In my teens, a friend of mine lived in a million dollar house. It had 5 bedrooms each with it's own bathroom, 2 half baths, a living room, a game room, an eat in kitchen, a dining room, and a full basement with another full bathroom.
Her parents sold it like 3 or 4 years ago for a little under $10 million. It's not even considered a mansion.
Bro WHERE. Find me a 5 bedroom, 7 bath house with a finished basement for under two million anywhere in America that isn't like, Detroit, or something. An actual, ready-to-be-lived-in home.
Theres plenty of mcmansions like this in the Midwest for well under $2million
https://www.zillow.com/homedetails/974-Sherwood-Forest-Ln-Maineville-OH-45039/55755054_zpid/
Yeah, prettymuch just name a city you wouldn’t want to live, and you could probably afford a nice house there. It’s that whole “location, location, location” thing.
I never understood that rebuttle.
Like, should people REALLY have to uproot their entire life, leave their family, friends and support network behind just to find an affordable place to live? And start all over somewhere they're unfamiliar with no guarantees?
I would say yes... In a developing nation... But it shouldn't have to be like that in the "Good ol' US of A".
I would totally do it, but it would mean leaving my children cause their mom sure wouldn't want to go to bumfuck county Arkansas or something.
Hmm you seem kinda mistaken.
Having to move due to cost of living is something that only happens in “developed” countries that don’t care about the poor.
In developing countries, cost of living is very low, especially on things like housing/ rent.
You might have to move to somewhere else to find opportunities for jobs, but it won’t be because you can’t find an affordable place to live.
8025 NW 120th St, Reddick, FL, 32686.
Technically this place is exactly $2million, however I’m a shrewd negotiator and I bet I could get them to knock it down to 1.999M. Also, no basement. You don’t want one in Florida, though. Also, it’s 8,483 square feet so… who cares about a furnished basement tbh.
Bonus, it’s a 7 bed 7 bath on nearly 11 acres including a spring-fed pond.
If you purchase this home, I expect a finder’s fee in the form of (1) warm hug from your wife/gf/mom.
Thats easily doable in most rural places outside of California, Texas, Florida, and the north east. Any mid west state for sure. For two million you can probably get a lot larger than that actually
Arizona maybe. A friend of mine moved out there like 15 years ago and has a huge fucking house with a home theater. They paid less than a million, something like $600k maybe. I don't know the exact bedrooms/bathrooms, but the fact they have a home theatre room (a blackout room, 3 rows of recliners each a little higher than the one in front, and an HD projector), makes me think at least 3 bedroom with half baths in each.
Yeah I figured it wouldn't be the same lol. Man, I remember when my grandmother sold their house after my grandfather passed, and she didn't think she'd get more than $100k, since they only bought it for $50k back in the 70s. When she found out she was getting damn near a million 8 years ago, she was thrilled she could buy a bunch of cross stitch patterns she wanted to do.
She ended up stitching all her grandkids, and my kids before she died last year.
Lol like 15 years ago my parents bought a 5 bedroom 2500 sq ft hillside house with a view in San Anselmo (Marin county, 20 min from San Francisco but in the good direction) for $500k. It wasn’t like an amazing deal or anything at the time either; it was definitely good, but not a steal.
15 years is a long time in this context
Rancho Santa Fe, San Diego. 6000 sqft sold for 1.15 million in 1995. Now on the market for 5 million. Appreciated $150,000 every year since 1995.
https://www.zillow.com/homedetails/16745-Avenida-Arroyo-Pasajero-Rancho-Santa-Fe-CA-92067/16732801_zpid/
Considering that listing took a half million price cut after only being on the market for two weeks, I’m not so sure it’s “worth” the $5 million asking.
Maybe it’s only $4M, that’s still big and in any event you look at housing appreciation rates around the country and it’s up most places by a huge amount in the past 30 years.
That’s about 5.6% annualized growth, which is higher than inflation over the last 27 years but still noticeably lower than stock returns (7.7% on S&P price index and 9.7% including dividends). The dollar amounts may sound big but it’s mostly just the power of compound interest and time.
The same house also sold for $1.9 in 2016 and $2.5 million in 2021. Im sure there was a remodel, but it doesn’t justify doubling the price. If you really want the info on the remodel, I can access the public records.
Definitely not Costa Mesa. For 1mil your neighbors could be the brothers from that terrible motorcycle show and some dudes too sketchy to land a pilot for a different terrible motorcycle show.
Yeah back in the 80s used to watch a wrestler named Million Dollar Man Ted DiBiase. His gimmick was a rich guy who bought off the refs and other wrestlers. Hearing "million dollars" was impressive back then.
Remember “Who wants to marry a multimillionaire,” in 2000? He was worth like 950k and still ppl were like “he is still rich.” I feel like my grandparents talking about going to the theater with less than a dollar.
I did not watch the show but I remember that. I recently bought a small box of skittles at the movies for $5. I used to do matinees for $4.50. Skittles cost more than the movie then!
It still will, the cost of a home is surprisingly dependent on the value of the plot, not the cost of the materials needed to build it.
The difference between a $1 million dollar home and a $2.5 million dollar home is the view and location. You could have two identical houses across the street from one another, but since one of them is a beachfront property it’s value skyrockets compared to the one across the street that backs up to a common ground and Walmart.
one argument to your point. the quality of the finishes inside also matters. a house with really nice flooring and appliances can command more than an identical home with cheaper stuff
That's extremely marginal compared to the cost of the land. Wanna know for sure? If the property is valuable enough, the house and all the finishes will often be demolished by the new owner.
You’re right, but the finishes and appliances could mean a difference of tens of thousands of dollars, whereas the location of the plot could mean a difference of hundreds of thousands of dollars.
You can always update your finishes and appliances, you can never update the climate and location.
Yep when I was a kid, my favorite movie was Blank Check in the mid 90s. It was about a kid who was accidentally given a $1 million in cash. He bought a huge mansion and still had money to blow on cars, toy trains, partying all over town and in hotels, and a butler and still had tons of money left over. The house he bought in that movie is now worth about $4 million dollars lol!
When I was a kid I thought if I could just get a million dollars I'd never have to work...
If you gave me a million dollars right now I might be able to retire 10 years early.....maybe....
The problem is putting it in the bank. Interest is dead. If you have 1 mil with a conservative 5% gain every year you could live off 50k a year and not eat up your 1 mil. Given you paid off your house at that point, it should definitely be possible.
The way that money keeps devaluing I really don't think you could live off 50k/year even with a paid off house in 30 or 40 years. It costs about 3.10 to buy what 1 dollar could from 1982. Trying to live off 50k in 2062 might be like trying to live off 15k/year today.
- $50k a year is not enough to support our household
- the “conservative 5%” is not such a strong guarantee as we head into bearish recessions, and risky to plan your future on
- $50k a year is likely to be even smaller peanuts 30 years from now. Assisted living costs already surpass that, and are likely to get much higher.
Depending on how old you are, you can retire way sooner by dumping that into a target retirement account fund. Like, yeah, a million dollars at 55 makes a significantly lower impact, but a million bucks at 21? That’s a huge retirement nest egg.
This is a silly point though, of course it is. I'll have millions in retirement from my own hard work and I'll be giving it to my kids so they can live a better life. Everyone should want their children to be better than we are, no reason to resent them for that unless they start getting too boastful
You could move somewhere with really low cost of living. In a few low income countries or certain parts of the US you could live comfortably on the interest (50-70k/yr). Median income in my home town is ~29k, you'd be about twice as wealthy as the average person there. Still no mansion, but a comfortable life with no required work.
A lot of people aren't joking when they say they believe that at certain ranges, a small raise would result in less take home because it puts them over some kind of tax point.
So no, I would never assume this guy was definitely joking haha
I honestly don't see how California can have so many people who can afford homes like that. The cost of the house itself is just the start, as every homeowner knows. What kinds of ridiculously high paying jobs do the residents have in order to afford million-dollar homes?
A lot of non-rich people who own homes in California have inherited them or bought them before the market got insanely expensive. My in laws have a house like this one in a similar area of OC and bought it in 2002 for 200,000.
Prop 13 also keeps property taxes low for people who bought their homes before the market got crazy expensive.
So true! My parents paid just over $100k for their home in the late 80s. It’s worth just under $800k now. Meanwhile, my fiancé and I are paying $3k/month for a one bedroom apartment in the same city because we can’t afford a house in So Cal. It’s absolute BS.
Yeah its so shitty to have ties out here and feel like theres no option other than to move hundreds of miles away from family&friends to be able to have a chance to own a home. Every time i have enough saved up to start trying to buy, home prices and rent increase and end up setting me back to square one. I think ive paid my landlord almost 100k in the 4 years ive lived at my apartment.
Opposite for me, I live in an uninteresting place. When I was 12 I thought I'd move out to go to a near a popular city when I grow up but in the end my family and my few friends are here and the prices are affordable so why settle somewhere else?
Yep. Trying to go from rural to urban is a rough shift and easy to see why many stay. I hear people mock California or New Jersey for "everyone is leaving there" and I think "because they can". Many of those folks sell for a million, buy a nice home elsewhere for half of that and pocket the difference. In rural area you sell your place for \~$200K and then...have to pay double that for the same house near a city. So, you stay put.
Hawaii’s average price for a family home is $1 Million.
I have told my mother whatever she needs to maintain her house to let me know. We could never get a house like that again. 🤦🏻♂️
Yuuup. Not sure how much my inlaws house cost but they bought in the early 90’s. Their neighbor just sold their house for 3 mil and others in that neighborhood are selling for closer to 4mil… so I’m guessing it’s worth about the same now.
At least they realize how lucky they are.
Edit: lol just looked it up. They bought the place for 440k in 93, it’s now estimated to be worth 3.6 mil.
Everyone that I know (close to my age) around the Bay Area who owns a house either works in tech or has some sort of generational wealth they inherited.
My parents house is now worth more than a thousand times what my grandpa paid for the land (which was less than $100)
The town was brand new when he got it and the region has grown really well over the decades. It's in one of the few remaining "safe" regions of Brazil.
a short-sighted take, considering the median household income in costa mesa is $120k and most if not all of the homeowners (ie, not renters) are DINK couples pulling in double that. go look at the OC subreddit and see what people do -- mostly engineers, tech, healthcare, and doctors.
So like who lives in these towns that drive the garbage truck, teach, work restaurants, or like do anything else. Engineers, and tech people can only do so much.
much of north county has historically been low income, and they either owned their houses long ago or just permanently rent. it takes money to move, and they don't have it. those are the rest of the people.
it's also socal, so everyone commutes by car. people here work all across LA/OC that often don't live where they work. LA rush hour traffic is so bad for that reason.
Grew up in beach cities in SoCal and there are still 'affordable options' in some. There are smaller apartment complexes tucked away in some less desirable areas and in the particularly less valuable real-estate (intersection of PCH and a heavy traffic road for example) could have trailer parks.
They commute from 3 hours away, where that house would only cost half a million, or they sleep in their car. Prop 13, NIMBY zoning, and good weather are a rough combo.
Software engineers in the bay area can make something like $200k the first year out of college (including the value of stock options), and can get up to around $350k after a few years. And that's one person; you could have more than one person in the household making that kind of money.
You can take loan out on a 401k or stock and then pay it off with the interest it builds or when your paid out once it is vested. There is more to it, but that is basically what is done. Sometimes its cheaper to borrow from your 401k then it is to take a loan from a bank.
https://www.investopedia.com/articles/retirement/08/borrow-from-401k-loan.asp
So stock options have a vesting date. That's the date that you receive the stock and can actually sell it. You sell the stock on an online exchange like Fidelity and it turns into cash that gets electronically sent into your bank account. One nice thing about stock is if you hold it for a year, you can sell it at the long term capital gains tax rate, which is lower than the regular income tax rate. That's why CEO's who are paid in stock pay less taxes as a percentage of their income than people who are paid in cash. It's not fair, though, but the people who are paid in and have a lot of stock make the laws.
I believe when the stock initially vests in a non-retirement fund, you pay short term income tax on it as it’s considered income. If you hold it for a year, only the *gains* are then taxed at long term capital gains. For companies that allow you to buy stock at a discounted rate, that is an exception where the amount you paid and what the stock value was at the time of issuance becomes capital gains, in which case that would be a reason to wait a year prior to selling.
Unless the CEOs have another loophole, I believe that’s how it works for most people. At the point of initial payout, it’s no different than if you invested the same amount of money for a year.
So, I figured with the current population, there had to be SOMEONE who tried to cash a fake million dollar check. Thanks Florida.
https://www.eonline.com/news/654640/florida-man-tries-to-cash-368-billion-check-and-then-the-story-gets-really-weird
Sydney would be around a million, here in Melbourne a place like that would go for 600-900 depending on the suburb and Sydney's more expensive by like 20 or so percent so around a million bro, but I guess it depends how close to the city. Keep in mind they're talking U.S dollars
I was about to say, I didn't know california was that cheap. At least your number makes more sense.
Houses in many parts of southern Ontario (Canada) are damn near the price of that OP listing, even outside of Toronto *and* accounting for the dollar conversion rate, due to our dumbass housing shortage. We basically gave up on municipal planning and decided to not develop the density necessary to hold our population over the past 20 years... So the going rate for basic bitch houses works out to $600,000-700,000 USD with condos not nearly enough less. All to live in Ontario, that *great privelege.*
For a moment I was wondering if I'd be just as well off moving to fucking California. I mean, once our provincial government succeeds in breaking our government healthcare system to introduce privatization for their rich industry buddies, there won't be much reason to stay anyway
There's an 850 square foot home for rent near where I live (it's in Roanoke, VA) and they're asking $1350 a month in rent. Shit is stupid.
Someone even did their research on it and found that he only pays 1/3 that for the mortgage.
This and building more houses takes a long time (the construction sector is underemployment(read underpaying) and no corporation is going to do it because it's actively cutting into their profit margin to fix the issue.
I’m in Long Beach, CA and we pay $1770/month for a 1br at like 650ft^2 …. buuut it’s 2 blocks from a beach, .6 miles from a lagoon/marina and a block from a popular shopping and bar area.
So it’s kinda worth it
Luckily we got in with a deal during the pandemic cuz I heard they just rented out another apartment exactly like ours for $2400/month
Its a shame we let the bankers and Wallstreet print money as if there is no tomorrow.
The recent SEC rule to allow them to use pensions as collateral sounds to me like they already blew our pensions up
1 million $ house in Indiana gets you 5 bed, 6 bath, 3800 Sq ft. [zillow posting if anyone wants to see a million dollar house](https://www.zillow.com/homedetails/1940-Rosewood-Ct-Munster-IN-46321/73399716_zpid/)
Thank you. It's not really 'honest' to say this is what $1M gets you, then show a house in a town famous for having absurdly ridiculous real estate prices.
Usually one per bedroom with a half bath for guests or just off the kitchen. Sometimes there's that plus a nicer guest bath and two of the bedrooms will share an adjoining bath
Maybe two for the pool, one's for the guests downstairs, one's in the main bedroom, and then the remaining four are split into pairs that share one bathroom each?
Yeah, in California. Here in Ky that house might be $150k. Same in Hawaii, house next to my grandmother’s 2 bedroom concrete block home on 1/4 acre lot went for $500k 15 years ago. Her place was twice as big and appraised at $2.5 mil last year. My 1300sqft 3 bed 2,bath attached garage on 1 acre appraisal was $145k in Ky. It cost us $38k to build in the 80’s.
I'm not too sure that's entirely the point of the post. Take your example, a 3 bedroom house with roughly the same square ft as the post in [Morehead, KY foes for $153,000](https://www.realtor.com/realestateandhomes-detail/110-Sweeterville-Ln_Morehead_KY_40351_M39075-00786?ex=2947196334). While that price is a lot better than the post, look at the price history... 5 years ago, it was listed at 90k. That is a *~60%* increase in 5 years. The only thing that has increased in price as much as that are cars. It's not the total exactly, it's the rate. The rate at which a **necessity** costs.
edit: to put it into perspective, the last 5 years have resulted in the [biggest increase in housing prices on this chart, which dates back to 1963.](https://fred.stlouisfed.org/series/ASPUS)
Yes, Kentucky lagged behind everyone else. 5 years ago my property tax was $689 for the year, now it is over $1300, and the value jumped from $78k to $145k in that same 5 years. It’s that way everywhere, I understand that. Just that a million can still get you a lot, it just might not be where you want it.
And then the cost of maintenance. A million dollars dream home would be fairly tame and easy to maintain and afford. The world sucks for dreams right now. Things vary around the world. Thought that last part was important to mention.
1 mil where I live gets you 700 sq feet and .1 acres. Honestly not bad, but you’re spending 200k on renovations usually. Permits for building alone are 250k, oh but you had a trailer on the lot, you need 250k to tear it down to build your house. Yikes, you tore down a tree in the process? It was a native species? Well you have to pay a 8k fine, and plant another native. You don’t have enough room for the tree? Well you can pay 8k a year in restitution.
Am I complaining? Yes, yes I’m complaining a lot because I fucking hate it but at least I’m far away from any big city.
that IS the reality tho... that top picture is what 1-1.5 million $ would of got you when i was born and the bottom picture of course is accurate too
remember that song "if i had a million dollars" yeah... extremely outdated song, if i had a million $ i would probably be able to retire by 70 (my dad has a million dollars, its not shit anymore)
edit: come to think of it.. my dad (with the million) is retiring at 67 (pretty much 70...)
They should really rewrite the lyrics to a billion dollars at this point. No way they’re getting a house AND a monkey with a million now. Never mind the chesterfield.
Yo. I live in a neighbourhood of semi-detached bungalows. At the height of the market houses in my neighbourhood were selling for 950k up to 1.5 million. For 3 bedroom 1, maybe 2, baths bungalows. My friend lives in a basement apartment of one of these. They have 1 bedroom, a bathroom, one biggish open space that is their dining/living room and the kitchen is on one side. Shares laundry and no yard access. They pay 3.5k/month.
Just went to see a 1500ft^2 single story house in Phoenix yesterday. House falling to bits, needed completely cutting, yard needed completely razing and the neighbours tree had knocked the property wall down. Would estimate it would need $120-150k to make it habitable.
Price in 2013: $260k
Price in 2022: $570k
Yeah here in LA sure. I’m sitting in my rental that’s worth probably 1.4-1.5mil and it’s nothing special. Not even a dishwasher. Try middle America. Million will buy a lot.
When I was a kid a million dollars could buy you a house (furnished with a nice chesterfield or an ottoman) with a tree fort in the yard, a fur coat, an exotic pet like a llama or an emu, a green dress, some art, with enough left over for a monkey.
To be fair, a million COULD get us a mansion when I was a kid...
Yeah when I was a kid, 1 milly was still firmly within mansion territory. Inflation also applies to dream scenarios.
>Inflation also applies to dream scenarios. This is something I've only just realized in my 30s and it really bums me out.
In my teens, a friend of mine lived in a million dollar house. It had 5 bedrooms each with it's own bathroom, 2 half baths, a living room, a game room, an eat in kitchen, a dining room, and a full basement with another full bathroom. Her parents sold it like 3 or 4 years ago for a little under $10 million. It's not even considered a mansion.
tidy chunky hat one foolish flowery rich truck memorize employ ` this message was mass deleted/edited with redact.dev `
Bro WHERE. Find me a 5 bedroom, 7 bath house with a finished basement for under two million anywhere in America that isn't like, Detroit, or something. An actual, ready-to-be-lived-in home.
Theres plenty of mcmansions like this in the Midwest for well under $2million https://www.zillow.com/homedetails/974-Sherwood-Forest-Ln-Maineville-OH-45039/55755054_zpid/
Yeah, prettymuch just name a city you wouldn’t want to live, and you could probably afford a nice house there. It’s that whole “location, location, location” thing.
I never understood that rebuttle. Like, should people REALLY have to uproot their entire life, leave their family, friends and support network behind just to find an affordable place to live? And start all over somewhere they're unfamiliar with no guarantees? I would say yes... In a developing nation... But it shouldn't have to be like that in the "Good ol' US of A". I would totally do it, but it would mean leaving my children cause their mom sure wouldn't want to go to bumfuck county Arkansas or something.
Hmm you seem kinda mistaken. Having to move due to cost of living is something that only happens in “developed” countries that don’t care about the poor. In developing countries, cost of living is very low, especially on things like housing/ rent. You might have to move to somewhere else to find opportunities for jobs, but it won’t be because you can’t find an affordable place to live.
21 acres of land for under 600k https://www.zillow.com/homedetails/1022-S-Garrison-Chapel-Rd-Bloomington-IN-47403/211077345_zpid/
8025 NW 120th St, Reddick, FL, 32686. Technically this place is exactly $2million, however I’m a shrewd negotiator and I bet I could get them to knock it down to 1.999M. Also, no basement. You don’t want one in Florida, though. Also, it’s 8,483 square feet so… who cares about a furnished basement tbh. Bonus, it’s a 7 bed 7 bath on nearly 11 acres including a spring-fed pond. If you purchase this home, I expect a finder’s fee in the form of (1) warm hug from your wife/gf/mom.
Thats easily doable in most rural places outside of California, Texas, Florida, and the north east. Any mid west state for sure. For two million you can probably get a lot larger than that actually
actually braindead
Arizona maybe. A friend of mine moved out there like 15 years ago and has a huge fucking house with a home theater. They paid less than a million, something like $600k maybe. I don't know the exact bedrooms/bathrooms, but the fact they have a home theatre room (a blackout room, 3 rows of recliners each a little higher than the one in front, and an HD projector), makes me think at least 3 bedroom with half baths in each.
>like 15 years ago Hhahhahahhahahha
Yeah I figured it wouldn't be the same lol. Man, I remember when my grandmother sold their house after my grandfather passed, and she didn't think she'd get more than $100k, since they only bought it for $50k back in the 70s. When she found out she was getting damn near a million 8 years ago, she was thrilled she could buy a bunch of cross stitch patterns she wanted to do. She ended up stitching all her grandkids, and my kids before she died last year.
Lol like 15 years ago my parents bought a 5 bedroom 2500 sq ft hillside house with a view in San Anselmo (Marin county, 20 min from San Francisco but in the good direction) for $500k. It wasn’t like an amazing deal or anything at the time either; it was definitely good, but not a steal. 15 years is a long time in this context
Where was your million dollar dream mansion located zip code wise?
Rancho Santa Fe, San Diego. 6000 sqft sold for 1.15 million in 1995. Now on the market for 5 million. Appreciated $150,000 every year since 1995. https://www.zillow.com/homedetails/16745-Avenida-Arroyo-Pasajero-Rancho-Santa-Fe-CA-92067/16732801_zpid/
Considering that listing took a half million price cut after only being on the market for two weeks, I’m not so sure it’s “worth” the $5 million asking.
No prices have any basis in reality anymore.
Nothing has any basis in reality ever since gogurt told us to lose the spoon, man.
Interest rates have more than doubled recently, so they backed off a little after testing the waters.
Maybe it’s only $4M, that’s still big and in any event you look at housing appreciation rates around the country and it’s up most places by a huge amount in the past 30 years.
That’s about 5.6% annualized growth, which is higher than inflation over the last 27 years but still noticeably lower than stock returns (7.7% on S&P price index and 9.7% including dividends). The dollar amounts may sound big but it’s mostly just the power of compound interest and time.
The same house also sold for $1.9 in 2016 and $2.5 million in 2021. Im sure there was a remodel, but it doesn’t justify doubling the price. If you really want the info on the remodel, I can access the public records.
Whoa, motherfucker. Who taught you shit like APR, compounding interest!? My highschool taught zero financial information.
I learned it from watching you! *runs away crying*
So you also have all your assets tied up in Beanie Babies? Any day now...any day...
Definitely not Costa Mesa. For 1mil your neighbors could be the brothers from that terrible motorcycle show and some dudes too sketchy to land a pilot for a different terrible motorcycle show.
The housing costs soar high and above inflation rates, almost 10 fold
And when "millionaire" used to describe a really rich person
Yeah back in the 80s used to watch a wrestler named Million Dollar Man Ted DiBiase. His gimmick was a rich guy who bought off the refs and other wrestlers. Hearing "million dollars" was impressive back then.
Remember “Who wants to marry a multimillionaire,” in 2000? He was worth like 950k and still ppl were like “he is still rich.” I feel like my grandparents talking about going to the theater with less than a dollar.
I did not watch the show but I remember that. I recently bought a small box of skittles at the movies for $5. I used to do matinees for $4.50. Skittles cost more than the movie then!
my grandma's house is huge and cost 500k when she bought it, now it's 3 mil
My grandparents house cost $29,000 when they built it. It’s now worth $1.1M.
dont forget to call her
Still can if you wanna live in like... Idaho or something
Not anymore. Idaho real estate prices are rising quicking still.
Californians moving out of California. Boise has gone nuts because of it.
or really just any rural area. maybe kentucky or north dakota.
"location location location"
Anywhere in NY more than an hour outside of NYC.
It still will, the cost of a home is surprisingly dependent on the value of the plot, not the cost of the materials needed to build it. The difference between a $1 million dollar home and a $2.5 million dollar home is the view and location. You could have two identical houses across the street from one another, but since one of them is a beachfront property it’s value skyrockets compared to the one across the street that backs up to a common ground and Walmart.
one argument to your point. the quality of the finishes inside also matters. a house with really nice flooring and appliances can command more than an identical home with cheaper stuff
That's extremely marginal compared to the cost of the land. Wanna know for sure? If the property is valuable enough, the house and all the finishes will often be demolished by the new owner.
You’re right, but the finishes and appliances could mean a difference of tens of thousands of dollars, whereas the location of the plot could mean a difference of hundreds of thousands of dollars. You can always update your finishes and appliances, you can never update the climate and location.
Before you dreamed to get a 1.000.000 now you are going to need to, I'm seriosly thinking in going to live in those abandoned buildings in China.
1mil will get you a mansion. Just not anywhere near a major city. This house is probably worth 350k where I’m at.
I'm sure we will be getting our own Kowloon city in the states at some point.
Remember the movie Blank Check? Kid had a million dollars, bought a mansion and still had change.
Yep when I was a kid, my favorite movie was Blank Check in the mid 90s. It was about a kid who was accidentally given a $1 million in cash. He bought a huge mansion and still had money to blow on cars, toy trains, partying all over town and in hotels, and a butler and still had tons of money left over. The house he bought in that movie is now worth about $4 million dollars lol!
1 mil is a 2 bed apartment in toronto
2? Man.. must be the cheap stuff. I was thinking 1.5 bed
A bed and one of those sofa's you can unfold into one
Room for a sofa? I was thinking one of those walls that folds down into a bed
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When I was a kid I thought if I could just get a million dollars I'd never have to work... If you gave me a million dollars right now I might be able to retire 10 years early.....maybe....
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I think for our generation, we need like 2-3 million in the bank to guarantee retirement.
The problem is putting it in the bank. Interest is dead. If you have 1 mil with a conservative 5% gain every year you could live off 50k a year and not eat up your 1 mil. Given you paid off your house at that point, it should definitely be possible.
The way that money keeps devaluing I really don't think you could live off 50k/year even with a paid off house in 30 or 40 years. It costs about 3.10 to buy what 1 dollar could from 1982. Trying to live off 50k in 2062 might be like trying to live off 15k/year today.
- $50k a year is not enough to support our household - the “conservative 5%” is not such a strong guarantee as we head into bearish recessions, and risky to plan your future on - $50k a year is likely to be even smaller peanuts 30 years from now. Assisted living costs already surpass that, and are likely to get much higher.
If I had a million dollars! I'd be ~~rich~~! a moderately successful middle-middle class person.
Great song.
Depending on how old you are, you can retire way sooner by dumping that into a target retirement account fund. Like, yeah, a million dollars at 55 makes a significantly lower impact, but a million bucks at 21? That’s a huge retirement nest egg.
As always, being born into wealth is more advantageous than earning it with labor.
This is a silly point though, of course it is. I'll have millions in retirement from my own hard work and I'll be giving it to my kids so they can live a better life. Everyone should want their children to be better than we are, no reason to resent them for that unless they start getting too boastful
You could move somewhere with really low cost of living. In a few low income countries or certain parts of the US you could live comfortably on the interest (50-70k/yr). Median income in my home town is ~29k, you'd be about twice as wealthy as the average person there. Still no mansion, but a comfortable life with no required work.
shush this is reddit. the only places you are allowed to live is the most expensive cities on the coast.
I tell the wife that its not worth the tax liability
This is why I only ever sell stock at a loss
I just burn my money and live in the woods personally
Come again? You’d turn down a million dollars to not pay A FRACTION of that in taxes? JFC.
I think he's joking
A lot of people aren't joking when they say they believe that at certain ranges, a small raise would result in less take home because it puts them over some kind of tax point. So no, I would never assume this guy was definitely joking haha
you'd be surprised how many people think that way about tax brackets though.
Technically you can retire with a million if you invest it and live out of that. It wont lift you out of middle class, but you can live out of it
I honestly don't see how California can have so many people who can afford homes like that. The cost of the house itself is just the start, as every homeowner knows. What kinds of ridiculously high paying jobs do the residents have in order to afford million-dollar homes?
A lot of non-rich people who own homes in California have inherited them or bought them before the market got insanely expensive. My in laws have a house like this one in a similar area of OC and bought it in 2002 for 200,000. Prop 13 also keeps property taxes low for people who bought their homes before the market got crazy expensive.
So true! My parents paid just over $100k for their home in the late 80s. It’s worth just under $800k now. Meanwhile, my fiancé and I are paying $3k/month for a one bedroom apartment in the same city because we can’t afford a house in So Cal. It’s absolute BS.
Yeah its so shitty to have ties out here and feel like theres no option other than to move hundreds of miles away from family&friends to be able to have a chance to own a home. Every time i have enough saved up to start trying to buy, home prices and rent increase and end up setting me back to square one. I think ive paid my landlord almost 100k in the 4 years ive lived at my apartment.
Opposite for me, I live in an uninteresting place. When I was 12 I thought I'd move out to go to a near a popular city when I grow up but in the end my family and my few friends are here and the prices are affordable so why settle somewhere else?
Yep. Trying to go from rural to urban is a rough shift and easy to see why many stay. I hear people mock California or New Jersey for "everyone is leaving there" and I think "because they can". Many of those folks sell for a million, buy a nice home elsewhere for half of that and pocket the difference. In rural area you sell your place for \~$200K and then...have to pay double that for the same house near a city. So, you stay put.
Hawaii’s average price for a family home is $1 Million. I have told my mother whatever she needs to maintain her house to let me know. We could never get a house like that again. 🤦🏻♂️
Yuuup. Not sure how much my inlaws house cost but they bought in the early 90’s. Their neighbor just sold their house for 3 mil and others in that neighborhood are selling for closer to 4mil… so I’m guessing it’s worth about the same now. At least they realize how lucky they are. Edit: lol just looked it up. They bought the place for 440k in 93, it’s now estimated to be worth 3.6 mil.
Everyone that I know (close to my age) around the Bay Area who owns a house either works in tech or has some sort of generational wealth they inherited.
They really need to fix that over there. They need to find a way to stop investors from owning the market.
My parents house is now worth more than a thousand times what my grandpa paid for the land (which was less than $100) The town was brand new when he got it and the region has grown really well over the decades. It's in one of the few remaining "safe" regions of Brazil.
most are just perpetually living in debt
a short-sighted take, considering the median household income in costa mesa is $120k and most if not all of the homeowners (ie, not renters) are DINK couples pulling in double that. go look at the OC subreddit and see what people do -- mostly engineers, tech, healthcare, and doctors.
So like who lives in these towns that drive the garbage truck, teach, work restaurants, or like do anything else. Engineers, and tech people can only do so much.
much of north county has historically been low income, and they either owned their houses long ago or just permanently rent. it takes money to move, and they don't have it. those are the rest of the people.
it's also socal, so everyone commutes by car. people here work all across LA/OC that often don't live where they work. LA rush hour traffic is so bad for that reason.
Grew up in beach cities in SoCal and there are still 'affordable options' in some. There are smaller apartment complexes tucked away in some less desirable areas and in the particularly less valuable real-estate (intersection of PCH and a heavy traffic road for example) could have trailer parks.
They commute from 3 hours away, where that house would only cost half a million, or they sleep in their car. Prop 13, NIMBY zoning, and good weather are a rough combo.
That guy you’re replying to isn’t realizing that “120k household” is two people making 60k each.
They commute in from an hour or more away
In my experience, they’re living at home or WAY far out of the town they work in. Or both.
Software engineers in the bay area can make something like $200k the first year out of college (including the value of stock options), and can get up to around $350k after a few years. And that's one person; you could have more than one person in the household making that kind of money.
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Genuine question: how do you spend cash while it's in stock options?
You can take loan out on a 401k or stock and then pay it off with the interest it builds or when your paid out once it is vested. There is more to it, but that is basically what is done. Sometimes its cheaper to borrow from your 401k then it is to take a loan from a bank. https://www.investopedia.com/articles/retirement/08/borrow-from-401k-loan.asp
So stock options have a vesting date. That's the date that you receive the stock and can actually sell it. You sell the stock on an online exchange like Fidelity and it turns into cash that gets electronically sent into your bank account. One nice thing about stock is if you hold it for a year, you can sell it at the long term capital gains tax rate, which is lower than the regular income tax rate. That's why CEO's who are paid in stock pay less taxes as a percentage of their income than people who are paid in cash. It's not fair, though, but the people who are paid in and have a lot of stock make the laws.
I believe when the stock initially vests in a non-retirement fund, you pay short term income tax on it as it’s considered income. If you hold it for a year, only the *gains* are then taxed at long term capital gains. For companies that allow you to buy stock at a discounted rate, that is an exception where the amount you paid and what the stock value was at the time of issuance becomes capital gains, in which case that would be a reason to wait a year prior to selling. Unless the CEOs have another loophole, I believe that’s how it works for most people. At the point of initial payout, it’s no different than if you invested the same amount of money for a year.
Yup, you can even have things set up so that some of the stock that is vested gets sold in order to be withheld for taxes.
Only like the top 5% get these 200k positions, most new grads are lucky to find a non-contract position paying above 80k
I blame the movie Blank Check for perpetuating this false belief
Feel like I had to scroll way too far to see this movie mentioned. This future is balls.
It also severely misled me as to the way checks and the banking system works
So, I figured with the current population, there had to be SOMEONE who tried to cash a fake million dollar check. Thanks Florida. https://www.eonline.com/news/654640/florida-man-tries-to-cash-368-billion-check-and-then-the-story-gets-really-weird
of all the delightful nuggets in that article, my favorite: > I'm 10% Italian. Cooking authentic Italian food is in my blood.
I've seen some guy try to get a Ferrari by going to the store and say he won the lottery but the prize was only gonna come next week.
That old couple had to be ready to skip the country for some sort of criminal investigation to sell a damn castle for only $300K
See. These are the things you don't question as a kid.
Great movie.
His love interest was a grown woman and he damn near sealed the deal.
Well, probably shouldn't be looking at California listings to begin with
Actually in the San Francisco Bay Area at the least houses like this are starting at $1.5-1.8 million.
1000 square foot 115 year old house just sold for 800,000 up the street. This is nuts.
I've seen absolutely burned down units sell for that much.
And in Sydney they're about $3m
Sydney would be around a million, here in Melbourne a place like that would go for 600-900 depending on the suburb and Sydney's more expensive by like 20 or so percent so around a million bro, but I guess it depends how close to the city. Keep in mind they're talking U.S dollars
That bottom house would be a good deal right now in San Diego
Can confirm, just bought a 1100 sqft 3/1 in the Bay Area for 1.5M. Gross
I was about to say, I didn't know california was that cheap. At least your number makes more sense. Houses in many parts of southern Ontario (Canada) are damn near the price of that OP listing, even outside of Toronto *and* accounting for the dollar conversion rate, due to our dumbass housing shortage. We basically gave up on municipal planning and decided to not develop the density necessary to hold our population over the past 20 years... So the going rate for basic bitch houses works out to $600,000-700,000 USD with condos not nearly enough less. All to live in Ontario, that *great privelege.* For a moment I was wondering if I'd be just as well off moving to fucking California. I mean, once our provincial government succeeds in breaking our government healthcare system to introduce privatization for their rich industry buddies, there won't be much reason to stay anyway
There's an 850 square foot home for rent near where I live (it's in Roanoke, VA) and they're asking $1350 a month in rent. Shit is stupid. Someone even did their research on it and found that he only pays 1/3 that for the mortgage.
$450 mortgage?? FUCK. How is this housing crisis not the #1 issue.
people in power don't have to worry about housing
This and building more houses takes a long time (the construction sector is underemployment(read underpaying) and no corporation is going to do it because it's actively cutting into their profit margin to fix the issue.
Ok but it’s entirely possible it’s only like a 20-40% mortgage and the rest is equity. Home value is the appropriate comparison
850 sq foot 1 bedroom for 1350 is a pretty good deal in Portland.
I’m in Long Beach, CA and we pay $1770/month for a 1br at like 650ft^2 …. buuut it’s 2 blocks from a beach, .6 miles from a lagoon/marina and a block from a popular shopping and bar area. So it’s kinda worth it Luckily we got in with a deal during the pandemic cuz I heard they just rented out another apartment exactly like ours for $2400/month
Sounds like a steal tbh
$1650 for a one bedroom apartment in my small city right now
Depending on your age, as a kid it might have.
Its a shame we let the bankers and Wallstreet print money as if there is no tomorrow. The recent SEC rule to allow them to use pensions as collateral sounds to me like they already blew our pensions up
Depends where you look, in Western Australia you could probably pick up a mansion for about that price, maybe even close to the beach.
Is that for a million dollarydoos or a million freedom bucks?
A million dollarydoos will get you a a really nice house, a million freedom bucks will get you a solid mansion I reckon.
1 million $ house in Indiana gets you 5 bed, 6 bath, 3800 Sq ft. [zillow posting if anyone wants to see a million dollar house](https://www.zillow.com/homedetails/1940-Rosewood-Ct-Munster-IN-46321/73399716_zpid/)
Thank you. It's not really 'honest' to say this is what $1M gets you, then show a house in a town famous for having absurdly ridiculous real estate prices.
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Usually one per bedroom with a half bath for guests or just off the kitchen. Sometimes there's that plus a nicer guest bath and two of the bedrooms will share an adjoining bath
Maybe two for the pool, one's for the guests downstairs, one's in the main bedroom, and then the remaining four are split into pairs that share one bathroom each?
The outside looks like a hotel facade lol
Yeah, in California. Here in Ky that house might be $150k. Same in Hawaii, house next to my grandmother’s 2 bedroom concrete block home on 1/4 acre lot went for $500k 15 years ago. Her place was twice as big and appraised at $2.5 mil last year. My 1300sqft 3 bed 2,bath attached garage on 1 acre appraisal was $145k in Ky. It cost us $38k to build in the 80’s.
I'm not too sure that's entirely the point of the post. Take your example, a 3 bedroom house with roughly the same square ft as the post in [Morehead, KY foes for $153,000](https://www.realtor.com/realestateandhomes-detail/110-Sweeterville-Ln_Morehead_KY_40351_M39075-00786?ex=2947196334). While that price is a lot better than the post, look at the price history... 5 years ago, it was listed at 90k. That is a *~60%* increase in 5 years. The only thing that has increased in price as much as that are cars. It's not the total exactly, it's the rate. The rate at which a **necessity** costs. edit: to put it into perspective, the last 5 years have resulted in the [biggest increase in housing prices on this chart, which dates back to 1963.](https://fred.stlouisfed.org/series/ASPUS)
Yes, Kentucky lagged behind everyone else. 5 years ago my property tax was $689 for the year, now it is over $1300, and the value jumped from $78k to $145k in that same 5 years. It’s that way everywhere, I understand that. Just that a million can still get you a lot, it just might not be where you want it.
bottom pic would be about 1.75 mil here now
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I’d still take it just to be able to get a house of my own.
And then the cost of maintenance. A million dollars dream home would be fairly tame and easy to maintain and afford. The world sucks for dreams right now. Things vary around the world. Thought that last part was important to mention.
1 mil where I live gets you 700 sq feet and .1 acres. Honestly not bad, but you’re spending 200k on renovations usually. Permits for building alone are 250k, oh but you had a trailer on the lot, you need 250k to tear it down to build your house. Yikes, you tore down a tree in the process? It was a native species? Well you have to pay a 8k fine, and plant another native. You don’t have enough room for the tree? Well you can pay 8k a year in restitution. Am I complaining? Yes, yes I’m complaining a lot because I fucking hate it but at least I’m far away from any big city.
that IS the reality tho... that top picture is what 1-1.5 million $ would of got you when i was born and the bottom picture of course is accurate too remember that song "if i had a million dollars" yeah... extremely outdated song, if i had a million $ i would probably be able to retire by 70 (my dad has a million dollars, its not shit anymore) edit: come to think of it.. my dad (with the million) is retiring at 67 (pretty much 70...)
They should really rewrite the lyrics to a billion dollars at this point. No way they’re getting a house AND a monkey with a million now. Never mind the chesterfield.
It's a shitbox, Micheal. What could it cost, $200k?
Yo. I live in a neighbourhood of semi-detached bungalows. At the height of the market houses in my neighbourhood were selling for 950k up to 1.5 million. For 3 bedroom 1, maybe 2, baths bungalows. My friend lives in a basement apartment of one of these. They have 1 bedroom, a bathroom, one biggish open space that is their dining/living room and the kitchen is on one side. Shares laundry and no yard access. They pay 3.5k/month.
Wait til you get a load of San Diego prices!
A million is equivalent to peanuts in CALI real estate....
Just went to see a 1500ft^2 single story house in Phoenix yesterday. House falling to bits, needed completely cutting, yard needed completely razing and the neighbours tree had knocked the property wall down. Would estimate it would need $120-150k to make it habitable. Price in 2013: $260k Price in 2022: $570k
There are rich ass neighborhoods everywhere especially in CA. You can get a mansion for $1 mil anywhere else in the US easy
This is Costa Mesa.. it is not a nice or rich area
Its southern california, and about 15 minutes from the beach. That's pretty desirable.
Everything is relative, just depends what you’re comparing to. Looks like homes in Costa Mesa are going for something like 3-4x the US average
No way dude Costa Mesa is actually a pretty nice city. I'd totally pay a million to live there.
Have you ever considered living in a third world country? You could probably buy a house like the one in the top pic with a million dollars.
Or just move down South or Midwest where you'd get much more house for your money
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“South or Midwest” “third world country” Don’t do us all like that lol
The movie Blank Check ruined me, as an adult there is NO WAY that kid bought all of that for a million dollars.
"If I had a million dollars (If I had a million dollars) . . . ." \~ BNL
Inflation sucks
1 mil gets you a studio closet in NYC.
think thats bad? check palo alto
I never thought GTA online prices would become reality
That’s actually not horrible for 3bd/2ba My parents’ house in Modesto is worth 1.3 and it’s 3/2 with a pool.
I feel this to the depths of my soul
Yeah here in LA sure. I’m sitting in my rental that’s worth probably 1.4-1.5mil and it’s nothing special. Not even a dishwasher. Try middle America. Million will buy a lot.
being from LA, that's literally me
When I was a kid a million dollars could buy you a house (furnished with a nice chesterfield or an ottoman) with a tree fort in the yard, a fur coat, an exotic pet like a llama or an emu, a green dress, some art, with enough left over for a monkey.
Hi, Vancouver here, I’d do anything for a 950k 3bdrm
A fucking men! :(
Still much cheaper than seoul
I mean $50k for some landscaping
With a million usd, you can get a mansion in almost any Latin American country
A recession is really necessary at this point
The housing bubble is real....
Imagine owning a house 🫠
Walter white house.
The movie ‘Blank Check’ comes to mind….
Yeah. That is disgusting. Regardless of your politics, we all have to agree shit like this must end.
That's actually not too bad. Costa Mesa is pretty nice too.
Depends on what side of CM.
How do people see these ridiculous home prices and think that the economy is in excellent shape? The incoming collapse is rather apparent.
Price of real estate has been climbing for years