My aunt started working as a maid at the Watergate after graduating HS & bought a home in Arlington

[Anonymous]

My parents (secty and factory worker) and bought a modest home in the Oakland hills with a view.

[Anonymous]

Anonymous wrote:People forget that, back in those days, people had MUCH more modest homes. Heated by a wood-burning stove, one bathroom. Many people lived in mobile homes or other cheaper prefab construction. You can still afford a modest home on a maid's salary in the DC metro.

I think part of the point is that OP’s aunt bought in an area that was a relatively easy commute with good schools and a pleasant neighborhood feel (Arlington wasn’t as wealthy in the 70s/80s, nor as dense, but it was still considered desirable— probably more expensive than most places EOTP in DC in those days).

For many buyers, the problem isn’t wanting a huge house or a luxurious house, it’s wanting a home near good schools and a commute that won’t ruin your family life. That is increasingly impossible to find on a working class salary.

[Anonymous]

Anonymous wrote:Hispanic are buying houses in DMV their their landscaping or maid income. Many of them own houses in Rockville, SS, Gaithurberg. 20-30 years from now,, the value of their houses will double$ or triple.

They aren’t doing it as a single person in their early 20s.

[Anonymous]

I have a friend who, as a new college grad in the 90s, was living in a group house in N. Arlington, the typical brick rambler. The landlord decided to sell, so my friend bought it. No family money, but still had the roommates. 25-30 years later, he and his family now live in that (renovated) house in 22207.

[Anonymous]

Anonymous wrote:

Anonymous wrote:People forget that, back in those days, people had MUCH more modest homes. Heated by a wood-burning stove, one bathroom. Many people lived in mobile homes or other cheaper prefab construction. You can still afford a modest home on a maid's salary in the DC metro.

I think part of the point is that OP’s aunt bought in an area that was a relatively easy commute with good schools and a pleasant neighborhood feel (Arlington wasn’t as wealthy in the 70s/80s, nor as dense, but it was still considered desirable— probably more expensive than most places EOTP in DC in those days).

For many buyers, the problem isn’t wanting a huge house or a luxurious house, it’s wanting a home near good schools and a commute that won’t ruin your family life. That is increasingly impossible to find on a working class salary.

It's important to disassemble the components of this. Land is much, much expensive (at least in this area). Working class wages are much, much lower relative to professional or capital incomes. Materials are probably cheaper now, during the late sixties and early seventies copper, for example, was very, very dear.

[Anonymous]

Anonymous wrote:She started working at the Watergate at age 18.

She rented for a few years in her 20s, saved her money and then purchased her own home in her 30s.

All of this on a maid's salary.

Sounds too good to be true, I know.

But this was during the 1960s and 1970s.

Was she just at the right place at the right time?

will days like that ever come back?

That's awesome. Kudos to her! Her accomplishment is really something to be proud of. In actuality, the most difficult part for your aunt wasn't in having a large enough income it was probably in qualifying for a mortgage as a single woman. THAT was the true feat.

Additionally, now go back to your aunt and ask her about the circumstances of her purchase. I think you'll find that she bought in post-WWII housing. It was probably a working class neighborhood because that is what much of Arlington was in the '60s and '70s.

I'm not downplaying her accomplishment but I do encourage you to take off the rose colored glasses. Home ownership is very possible even if you are earning only $40-50k. But you'll be living in a neighborhood that you may perceive as undesirable, the home may need some work/upgrades, and the home may not have a lot of amenities.

AND you won't have to face the problems of your aunt if you are a single woman. It is no longer as difficult for a single woman (presuming that's what you are) to qualify for a mortgage on her own.

[Anonymous]

Close in was very very different years ago. An extreme example I lived in 26st in Manhattan when single in a super dumpy block of run down walk ups. Turns out when built in mid 1800s my building was for stable boys and chimney sweeps. It was too far uptown so I my lower class servants.

Flash forward to 1955 my aunt and uncle actually still had a big farm in the Bronx and my aunt owned a rooming house in 72nd and park!! Both immigrants with no HS education.

In DC in mid 1930s plots in Potomac as cheap as $500 bucks as way to far out. In early 1980s DC full of crime and houses were for peanuts and places like Arlington and Bethesda were where the mail man and cops lived.

My parents ended up buying a house 23 miles from Manhattan in 1973 and neighbors cried as we left the city as they would never see us again that far out!!

Guess what Rockville and Gaithersburg and Ashburn in 2040 will be very close in!!

[Anonymous]

Anonymous wrote:Close in was very very different years ago. An extreme example I lived in 26st in Manhattan when single in a super dumpy block of run down walk ups. Turns out when built in mid 1800s my building was for stable boys and chimney sweeps. It was too far uptown so I my lower class servants.

Flash forward to 1955 my aunt and uncle actually still had a big farm in the Bronx and my aunt owned a rooming house in 72nd and park!! Both immigrants with no HS education.

In DC in mid 1930s plots in Potomac as cheap as $500 bucks as way to far out. In early 1980s DC full of crime and houses were for peanuts and places like Arlington and Bethesda were where the mail man and cops lived.

My parents ended up buying a house 23 miles from Manhattan in 1973 and neighbors cried as we left the city as they would never see us again that far out!!

Guess what Rockville and Gaithersburg and Ashburn in 2040 will be very close in!!

Assuming current dynamics will continue indefinitely is a mistake.

[Anonymous]

Anonymous wrote:

Anonymous wrote:People forget that, back in those days, people had MUCH more modest homes. Heated by a wood-burning stove, one bathroom. Many people lived in mobile homes or other cheaper prefab construction. You can still afford a modest home on a maid's salary in the DC metro.

I think part of the point is that OP’s aunt bought in an area that was a relatively easy commute with good schools and a pleasant neighborhood feel (Arlington wasn’t as wealthy in the 70s/80s, nor as dense, but it was still considered desirable— probably more expensive than most places EOTP in DC in those days).

For many buyers, the problem isn’t wanting a huge house or a luxurious house, it’s wanting a home near good schools and a commute that won’t ruin your family life. That is increasingly impossible to find on a working class salary.

Why do you believe schools in Arlington in the 1960s and 70s were particularly “good”?

[Anonymous]

Anonymous wrote:Days like that will not come back. America's population increased about 50% since 1970. In the meantime, we don't have any additional land, especially in the DC area.

Agree with this.

The US population has increased dramatically. Land is in short supply.

Also, add in that the US has seen an increase in real estate investment from people overseas. People in other countries are buying up properties here in the US, which jacks up the prices for everyone (larger market).

[Anonymous]

The key is how much you save vs how much you earn. Many people with low salaries or wages are actually very good at budgeting their money and saving.

Many high earners are actually in debt with high mortgages, car loans, and private school tuition, in an attempt to maintain the lifestyle they think they deserve.

If you are thrifty and don’t turn your nose up at a small fixer-upper, it can be done.

[Anonymous]

Anonymous wrote:Hispanic are buying houses in DMV their their landscaping or maid income. Many of them own houses in Rockville, SS, Gaithurberg. 20-30 years from now,, the value of their houses will double$ or triple.

+1 my biweekly house cleaner business owner cleans with one helper and drives an old bmw and has a house in Gaithersburg with two young kids. People can’t afford to buy here because they will only buy in certain ‘good’ school districts. Tons of affordable homes in pg and Gaithersburg.

My parents bought in falls church 50 years ago for 50k a tiny house with a single floor gravity furnace. No metro back then. It’s worth 500k now but doubled in size of course. I know people who have done similar in the past ten years in hyattsville. It’s quite do-able.

[Anonymous]

Anonymous wrote:The key is how much you save vs how much you earn. Many people with low salaries or wages are actually very good at budgeting their money and saving.

Many high earners are actually in debt with high mortgages, car loans, and private school tuition, in an attempt to maintain the lifestyle they think they deserve.

If you are thrifty and don’t turn your nose up at a small fixer-upper, it can be done.

Yes. I bought EOTP in early 2000s on $45K. My friends thought I was nuts (EOTP!!!!!) but I wanted on the property ladder. It was a fixer upper. Years later after renting fancy digs for years they couldn't afford to buy where they wanted in the city and have long commutes and fixer upper houses.

[Anonymous]

Anonymous wrote:The key is how much you save vs how much you earn. Many people with low salaries or wages are actually very good at budgeting their money and saving.

Many high earners are actually in debt with high mortgages, car loans, and private school tuition, in an attempt to maintain the lifestyle they think they deserve.

If you are thrifty and don’t turn your nose up at a small fixer-upper, it can be done.

I don't think this is true, unless you are living with your parents. If the average cost of a house in your area starts high enough, then the annual increase in value may be more than its possible to save in a year on a much lower income. For example, I moved to Alexandria in 2016, and the very cheapest TH in my neighborhood went from the high 400s to 600k. People with lower incomes cannot keep up with that rate of increase through cash savings, unless by "lower" you mean "significantly higher than the US average, but less than I make." Also, no such thing as small fixer uppers in areas where developers buy cash and raze.

We had to move an hour out without traffic to afford a small fixer upper. And now our job prospects are more limited, because I'm not going to take a new job requiring 5 days a week in DC.

[Anonymous]

Up in the Baltimore suburbs there's a lot of decent if unremarkable housing in working class suburbs that sell for 250-350. Doable for most people with some discipline, which was always the case for lower income homeowners.

Arlington in the 60s-80s was basic middle class with some working class areas and some upper middle class areas. It was no Chevy Chase.

Even Bethesda in those days was dominated by the fed family household, not dual law firm partners.

Heck. Even Chevy Chase had a lot of modest houses. The real money was in parts of NW. The wealthy monies crowd was much smaller.

DC is a different world altogether these days.