This comment is confusing. I know many people in my neighborhood who are not even close to your 1% and own their house. How is this possible? We are not super rural.
Agreed. Are we talking about the U.S? The data I'm seeing shows top 1% income as over 500K USD. That's enough to easily afford a home anywhere outside a few extremely expensive pockets of the U.S.
Also, you are not likely to do much better than that at Facebook/Google unless you are in the top 1% there as well (i.e. above Staff Software Engineer).
I'm also curious about this. I'm not even in the top 10% for the US and I own a home. I know multiple people who make noticeably less than me who also own homes. And there are multiple nearby cities where people who make even less still also own homes.
My guess is that either the definition of "super rural" being used here is overly broad (like for example anywhere outside of new york city ... ) or they're living in some ultra high cost of living area.
It means that someone that is considered high revenue earning via a job is priced out of the market, but if you have pre-existing assets you can hedge/borrow against them to get more.
It's also another way of wealth, many people assume having high revenue via salary/compensation is a good sign of wealth, but it's not.
Makes you a better consumer, e.g. you're priced out of buying a house, so you rent.
Suburban DC here. I'm not in the 1% and can afford a house just fine. Plenty of homes here sub-$600k. A 1% income should be good for a home well in excess of $1 million.
The sharpest segment on that graph is since July 2020. If you bought any time other than November 2004 - November 2007, it was cheaper than it's been in the past 14 months. If you already own a home and have equity you are probably fine. The GP was describing what it feels like trying to enter the market right now.
