Income and Home Price Comparison over 50 years

[Shawn Parsh]

I find it interesting that the median household income in the U.S. in 1974 was 11,100 and was 74,580 in 2022. That is about a 670% increase in income over the roughly fifty years. The median home price was 34,200 in 1974 and 434,000 in 2022. That is about a 1,269% increase in the price of a home in the same time period. The median home price cost went up by almost double the increase in income. Does that imply that home prices are going to adjust lower?? What it does tell me is that our dollar has lost a lot of its value over the years, yet we continue to pass budgets that continue our debt cycle.