Housing is no longer a goal for the next generation

[Swordsoffreedom]

Indeed becoming a property owner became much complicated today than 30-50 years ago. However, youth generation also became different and I dont think that many dream of having their own flat or house. It past people were ready to work on same work and live in same town, house or flat forever. Now youth generation prefer traveling, changing jobs frequently, be free and independent. Now they have to many option to change, to many things to try or to have, and having a real estate will bind them to one place.

There is no need to compare with the situation 30-50 years ago, owning real estate today is becoming much more expensive than  5-10 years ago . This shows that the world is changing too quickly.

What you say is not wrong but those young people will also have to grow up, need to get married and have children. They cannot live single all their lives or indulge in those pleasures without thinking about the future. There comes a time when they don't want those things anymore and they want to live a peaceful life .  They will continue to change their minds and the dream of owning a house will always be in their minds because it is the best way to settle down with their small family.

[Solosanz]

There is no need to compare with the situation 30-50 years ago, owning real estate today is becoming much more expensive than  5-10 years ago . This shows that the world is changing too quickly.

What you say is not wrong but those young people will also have to grow up, need to get married and have children. They cannot live single all their lives or indulge in those pleasures without thinking about the future. There comes a time when they don't want those things anymore and they want to live a peaceful life .  They will continue to change their minds and the dream of owning a house will always be in their minds because it is the best way to settle down with their small family.

It's because young generations like to spend money.

They buy a cup of coffee from popular cafe instead of make their own coffee, they could save 80% from that.
They like buying or doing anything for "self reward", like eating in fancy restaurants etc.
Men who have girlfriend act like they're a husband, whenever they go out, men provide everything.

If they cut all of them and choose to invest, they can buy house. The past and now are same, it just people now want to live by following the society.

[Bitcoin Smith]

In India, you literally can't buy a house anymore unless you are making money in the illegal way. There are many reasons for this to happen like inflation rate just kept climbing while government just printed money, abundance of work force so companies doesn't need to pay more when they can hire someone else for lower rates so people are forced to work for whatever the pay they are getting.

So instead of working towards a goal that we can't possibly achieve in the near future, they moved on to other options which is not wrong but I expect the evolution of internet will reduce the real estate value especially in urban locations.

[Fiatless]

In India, you literally can't buy a house anymore unless you are making money in the illegal way. There are many reasons for this to happen like inflation rate just kept climbing while government just printed money, abundance of work force so companies doesn't need to pay more when they can hire someone else for lower rates so people are forced to work for whatever the pay they are getting.

So instead of working towards a goal that we can't possibly achieve in the near future, they moved on to other options which is not wrong but I expect the evolution of internet will reduce the real estate value especially in urban locations.

Population increase and rural-urban migration are also affecting the price of housing. The rural area in my country lacks basic amenities and employment opportunities. This has led to the movement of rural dwellers to urban areas to seek better opportunities. So I doubt if house rent will reduce if the population keeps growing.

People who want to buy houses now will have to be earning high and be financially prudent. You would have to work hard and save more to own a house due to inflation.

[l3pox]

Housing prices keep rising, but wages haven’t kept up. For many young people, owning a home is no longer a realistic goal -  it’s becoming a luxury.

What used to be a natural part of adult life has turned into a debt trap or simply a fantasy. More and more young people are realizing that buying property under current conditions makes little financial sense.

We're witnessing a shift: instead of saving for a home, people are turning to alternative assets, remote lifestyles, or simply accepting long-term renting.

Is this the beginning of a structural economic change - or just another bubble waiting to pop?

if you had to choose only one
would you rather have a house or a safe investment that pays your rent in full each month and you still have an extra to spend or save the way you want?

truth is houses are expensive nowadays, they're not the best investment
probably better to have the money invested and live out of the interest that put it all on a house
even though renting has its pros and cons it ends up being cheap and you can choose what to do and where to go

[_BlackStar]

We can't jump to conclusions just because a new phenomenon is occurring. Some people are shifting from one idea to another for their own personal gain and future. They're taking advantage of the situation and exploring its potential - but this doesn't necessarily mean everyone is shifting to the same direction as them.

I've seen people sell their land to buy house, shop, business, or even an investment. Their goal is to find better long-term potential rather than relying on the same resources all the time - but not all landowners are willing to sell. Some people stick to their comfort zone - while others move on to other ideas, but that doesn't mean they all have to be the same.

[Bitcoin Smith]

You would have to work hard and save more to own a house due to inflation.

I doubt that, people work really hard, they work 60 or even more hours a week and if they are doing business they even ready to work 15 hours a day but still they hardly make enough to survive so saving and investing is become luxury for middle class people. They need to do something that can make them money even if they are not working but the curse of middle class is they just stuck with debt so they can't afford to take risk and repay their education loans with whatever salary they are getting.

[Eternad]

We're witnessing a shift: instead of saving for a home, people are turning to alternative assets, remote lifestyles, or simply accepting long-term renting.

Everything has become so expensive now that even saving money has become a luxury for some people. Prices of basic necessities keep increasing while salary stays the same or will only increase a little.

If you have a family, having your own house is just a dream when you retire. Life expectancy is also going lower and for someone that is not healthy already at their young age, they would prefer to just do long-term renting then enjoy the rest of their income while they're still alive.

[libert19]

In India, you literally can't buy a house anymore unless you are making money in the illegal way.

Indians usually do have this (mis)conception that people who have money are all corrupted, but it's not right, you could be rich with legit ways also.

...but I expect the evolution of internet will reduce the real estate value especially in urban locations.

Wdym?

[Questat]

Housing prices keep rising, but wages haven’t kept up. For many young people, owning a home is no longer a realistic goal -  it’s becoming a luxury.

What used to be a natural part of adult life has turned into a debt trap or simply a fantasy. More and more young people are realizing that buying property under current conditions makes little financial sense.

We're witnessing a shift: instead of saving for a home, people are turning to alternative assets, remote lifestyles, or simply accepting long-term renting.

Is this the beginning of a structural economic change - or just another bubble waiting to pop?

if you had to choose only one
would you rather have a house or a safe investment that pays your rent in full each month and you still have an extra to spend or save the way you want?

truth is houses are expensive nowadays, they're not the best investment
probably better to have the money invested and live out of the interest that put it all on a house
even though renting has its pros and cons it ends up being cheap and you can choose what to do and where to go

Yes, houses are probably not the best investment so far since it’s not making any passive income either. But surely no one would want to rent forever, especially if you are already building your own family. The time will come that you will desperately need a home of your own, a shelter for your family’s safety. And that will only be possible if you finally build your own house, after all the investments’ profits that you have been benefiting from the moment you start investing on the right asset.

[Mahanton]

Housing prices keep rising, but wages haven’t kept up. For many young people, owning a home is no longer a realistic goal -  it’s becoming a luxury.

What used to be a natural part of adult life has turned into a debt trap or simply a fantasy. More and more young people are realizing that buying property under current conditions makes little financial sense.

We're witnessing a shift: instead of saving for a home, people are turning to alternative assets, remote lifestyles, or simply accepting long-term renting.

Is this the beginning of a structural economic change - or just another bubble waiting to pop?

if you had to choose only one
would you rather have a house or a safe investment that pays your rent in full each month and you still have an extra to spend or save the way you want?

truth is houses are expensive nowadays, they're not the best investment
probably better to have the money invested and live out of the interest that put it all on a house
even though renting has its pros and cons it ends up being cheap and you can choose what to do and where to go

Buying up a house for the sake of making it as your permanent home then it would be that a liability on which we know that it would be eating up that maintenances or whatsover but on the moment that that you would be that making it to be some sort of rental or what then it would become an asset since it do bring out some income. If ever I do have the money or chance then this would be my primary approach. I would be that trying out to buy a house and then put it up on rent and then buy into the next one and same goes until you do able to hit up 3-4x that being rented then the 5th one will be neither your permanent on which those monthly payment rent from those houses you had been that put up on rent will be the one will be paying up on the mortgage of your 5th house and the rest will be put up on expenses. This is where I should be having those plans on which of course this doesnt come up cheap because even on having that a house will be already that a tough challenge and also you should be considering out the location of these properties that you would be trying out to be rented out because you cant be able to put up that into those locations that arent that placed on high populate areas because this is one of the main criteria for your business to be that profitable or else then you would be ending up on having those useless properties if ever they are that placed into those non good locations. If you do want to have that much cheaper option then i would say that renting out will be the best approach on which just like been said that if ever you have decided to go or switch into other places then you can actually do it because you wont be worrying up whether you do have a house or what. The goal on here is that you should be that trying out to own multiple assets rather than on focusing into those liabilities. Make those passive income on which you would be able to sustain. Inflation and saturation is already that happening when it comes to real estate on which these kind of problems are now that be seen on some countries on which these rentals had become that not much profitable into its owners on which basing up that majority is that eyeing on the same business on what make it saturated.

[coupable]

Is this the beginning of a structural economic change - or just another bubble waiting to pop?

To avoid paying high rent, most people would prefer to own their own houses. Real estate could act as a hedge in my country, where inflation is high and there are no other investments opportunities in a developping country.
It's not just about money to own a house; freedom and comfort are also important. Owning your own home provides you with privacy and peace of mind because people who offer houses for rent can be difficult to deal with. So, since houses are regarded highly as an inheritance in my country, it should come as no surprise that the majority of parents wish to acquire additional residences, even as a retirement plan.

[Bitcoin Smith]

In India, you literally can't buy a house anymore unless you are making money in the illegal way.

Indians usually do have this (mis)conception that people who have money are all corrupted, but it's not right, you could be rich with legit ways also.

I will give you the numbers why people think that, the average salary even for a graduate will be 30-50K INR and as per the government record too the numbers are around 33K not sure the exact figures but just for the context let's keep it 50K and what's the cost of house in city range, I bet it will be atleast a crore to buy used flat of 2BHK so for someone to own that house they need to save their salary entirely for 20 years straight. I am sure there are exceptions and people make way more and buy houses as couple by taking 20/30 year loans but if you look at the picture most of those houses are purchased with ready cash and full settlement that brings the conception.

...but I expect the evolution of internet will reduce the real estate value especially in urban locations.

Wdym?

Employment opportunties in the city is what causing the price of real estate to shoot up in cities and with the internet the remote jobs are now possible for most of the profession so people don't really need to move to a city to work and make money means lesser demand so lesser stress on the price growth factor.

[Hydrogen]

Housing is a paradox.

More homes must be constructed to reduce market prices through increased supply.

But there is no incentive to build additional homes when consumers cannot afford current market prices.

The deadlock isn't likely to be broken soon.

Instead, what will happen is residents will flock to nearby states and regions with lower average cost of living.

[MarjorieZimmermanGinger]

I don't have the intention to build a big or luxurious house. Neither do I plan to invest in building houses and collect rents from occupants. All I want is a modest house where I can live quietly with my family without the pressures of paying rent. At retirement age, it will be difficult to afford a good home if you don't own one.

The reason why some people avoid building houses I because of maintenance and taxes. But if you build a house that is easy to maintain because you focus on durability and not pleasure, you will spend less. In some countries, there is nothing like property tax, so it is better to own a house.

This is a common mistake some people make, thinking that building a house to achieve a comfortable life requires a large and luxurious house. I'm simply saying that I want to build a house to live a much more comfortable life, and that means adjusting to my financial means. Maintenance costs are necessary because we as owners must ensure everything so that our families can live more comfortably, but in my area, houses don't pay taxes because they are built on their own land.

All houses are easy to maintain if they aren't too large, and we can also achieve luxury when building a simple and small house. Luxury is not always valued because the house is big because a small house that is well-arranged and kept clean will also look more comfortable.

[SATWAT]

Is this the beginning of a structural economic change - or just another bubble waiting to pop?

To avoid paying high rent, most people would prefer to own their own houses. Real estate could act as a hedge in my country, where inflation is high and there are no other investments opportunities in a developping country.
It's not just about money to own a house; freedom and comfort are also important. Owning your own home provides you with privacy and peace of mind because people who offer houses for rent can be difficult to deal with. So, since houses are regarded highly as an inheritance in my country, it should come as no surprise that the majority of parents wish to acquire additional residences, even as a retirement plan.

This is not applying to all if someone is having good job with high salary he still loves to live on rent instead of having own home because this is now expensive even not affordable for many while if someone try he had to be bounded huge funds for this which are not ideal.
Few decades back having home or luxury flat was social Simbel but now its changed peoples love to live freely and want to have money in investment or trading which give them better income, and they can live much better life developing countries are also now turning into this concept.
Few countries are having too much migration from rural to big cities which are also creating chaos while few countries where things are balanced its also problem which encouraging peoples to live on rent and keep things more manageable with money.

[Ultegra134]

It's because young generations like to spend money.

They buy a cup of coffee from popular cafe instead of make their own coffee, they could save 80% from that.
They like buying or doing anything for "self reward", like eating in fancy restaurants etc.
Men who have girlfriend act like they're a husband, whenever they go out, men provide everything.

If they cut all of them and choose to invest, they can buy house. The past and now are same, it just people now want to live by following the society.

Are you joking? Real estate prices have skyrocketed compared to previous generations. Things have worsen a lot the past 10 years as well, while short term rentals have also affected the market. Yet, you're blaming the new generation for buying coffee instead of making it on their own as an excuse for not being able to afford a home. This is pure ignorance.

I don't know where you're from, but in the U.S. a house that costed $200,000 a decade or two ago, now may cost up to one million dollars. The same applies in many European countries as well.

[DanWalker]

Are you joking? Real estate prices have skyrocketed compared to previous generations. Things have worsen a lot the past 10 years as well, while short term rentals have also affected the market. Yet, you're blaming the new generation for buying coffee instead of making it on their own as an excuse for not being able to afford a home. This is pure ignorance.

I don't know where you're from, but in the U.S. a house that costed $200,000 a decade or two ago, now may cost up to one million dollars. The same applies in many European countries as well.

It sounds a bit harsh but I agree with you, this is serious ignorance. Real estate prices have increased significantly in recent years mainly due to currency devaluation, supply-demand imbalance, high demand while real estate supply is limited. At the same time, inflation is making life more and more difficult for people, with many struggling to even afford basic daily meals. Therefore, owning a house has become a luxury, even if they save their whole life they can never own it.

This is why owning a home/property is becoming a luxury and expensive these days.

https://www.statista.com/chart/34534/median-house-price-versus-median-income-in-the-us/

[Solosanz]

Are you joking? Real estate prices have skyrocketed compared to previous generations. Things have worsen a lot the past 10 years as well, while short term rentals have also affected the market. Yet, you're blaming the new generation for buying coffee instead of making it on their own as an excuse for not being able to afford a home. This is pure ignorance.

I don't know where you're from, but in the U.S. a house that costed $200,000 a decade or two ago, now may cost up to one million dollars. The same applies in many European countries as well.

Look, even it's more difficult, it doesn't mean impossible.

The new generation make it like impossible because they can't save much money, the old generation can maintain their lifestyle like the first time they work in low income jobs but the new generation aren't.

The old generation was easier to earn money from jobs, but they're difficult to invest their money.
The new generation is harder to earn money from jobs, but they're easier to invest their money.

Just searching on google and we can invest in any assets we want, if they invest all in Bitcoin, the new generation can outperform the old generation.

[Ishicryptic]

This generation and the coming generation wants luxurious houses that they cannot afford, they want to live the lifestyles of the rich but many of them are not rich. Any income earners can plan and build a house, their money will determine the types of designs and location of the houses that they can afford, it is cheap to build a modest house in a rural or underdeveloped areas. But the question is how many will be willing to go to such low levels to build a house, not much in my estimation. Many low income earners find it difficult to pay rent in the big cities talk less of owning homes in them, because of their work in the cities they cannot relocate to the areas where they can afford to build houses. Living quality lifestyle in a modern home is the wish of many people but unfortunately it will continue to be a dream unless they think outside the box and find ways to make more money.