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Top 1% income is about $540k/year according to https://www.usatoday.com/story/money/2020/07/01/how-much-you...

In my experience, an income of $X lets you get a mortgage for a house worth ~$6X. Where do you live where $3m+ won't get you a house?




while a bank may write you a mortgage for 6x I think it’s very worthwhile considering how that fits into an overall financial plan.


I'm not a financial advisor, but I think housing is a very reasonable investment given:

1) you need a place to live no matter what

2) historically the real estate market does well over long time horizons

3) if you make $540k and your mortgage is $200k/year, you'll still have like $100k-$150k in spending money after taxes.

4) housing values are a good hedge against inflation

5) IMHO inflation is going to be bad over the next few years, which means your fixed mortgage payments will shrink rapidly in an inflation-adjusted sense.

YMMV




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