Middle-Class Stagnation Case-Study: Housing Prices

on Saturday, July 30, 2011

As you can see from the charts above, the price of an average home in 1978 was about the same as today, but the size of the average home has gone from 1,700  to 2,500 square feet. That means that the average middle-class home is today about 41% bigger, will last longer and require less money to maintain, and is exactly the same price as it was 30 years ago. The middle class is doing 41% better if we only consider the size.  If the quality of materials (roofing rated to last 50 years, plastic siding that requires no paint, high efficiency central air) and much lower maintenance are considered, the middle class is doing very well indeed compared to 1978.