Bud on Nostr: I’m early GenX and I’ve lived through what you describe as a 4 time homeowner, ...

I’m early GenX and I’ve lived through what you describe as a 4 time homeowner, and think it’s broadly correct. A few more elements to flesh out your thesis:

1. Mortgage rates fell throughout the period until recently. If one could get hold of a property, one could refinance it at a lower rate every few years, freeing up equity to refurbish it. And believe me, houses need expensive maintenance.

2. Home prices rose as mortgage interest rates fell. Those entering the market now are faced with vastly-inflated home prices. Our first house in 1995 was $76K. After a lot of sweat equity, when it sells these days, it’s for the high $300s.

3. Young people today are saddled with higher student loans than our generation was, making payments harder.

It’s no one’s fault, just reality. Here’s unsolicited advice: Face up to it and pivot. Set the emotional desire of real estate ownership aside. It’s an illusion. Even during my life, houses have been a LOUSY investment. Once all of their many, constant, unpredictable costs are included, unless we’re talking waterfront, houses hardly appreciate at all. Until you own one, you can have no idea how much they cost. They drain your liquidity that could go to better investments. I’d have become far, far wealthier and could have retired earlier if I had rented the whole time and, instead, focused on accumulating stock index funds exclusively. And these days, there’s also Bitcoin. I believe those are the #1 and 2 investments, making houses an opportunity cost, and a distant one at that. Good luck.