Home › Forums › Other › OT: Minimum wage proposal in SD › ltsdd][quote=AN wrote:Minimum
[quote=ltsdd][quote=AN]Minimum wage earners are not middle class.
Regardless, let’s play with your example and use that to calculate what it would take to come up with the 20% down payment:
20% down payment for $96,500 is $19,300. That takes roughly 5761 man hours to earn at $3.35.
20% down payment for $465000 is $93,000. That takes roughly 11625 man hours to earn at $8.
How is that better?[/quote]I understand minimum wage is not middle class. I don’t expect a minimum wage person to be able to buy a place like this. But they might be able to buy a place like this: http://www.sdlookup.com/MLS-140009602-5281_Caminito_Cachorro_San_Diego_CA_92105
Sold for $78k in 1985 and selling for $199k today.
The payment in 1985 would be $547/month, assuming 20% down and 10% interest rate.
The payment today would be $783/month, assuming 20% down and 4.25% interest rate.
It would take 4975 hours worked @ $8 today and would take 4656 hours worked @ $3.35.
How’s that not better? You’re getting paid 2.3x more, yet your cost of living per month is ~36% higher than when it was in 1985.
