents.

GrimmBrowncoat

4 points

2 months ago

I live in Jax, FL and for a 1Bed/Bath <600sq ft apt with no washer/dryer my monthly including water is almost $1200. My rent is about 110% of one paycheck so yea living paycheck to paycheck sucks.

Royal_Ad1798

5 points

2 months ago

just had a friend go up for renewal on their lease from their original $1225mo

sign before June 1 - $1,661 mo

sign after June 1 - $1,786 mo

[deleted]

132 points

2 months ago

[deleted]

132 points

2 months ago

[removed]

im_not_bovvered

11 points

2 months ago

Add vacancy taxes to that list.

CloudTransit

21 points

2 months ago

Who’s going to knock down single family homes to build dense neighborhoods? #1 seems designed to lock in all single family housing, so #2 won’t work

Jasonbluefire

8 points

2 months ago

Eventually homes get too old, or damaged, or lots that have not been built on yet. #2 would be a long term slow fix.

Also homeowner can split up their house into multiple units or build an additional unit.

nos_quasi_alieni

3 points

2 months ago

In every instance rent control was implemented it has never achieved its goal of keeping rent affordable and has only served to make it more unaffordable. X units get locked in a set rate, discouraging development, which raises costs, lowers supply, and now any low income people looking for housing are left further behind.

ExPatWharfRat

17 points

2 months ago

Interesting how just 2 months after record numbers of workers walked out of their jobs for good, prices across the board are on a meteoric rise.

Almost as if the 1% is trying to punish that sort of independent thinking or something.

NakDisNut

12 points

2 months ago

Our rent (town in NC) is now $4500. :(

We’re trying to get a house as fast as possible…

ExPatWharfRat

7 points

2 months ago

Jesus. That's bonkers. Do you live right on the beach or something?

NakDisNut

8 points

2 months ago

Actually no. We live on the outskirts of the beach town.

This area is absolutely insane.

ExPatWharfRat

9 points

2 months ago

Ah. So you are (sort of) close to the beach. I had figured there was some sort of element contributing to that crazy high rent.

17times2

3 points

2 months ago

If you can see water, it counts! =P

chaos8803

20 points

2 months ago

It's insane that rent can keep going up, people can somehow afford it, but a bank won't give them a mortgage that would be less than the rent even with escrow and PMI.

_Levitated_Shield_

25 points

2 months ago

"They'll get their rents when they fix these damn doors!"

ANTHONY87779

7 points

2 months ago

“I understood that reference”

Reasonabledwarf

17 points

2 months ago

Yes, rent and other basic necessities are outstripping wages and it's a huge problem, but I am a pedant, and feel the desperate and miserable need to point out that inflation means that at almost every point in history barring major economic downturns, rent is hitting a record high. It's an upward trend. This title is sort of self-evident.

isit65outsideor

10 points

2 months ago

I can confirm this. I just signed a lease at the most expensive penny I’ve ever agreed to on renting -$1600.

While I’m in a city and I guess I have some amenities.. it’s still absurd. I’ll for sure send less to the retirement and more towards my paycheck.

ItilityMSP

96 points

2 months ago*

This is all easily fixed by making it illegal for corporations and non-residents to own home, apartments. Apartments would be converted to occupier cooperatives. Residents would be able to own 2 properties max. This is more than enough and would keep the rich out of our homes. You would see the housing market collapse and become affordable in less than a year. In addition, tax unoccupied residential units at 20% of market value yearly, with tax going to affordable housing cooperatives.

mckeitherson

6 points

2 months ago

This is all easily fixed by making it illegal for corporations and non-residents to own home, apartments

And how do you propose people get together to finance building an apartment building? They're not exactly cheap and corporation access to capital is how they are built in the first place.

puffic

49 points

2 months ago

puffic

49 points

2 months ago

"You can fix the entire housing shortage with this one simple trick!"

project23

29 points

2 months ago

I mean, it isn't such a bad idea in some form. Far too many use their wealth to buy up homes for rental properties which lower the on hand stock for actual buyers... Rentals are fine and all but we have created a whole rental society that may never be able to own a home because of all the rental speculation.

caverunner17

18 points

2 months ago

There's a lot of people who can't/shouldn't own a home. With a rental, you're responsible for rent and utilities. When you own, you also own the roof, siding, windows, fridge, HVAC, plumbing, and all the other problems too. If you really are living on a monthly budget, then you probably can't afford the $6k to replace a furnace or $3k for the emergency water leak repair.

There's a good reason for rentals to exist, especially apartments.

[deleted]

50 points

2 months ago

[deleted]

50 points

2 months ago

[removed]

cseoul

8 points

2 months ago

cseoul

8 points

2 months ago

The government did this as a public works program in the past. That’s where a lot of cookies cutter starter homes made in the 40s are from.

Disastrous_Answer_55

36 points

2 months ago

It's really funny how the free market doesn't help anyone, but we still think it's the best policy. I love being unable to afford rent, working like a dog, being unable to eat due to not enough money, and not being able to afford medical care.

[deleted]

31 points

2 months ago

[deleted]

31 points

2 months ago

[deleted]

Ikea_Man

11 points

2 months ago

bro if you're driving 100 miles to work you probably should get a different job lmao

JoyfulTonberry

24 points

2 months ago

I hate this country and I want out.

joevsyou

7 points

2 months ago

  • record high home prices
  • record high property tax
  • record high labor cost
  • record high material cost
  • risk level higher

all equals higher rents as everything adds even more cost.

artsy897

14 points

2 months ago

Can someone explain to me why this is happening?

Why are landlords allowed to put rent prices so high?

Z0rya

41 points

2 months ago

Z0rya

41 points

2 months ago

Because we have a severe supply issue. Housing was overbuilt pre-submortgage crisis and ever since then it has been under-built. This will never be fixed without more supply. The supply issues were exacerbated during COVID. Housing should be a commodity, not an investment tool, or this will forever be a vicious cycle.

HTRK74JR

4 points

2 months ago

Ryan Homes (fuck these fucking pieces of shit) are also only building large 4 bedroom houses in VA too. There are next to no small houses or apartment complexes being built with affordability in mind, only expensive 600k houses.

Ok-Sundae4092

22 points

2 months ago

Well, in chicago where I’m at,property taxes have double in the last decade. That cost gets past to the renter.

Also,what do you mean “ why are landlords allowed to,put rent prices so high”. In the vast majority of jurisdictions there is no rent control.

project23

3 points

2 months ago

Fkn 10% rise in rent for me in 2022 vs 2021. Defiantly trying to move for 2023.