Will they ever be able to afford a house?

[Yatsan]

Given that it is also a difference between generation, might as well consider the difference with expenses across two diferent years. Problem here is generalization; why would you be one sided if you have already the education to be innovative and resourceful with the things around you, that's for me the edge of education. Although people with no degree can also do the same thing but they'd more go through self learning and endless trials and errors which means it would be slower; faster phase means it would allow you to have more properties if things would be managed well. At the end of the day, no generation could tell anyone what will they achieve, no race should be imposed.

IMHO, life was easier before than of today. You can even own house easier before because of the economies were not too tight and problematic than today. Today, if you go and see in most countries or just watch some videos related to real estate. Many of the current generation will say that they can't afford to buy their own real estate and can't pay mortgage. Due to how expensive it is, they are choosing to just rent and let it be until they can have their own house in a rural area where lands are quite cheaper than from the city.

I'd say it has the same level of difficulty and people just have to adapt with what they are facing regardless of what year it is. The only obvious difference I guess where 'difficulty' is perceive, is with opportunities. Before you could go across different fields as long as you have a base knowledge of it and that also cover one's growth in those years.I formed this conclusion 'coz even if the cost of goodsis cheaper before, the minimum salary wage was also low that time.

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[Lida93]

Every generation has their own advantages and disadvantages the times determined the life style of the people of that time but as development advance a lot things has to fall behind. if we are to make a non bias comparative analysis of the gen z and x we will find out that each of the key differences of the generation has its peculiarity and uniqueness, and an advantage conditions in gen x may not apply or fit into the gen z visa-viz.

Older people will tell you that life in their younger times was simpler, much natural with much of the diseases of today alien to them, with less economic hardship and peaceful co-existence. while young people of today will argue that technology today has made life less hard to deal with unlike times back with crude tools, communications now made easy etc etc. What i can say at this juncture is that the conditions of things are just a reflection of the time we just have to adapt.

[Casdinyard]

Well i’d say this pretty much sums up the average gen z and x person but this is in typical fashion of course not all people are gonna live their life like this due to many factors in life such as the state of their life even before they enter the work age

Exactly. I think the thing is that those Gen Zs who are able to make the most of their lives right now are reaping the benefits of Gen Xs and Gen Ys who are able to pay it forward. What do I mean by this? Well, since life was simpler back then and you could easily earn money, a lot of our grandpas and grandmas would've saved enough money good for 2 generations, if they weren't able to then I don't think that's on you anymore but I digress.

In that sense you're reaping what they sowed during their generation, tons of money and easier life but soon as you step out of their guidance and their care you'd come to realize just how fucked the lives of Gen Zs are right now. Houses are inflated in price with some of them unoccupied for years cause instead of giving those with less capabilities the chance to buy them off the bank, Millenials and Boomers are buying them off to rent them out as AirBnbs, which is fucked. Not to mention how hard it is to land a job compared to years ago, and how profitable a job is back then compared to now. I swear to god our grandmas and grandpas are able to live their life well on a minimum wage earner's salary, but if we do that today we'd die off malnutrition cause your regular 9-5's not gonna cut it.

So, are we going to be able to buy a House? If we're talking about the conventional means then no, we'd die off paying our debts.

[KingsDen]

Let's study the case of an average representative Gen Z and X. What is important or missing in the description (linked below)? What would you advise?

https://docs.google.com/spreadsheets/d/e/2PACX-1vRXBY1HDRX9R555CtDvJ31uYbXBHuVlGSfdGOT3JtzAnwR4gms2Ltqgx9K5EhYAg8WA0uk-knhVHB3o/pubhtml

From this available data, it shows that things are a way more difficult and complicated now and it is more difficult to make money. But in real life there's something that is not captured. People are leveraging on social media to make life somewhat easier than before and also availability of digital skills is one added advantage in 2023.
However, I saw a phrase in the document which sounded like the reality

No assistance from children because they are in difficult situations faced by their parents too

Things are going worse and inflation is killing the economy. This is the right time to check well whether or not rent or to buy house. Buying house could be more expensive.

[Faisal2202]

Let's study the case of an average representative Gen Z and X. What is important or missing in the description (linked below)? What would you advise?

In the current era, building your own house is one of the hardest and biggest milestones, because in this era, buying only land is so expensive and time-consuming for a middle-class person so how he can build a house on that land? And from what I have seen, most of the Gen Z (I am also a Gen Z) have parents who got home easily from their own parents and their parents got home to migrate to this country from another country (I am talking about myself).

I need around 40 lac to 60 lac to buy a mid-range house with basic needs and if you will convert this amount in US it would become around 21467.44$ This is nothing for a US citizen and he can easily buy a house in my country but he can not buy a house in his own country with that money. So, another difference is of country's inflation.

Back in time, our country was doing good, but not the inflation and inner matters of our country have put it in a bad situation that there are fewer opportunities for youngsters than before. In order to afford a house, people are going to foreign countries to earn higher currencies like in the UK, USA, etc.

[jrrsparkles]

Even if they can they shouldn't, it's not an asset it is a liability and will do no good for you and your future but just make you trapped in paying mortgages for 20-30 years. Making money isn't easy but the ways to make money is more than before so one who figure out what way they can make then they can start living the luxury life they want in a short time like even in 5-10 years of complete hard work is enough.

[Twentyonepaylots]

Yeah right now it’s very tough for that generation. If they don’t already own a home, getting one is simply far fetched, with record breaking home prices and decade high interest rates.

Yeah pretty hard for us, imagine land has gone up to 10x from the city and double from the provinces, so basically the best option for us in the near future is to live in the province with a pretty simple life with the opportunities waiting there. We have a slow paced economy, so I'll be in province when I retire, perhaps that is the most ideal for an old man  aight?

The issue is worse because rents are up and along with inflation for everything else so people get to save less, they save less and they will never safe up for the down payment to get a mortgage. Hence why most are stuck renting forever.

Inflation in my country is continuously increasing, today it is up to 6% what more in the coming years? I don't want to rent forever please...

[tabas]

IMHO, life was easier before than of today. You can even own house easier before because of the economies were not too tight and problematic than today. Today, if you go and see in most countries or just watch some videos related to real estate. Many of the current generation will say that they can't afford to buy their own real estate and can't pay mortgage. Due to how expensive it is, they are choosing to just rent and let it be until they can have their own house in a rural area where lands are quite cheaper than from the city.

I'd say it has the same level of difficulty and people just have to adapt with what they are facing regardless of what year it is. The only obvious difference I guess where 'difficulty' is perceive, is with opportunities. Before you could go across different fields as long as you have a base knowledge of it and that also cover one's growth in those years.I formed this conclusion 'coz even if the cost of goodsis cheaper before, the minimum salary wage was also low that time.

Yeah, very on point thought. Before, it's like everyone can go on different fields as long as you can do it and will just acknowledge that you are able to prove your skill from there. This time, the competition is very tough and with the growing innovation from technology and various industries that are also applying it, opportunities are becoming less and more tough and crowded due to competition. I'd still think that life was easier before because there is not that much technology at all as these things have made our lives easier and quicker. What I mean to say is that you don't rush things before and still able to afford housing, buying a car and all of those things that are like luxuries nowadays.

[Captain Corporate]

I have to say, the logic is that, those houses that are bought are still there, it has to go down to someone eventually, which is what people are missing. I mean at this day and age, we do not make enough money to buy a house, by logic, if I save up 10 years worth of my salary, it still doesn't worth a house, and I mean like my WHOLE salary, for 10 years, doesn't worth a house. So the logic means that, I can't buy it, but if the generation above did manage to get it easier, that means they do, and that also means eventually I should too? I mean what happens to their house when they pass away? The problem here is not that, the problem is that if your parents never bought a house, neither can you, those are the people that will be screwed big time.

[dothebeats]

Even if they can they shouldn't, it's not an asset it is a liability and will do no good for you and your future but just make you trapped in paying mortgages for 20-30 years. Making money isn't easy but the ways to make money is more than before so one who figure out what way they can make then they can start living the luxury life they want in a short time like even in 5-10 years of complete hard work is enough.

I'm on a same dilemma too. I make more than enough for my self and have good investments accumulated over time. There are some lots and houses to be bought south of where I live, but the problem is the place is full of criminals and traffic is very hard. I can move to the provinces and live a comfortable life, but that also means letting go of my job which is impossible to shift to a full time remote position. I mean, there are opportunities and choices out there for us Gen X and Gen Z people, and you really have to choose the right options and you'll be fine.

I might have to transition full-time to tech and leave STEM behind if I really want to own a house and live comfortably, or make do with renting until I make enough money to retire early and not work a single day anymore.

[lionheart78]

It is quite hard for the normals of these generations stated by @OP to buy a house if they just live passively.  Meaning, they are just relying on their regular job.  They need to step up their effort.  They have to look for more sidelines and if possible save for investments.  

We all know that those who only rely on their salaries often end up in debt so the majority of their salaries go to paying loans.  Every person should work hard and smart in order to have extra money to buy house and other life improvements.

[TopT3ns]

It is quite hard for the normals of these generations stated by @OP to buy a house if they just live passively.  Meaning, they are just relying on their regular job.  They need to step up their effort.  They have to look for more sidelines and if possible save for investments.  

We all know that those who only rely on their salaries often end up in debt so the majority of their salaries go to paying loans.  Every person should work hard and smart in order to have extra money to buy house and other life improvements.

Even though a lot of the time and energy they have is still unused and wasted, they have to think about becoming rich so that when they are young they have to work hard and make a lot of money. Cryptocurrency is an alternative to looking for extra money, if only Relying on income in one place will not make us grow and, of course, will provide a very meaningful experience when you want to try new things.

[shinratensei_]

Even if they can they shouldn't, it's not an asset it is a liability and will do no good for you and your future but just make you trapped in paying mortgages for 20-30 years. Making money isn't easy but the ways to make money is more than before so one who figure out what way they can make then they can start living the luxury life they want in a short time like even in 5-10 years of complete hard work is enough.

arguable statement to say that its like a trap with the need to pay mortgage for 20-30 years, but I do agree, basically if we need to work 30 years just for a house which essentially is just a cage at that point I would refrain from buying it, if for gen z it doesn't seem to be bright future with housing just rent, the financial economic are hell for those finding proper affordable housing.
paying mortgage for 30 years is equal to wasting our life for 30 years for just a building it doesn't make sense if we view it from the other perspective only when we able to make it big that we deserve owning such building no need to wait for 30 years wasting our time away working just for a dang building to sleep doesn't make sense at all indeed.
i would at this point prefer to live in the country side for cheaper housing than working 30 years straight with half of my salary.

[Oasisman]

1980 outlook:
Just do the work, no paperwork, no certificates (compare effort to obtain truck driving licence in 2023, work permit, opening restaurant etc.), no barriers other than competition.

Think again, maybe we just need to understand some of the sides this forum has been working on for years. Here you can "work" with anyone without contract documents, without expertise certificates, all on the basis of trust, transparency. And I'm sure that today the informal work space is developing where one can have an income like people used to, even faster just to get a house.

The sheet is nothing but a little too biased. The OP really think that everything under the 1980s sheet was just as simple as that, as if debts were not present during those days and how he emphasizes on the "no paperwork" transactions. Well, I think he's a little outdated with how people could get multiple jobs that doesn't require any paperwork over the internet today. I also think he has not heard of young professionals continuously upscaling to try and catch up with the competition in the freelancing industry today.
Driving license, working permit, business permits, and all other licenses and permits to be eligible for someone to do the job is necessary. Even in the 80's all of that are present. So, I don't know what the sheet was trying to point out with that one.  You can't have someone drive your truck without the license, because that's one of the thing you need to look at to identify that he qualifies for the job.

1980 outlook:
no barriers other than competition.

Certificates were also created because of the competition, so!!!

[JariKriting]

Nowadays, success is easy. Whether you are young or old, as long as you are willing to learn and work hard, you can make a lot of money and be able to buy a house, not only a house but also a car.
because nowadays you can make money from home, you can be a content creator, youtuber, blogger or airdrop and bounty hunter, freelance on upwork and many more.
you have the skills and abilities can definitely make a lot of money in the online world.

[bayu7adi]

The description is too exaggerated in favor of the 1980s perspective... so it's not fair. Always assessing with a negative outcome for the 2023 view. Even in death, you mention taxes for the left column, and for the right column, you only write "death."

In my opinion, comparing the past to the present can't be based solely on the cheapness or expensiveness of goods. It can't be just about material aspects. You should realize that nowadays there are many healthcare tools, computers, machines, and so on that make life easier. People in the past didn't buy these, but people nowadays seem to feel compelled to buy these expensive tools, making them feel burdened.

I distinctly remember from 2000-2002, I struggled a lot to get breakfast. Yes, I lived in an economically difficult family, even though the prices of food were cheap at that time. But now, in 2023, I can more easily get food three times a day with a lot of job assistance accompanying my daily life. That means the things you mentioned in the spreadsheet link you provided are not entirely accurate.

Difficulty and ease are not determined by the era or year, but rather by how someone can maximize their potential and also seize the opportunities that exist.

[wiss19]

There is no doubt that life used to be easier back then, but as said by others as well, I think the points are not balanced because you have highlighted the negative points of today and the positive ones of the 1980s. Other than the regulatory and tax problems that are higher today compared to then, I believe one can still live life the way one could in the 1980s if one plans everything properly and does things according to their plan and doesn't have a lot of debts to pay as inheritance.

Countless people are doing pretty well even today because they have completed their studies, crafted their skills, and have great-paying jobs which makes them able to clear everything within a specific period instead of living their whole lives indebted, they buy their house, have savings, make investments, and live a great life after retirement.

[jrrsparkles]

Even if they can they shouldn't, it's not an asset it is a liability and will do no good for you and your future but just make you trapped in paying mortgages for 20-30 years. Making money isn't easy but the ways to make money is more than before so one who figure out what way they can make then they can start living the luxury life they want in a short time like even in 5-10 years of complete hard work is enough.

arguable statement to say that its like a trap with the need to pay mortgage for 20-30 years, but I do agree, basically if we need to work 30 years just for a house which essentially is just a cage at that point I would refrain from buying it, if for gen z it doesn't seem to be bright future with housing just rent, the financial economic are hell for those finding proper affordable housing.
paying mortgage for 30 years is equal to wasting our life for 30 years for just a building it doesn't make sense if we view it from the other perspective only when we able to make it big that we deserve owning such building no need to wait for 30 years wasting our time away working just for a dang building to sleep doesn't make sense at all indeed.
i would at this point prefer to live in the country side for cheaper housing than working 30 years straight with half of my salary.

Buying residential property is different and it can be shown as one of the possible way to make passive income but taking a loan to live under a roof is big risk and the value of the house can appreciate or depreciate depending on the location but future is uncertain and I don't see much potential in the real estate market after one point so those old ideas of becoming rich is obsolete and who ever wants to become rich, especially GenX or Z need to find new ways too.

[Sanugarid]

IMHO, life was easier before than of today. You can even own house easier before because of the economies were not too tight and problematic than today. Today, if you go and see in most countries or just watch some videos related to real estate. Many of the current generation will say that they can't afford to buy their own real estate and can't pay mortgage. Due to how expensive it is, they are choosing to just rent and let it be until they can have their own house in a rural area where lands are quite cheaper than from the city.

That's right, it's very different now and we can see how the world will change now than before, especially when there was covid. This is where everything changed or let's say it was the biggest contributor to change the world.

The price of houses will increase too much, and it is still rising. But there are still others who can buy and build a house as long as they work hard and persevere, nothing is impossible for a dreamer.

[DrBeer]

Let's study the case of an average representative Gen Z and X. What is important or missing in the description (linked below)? What would you advise?

https://docs.google.com/spreadsheets/d/e/2PACX-1vRXBY1HDRX9R555CtDvJ31uYbXBHuVlGSfdGOT3JtzAnwR4gms2Ltqgx9K5EhYAg8WA0uk-knhVHB3o/pubhtml

Controversial information. Now, to me, is a time of great opportunity. Starting with the possibility of dynamically changing my profession, and ending with the possibility of earning income from different channels at the same time, without even going to a regular job. There are opportunities for self-development, self-study, and there are no requirements to "present your diploma, otherwise we will not hire you"