CAR, using your example of 120k in 2000 and 205k in 2010 AND using the interest rate of 2000 vs interest rate of 2010, the monthly payment (PIT) was $825/month while the PIT in 2010 would be $1084/month. The monthly payment has risen 31.4% over the last 10 years.
Using your income data you posted, such individual in 98/99 would be bringing home $3624.66/month (assume single filing). A similar individual in 09/10 would be bringing home $4855.25/month. That equate to 34% rise in net income and a 31.4% rise in monthly mortgage payment.
The individual in 98/99 would be paying 22.7% of their net pay for the house. While the individual in 09/10 would be paying 22.3% of their net pay for the house. It doesn’t seem to outrageous to me.
Do you have data to back up the statement of the bottom 50% of our society is far worse off today than in 2000? The data I’m seeing is not lining up w/ this statement.
