Yes, the ratio of average house price and annual income has evolved from 2 to 3 in the years 1970 to often 10 today.In other words, house prices have risen far more than the incomes.
My grandparents and even my parents bought a house with one income as if it were the most normal thing in the world, and that was it then too.Today it is self for families with two incomes hard to buy a house.
The cause is to look for the increasing population density and urbanization, where many people want to live in the same small area.
A simple solution is not there, as this is largely the result of supply and demand.The offer is limited anyway (there is only a certain amount of land available and there can only be built at a certain pace).
The most important thing seems to me to be the revaluation of certain areas where demand (and therefore price) is lower, so that it offers a solution for young adults on a limited budget.Working at home can play an important role in this.
Yes, it’s definitely harder.Until the years 80 there were programs especially for people with lower incomes to buy a house. In addition, homes have risen more quickly than salaries, so you need more years of salary than before.
In recent years, many foreign investors have been invited (yes, invited: Redirect Notice) by the cabinet on the housing market.They buy houses with cash, which is why the House seeker is fishing behind the net.
Last but not least, the government used to build much more. The VVD policy from now on companies want to pick this up, but they prefer to build loose plots, because that has made more money.
TIP: Watch the super videos at the bottom of this post for educational learning!
Source: Http://www.werk.belgie.be/Downlo. ..
The control of the sources has not happened.
Simple Google searches. Nevertheless, one feels/sees/hears that the answer to the first question is ‘ yes ‘.
There are a few things that need to be reckoned with:
1.The Bruttoloon 1992 goes over the servant (without workers). This implies that Bruttoloon in 1992 should actually be lower.
2.This is a limited comparison as this is just about Dilbeek. For more accurate comparison one can best take different regions as a sample.
From this data one can get that one paid for a house in Dilbeek (Rand Brussels) 鈧?3,400.In 2017, that was 鈧?14,000.
In 1992, gross wage was Belgian servant 鈧?,360.In 2017, Bruttoloon was average Belgian worker 鈧?400.
In 1992 one would have to pay 36 gross wages for house in Dilbeek
In 2017 one would have to pay 95.35 gross wages for house in Dilbeek
(Price year/gross annual salary year)
The solution is evident and irrevocable.A reset of the monetary system, sometime in the future. What mechanism is behind it is fascinating!
Its origins are in how our monetary system works, the way ‘ money ‘ arises.Basically it runs as follows (very short by the bend):
- The central bank manufactures ‘ base money ‘.
This is called the M1 Money Supply.
The ‘ Discount Rate ‘ determines how expensive or cheap ‘ base money ‘ is for the commercial banks.
Central banks and commercial banks thus create (digitally) ‘ money ‘ out of nothing.More money, given that the velocity remains the same (= the speed at which money is going around) and supply in services and products remains the same, causes inflation.
Inflation is NOT rising prices.The ascent of prices is a consequence. (as smoke is a result of fire. Inflation is expanding the money supply (money Press, QE, tout court debt creation currently,…)
Nowadays, our entire money supply is FIAT.In other words there is no ‘ backing ‘ of the (digital) coin (鈧?$/…). This ensures, as we have demonstrated throughout the monetary history, that the value of the currency decreases compared to the products and services that you can buy with it:
Suppose 鈧? buys the world.If you press 鈧?, how much of the world you buy with 鈧? (SPOILER: half). Inflation in its essence =) Again, this is very short through the bend.
Banks are at present the leeches of the world.Banks have the privilege to make money by an accounting trukje. If you or I had to do this, we would fill the prison for counterfeiting. The bank creates money out of nothing and asks interest here.
Because our entire money supply consists of credit (how much cash is left?) and all that credit (debt) interest is counted, we NEED to accumulate more and more debts and we do not want to fall into a recession.If the debt creation (the economic) engine stops/does not grow fast enough, either public or private then there are back more companies/individuals who cannot repay their debt and the vicious circle has been initiated. A seriously deflationary (painful) happening (event).
The one his expense is the other his earnings.So if one spends less, the other less deserves less, the next less deserves… And so on:)
This brings us to credit booms and credit busts.If more people spend money, because banks have confidence and can borrow people/companies/government, prices are rising. As prices rise, the banks lend their turn more because the underlying value has risen. Remember: More ‘ money ‘ (read: Guilt in our system) is the origin of inflation. If we didn’t have to print a ‘ money ‘-on the digital button;)-we would have known serious deflation. Deflation is not a monster.
If you really want to delve into this matter, there is no shortage!
Since 2014 (my ‘ redpilling ‘) I am passionate about how monetary systems, the economy, capitalism work.
Figures to follow:
Mike Maloney-HiddenSecretsOfMoney/Gold & Silver (Best author)
Read and surf, Internet = information instantly!
Connect?I like to go to the conversation!
The World’s Most Trusted Name in Precious Metals -Goldmoney to perform gold/silver transactions and easily CONVERT between FIAT and Precious Metals for a low monthly storage fee ASSURED VIA Brinks!
Yes, but not because homes are more expensive and people earn less.Expensive houses are just a plus. They keep interest rates low and only make several houses expensive because of increased cost at possession v multiple properties.
Young people simply have far too many possible products for sale and want to live far too quickly to the luxury that their parents know and have worked for