As a little exercise I just checked what the minimum wage and starting engineers salary was when we moved ~ 25 years ago from our first apartment (1 bedroom) to our first house (built 1970 1 story 4 Bed 2 Bath) and what that apartment is going for now and what's the cost increase / sqft in the same neighborhood in a low cost state. I'll also include college costs as our daughter is going to our alma mater for the same degree my wife and I have at an out of state but state supported school.
- Minimum Wage Increase: 40% ($5.15 to %7.25)
- Starting Engineering Salary Increase: 48% ($42K to $62K)
- 1 Bedroom Rental increase: 78% ($600/month to $1070/month)
- 4 Bedroom House Increase: 150% ($53 / sqft to $134 / sqft - $100K to $250K)
- 4 Year Engineering Degree (Out of State): %120 ($20K to $44K / year)
So from when I was college aged rental costs have increased about 80% to 100% compared to someones salary increase now
Home price increases are 3-3.5 times higher than the salary increases
College prices are 2.5-3 times higher than salary increases.
The costs to live and get an education have increased much faster. No one is going to put themselves through college on a minimum wage summer or weekend job as they did in 70's- early 90's.