My Dad was a civil servant for 47 years (Mom mostly stay at home with a few years at IBM) with three kids draining their savings at every turn and with stick-to-itiveness are LOADED in their late 70s. At least I think he voted for Carter, but only once.
Our parents' generation also had 8-11% rates in their savings accounts during their prime years. "Savings" was a thing-- plain old bank accounts, not the Wall Street Casino. Earn it. Save it. It grew. I'd suggest that Dems call for bringing back the Glass-Steagall Act, but... LOL 😂🤷♂️
Old-timers bemoan the days of "12-17% mortgages"... but often conveniently forget that they had 8-14% savings accounts with which to save the money for that house. Rates need to go UP, not Down!
People freaking out about mortgage rates going up all the way to six percent. The horror!
I had to buy houses with that rate but I still don't want anyone else to have to.
I’d happily pay that rate… for a $20,000 house.
Still better than paying rent, which is the equivalent of setting money on fire. You can't get around housing costs, so better to put those costs to work for you instead of against.
That is unrealistic. In my area, teachers, etc. can't afford to rent or buy. Too many houses are snapped up at ridiculous prices for Air B&Bs or houses rented by the room to college kids (ie. their parents). I truly don't know how my grandkids are going to buy a house without generational wealth.
IMO a "Flipper Tax" would do wonders. If you buy a house, and re-sell in less than three years? Extra 20% tax on that sale. (Those funds then get diverted to subsidize new/lower-cost housing). Flippers have been the main problem, at least here in MA. Fucking Parasites, the lot of them.
Why don't you pass some laws about that? Oh, right, it wouldn't pass. It also hurts military people and others moved around by their companies. Besides, no one wants lower-cost housing in their neighborhood.
I lack a platform. People like me don't get platforms. :) That said, "tax the Flippers" would be an EASY sell, if the idea could only be put in front of enough people. (People HATE Flippers up here). A few rational exemptions would fix the issues you bring up, btw. (Also: Death).
Real Estate is also undertaxed, in general. We overtax income, undertax land, and (apparently) don't tax so-called "equity" at all. (And "equity" is where most of the Big Wealth is hiding).
With a much lower income to match. Do you do maths much?
Hell yes I do math. In my area, a teacher starts well under $50,000 and you just try to find a decent house - or any house - for $200,000! The average house is almost $500,000 here
"Do you know wtf INFLATION is?" Min Wage in 1975 (just to pick a year) was $2.10. That's $12-13/hr in today's money. REAL money (before Reagan financialized everything). A HS diploma guy working at GM, earning $17K/year was RICH, by today's standards.
That’s kind of my point. Maybe my sarcasm isn’t best sometime. I remember cars advertised for 2500$ in 1975 or thereabouts. Our farm mortgage was 15% in 1981.
BS. Try living thru the farm crisis like I did. 15-18% mortgage rates, falling incomes and NO cash is the bank. you had no money to earn high savings interest!!
I remember that, too. Bailed out by Reagan in the mid-80s (they literally made special rules within the Bankruptcy Laws for farmers). Because most farmers were (and still are) Republican. You're saying you'd reject the chance to have an 11% savings account? Seriously? WTF is your problem?
It's amazing what 47 years of retirement savings can do.
I thought we had cleaned them out but those selfish old fogeys had been squirreling it away.
Pensions are incredible things no one is allowed to have anymore.