Labor is often cheaper around the world, but construction materials are expensive. In addition in many of the countries I’ve been to outside the developed Anglo world, all wealth and power is basically concentrated in the capital. This means competition for real estate in the capital is often quite fierce.
Plus this chart is dumb. It’s averaging price to income in the de-populating mid west with high cost coastal CA. That’s like conflating the cost in Miraflores (Lima) with rural Peru. In this case all real estate is truly local-ish.
Josh
