Unpopular Opinion: 10 Reasons Why Housing Is Actually Affordable
I believe that housing has always been affordable. People say, “It’s different now,” but that’s what they’ve always said. The real issue isn’t affordability, it’s expectations. People want bigger houses than ever and feel entitled to live in areas out of their price range.
A Pew Research Center survey found that 69% of Americans are “very concerned” about housing costs. People have always been concerned about affordability. That’s not new. What’s new is how affordability is being measured.
In this article I will break down why housing is still within reach for most people, why market conditions today aren’t special, and why affordability is more about expectations than reality.
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Table of Contents
Why Listen To Dad Is FIRE?
I’ve been a real estate investor for more than half my life. I’ve owned homes across different market cycles. I know how housing works because I’ve lived it. I also bought many houses, in my early 20s, despite only making $25-50k a year.
I did it with a total of $800 out of pocket. Rates were in the 7%s, and everyone was saying housing was unaffordable. Does that sound familiar? If I had listened to them, I would not have become a liquid millionaire at age 38, and retired at 42.
Housing has always been a long-term game, but people keep trying to turn it into a short-term win.
This is my take based on decades of real estate experience, not fear-driven headlines or social media panic.
People Are Not Foreclosing En Masse
If most people are living in homes and paying their mortgages and rent, then housing is affordable. That’s how affordability actually works. People confuse affordability with wanting something to be cheaper than they think it should be.
The foreclosure rate is low, and lenders are still approving buyers at every income level. That doesn’t happen in a market where housing is truly out of reach. People are still finding ways to buy, just like they always have.
The narrative that homeownership is impossible isn’t backed up by reality, it’s backed up by people who refuse to adjust their expectations.
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People Want More Than Ever
The average home size used to be under 1,000 square feet. Now, it’s well over 2,500 square feet, and buyers still say it’s not enough. Half of new homes today have four or more bedrooms, and a third have a three-car garage.
Starter homes barely exist anymore because people expect luxury right out of the gate. No one is forcing buyers to get oversized houses with premium finishes, but they do it anyway. Then, they complain about affordability as if they didn’t have a choice.
The issue isn’t that houses are unaffordable, it’s that people’s definition of a “starter” home has changed beyond recognition.
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Historical Perspective: Today’s Mortgage Rates Are Still Below Normal
People keep saying mortgage rates are too high, but they’re actually historically average. Interest rates in the 6-7% range are nothing new. I bought homes when rates were in the 7s in the early 2000s, and so did millions of other people.
The problem is that people got used to 3% rates, which were never sustainable. That was an anomaly, not the norm. Now that rates have adjusted back to where they’ve been for decades, people act like buying is impossible. It’s not.
It just requires understanding that the past decade wasn’t reality, it was a temporary sale.
Related Video: My Secret Way To Get A Really Low Interest Rate On Mortgage
People No Longer Move to Where They Can Afford
Housing has always been about trade-offs. If people couldn’t afford to live in a certain city, they moved somewhere else. That was just common sense. Now, people refuse to leave high-cost areas and then complain about prices.
Remote work has made it easier than ever to relocate, but people don’t want to. They want the salaries of a big city and the home prices of a small town. That’s not how affordability works.
If you’re unwilling to move, that’s a personal decision, not a housing crisis.
Dave Ramsey’s 2025 Housing Market Predictions
Housing Is a Long-Term Play
The word “mortgage” literally translates to “until death,” because homeownership was never meant to be a short-term flip. Real estate works in cycles, and over time, those who stay in the game win.
Markets go up, markets go down, but real estate has always appreciated over the long run. People get caught up trying to time the market, convinced that prices are too high or rates are too steep.
The truth is, short-term fluctuations don’t matter when you’re playing the long game. Trying to predict the “perfect” time to buy is how people get stuck renting forever.
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Starter Homes Aren’t Starter Homes Anymore
A starter home used to mean small, affordable, and maybe a little outdated. Buyers didn’t expect move-in-ready kitchens, granite countertops, or open floor plans. They got what they could afford, built equity, and upgraded later.
That mindset is disappearing fast. People now turn their noses up at homes that need any work at all, expecting perfection from day one. Instead of buying within their means, they stretch their budgets chasing a house that checks every box.
Affordability hasn’t disappeared, people just don’t want to settle for less than their dream home, even when they’re supposed to be starting small.
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The “Crisis” Exists Because of FOMO
The media loves to push the idea that everyone is being priced out, that if you don’t buy now, you never will. This drives buyers into a frenzy, making them feel like they need to jump in before it’s too late.
The truth is, real estate isn’t a one-time opportunity, it’s a market with natural ebbs and flows. People get caught up in bidding wars, overpaying because they’re afraid they’ll never get another shot. That fear isn’t based on reality.
If you follow DadisFIRE on Twitter, you know I often say, “Housing is affordable. The house you want isn’t”.
There will always be houses, always be deals, and always be opportunities. Those who stay patient and rational will find a home they can afford without falling into the FOMO trap.
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Housing Is an Investment, Not Just a Cost
Too many people look at housing as an expense instead of an asset. They see the price tag and monthly payments but ignore the long-term value. Unlike rent, a mortgage payment builds equity, locking in a fixed cost instead of dealing with endless rent hikes.
Homeownership is one of the strongest inflation hedges out there. The same house that feels expensive today will look like a steal in a decade.
People who say buying is too expensive rarely do the math on what they’re throwing away in rent. Housing isn’t just a place to live, it’s one of the best long-term investments anyone can make.
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Financial Literacy and Planning Make Housing Affordable
People complain about affordability while financing new cars, taking vacations, buying new phones, and spending without a plan. Affording a house isn’t just about home prices, it’s about personal finances.
Someone who budgets well, manages debt, and saves consistently will almost always be in a better position than someone who earns more but spends recklessly. Too many buyers stretch themselves thin because they never looked at the numbers.
Affordability is relative. The person who understands their finances and makes informed decisions will always find a way to buy, while the person who ignores basic financial planning will always feel stuck.
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Home Prices Are a Reflection of Market Cycles
People obsess over market timing, waiting for interest rates to drop or home prices to crash. That’s the wrong approach. The best time to buy is when you’re financially ready.
If the math works, meaning you can comfortably afford the mortgage, have savings, and aren’t stretching beyond reason, then it’s the right time. Trying to predict short-term shifts is a losing game.
The people still waiting for the “perfect” time to buy are the same ones who were waiting five years ago. Meanwhile, those who bought are building equity and watching their homes appreciate.
When Is The Best Time To Buy A House? A Real Estate Pro Answers.
The Reality of Housing Affordability
People love to say housing is unaffordable, but millions of homes are being bought and sold every year. Prices aren’t the problem, expectations are. The market isn’t broken just because dream homes cost more than people want to pay.
Those who adjust, plan, and play the long game will always find a way in. Real estate has never been about perfect timing, it’s about financial readiness and long-term thinking.
Housing is affordable, because it’s being afforded by someone.
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