A new study shows that teleworking is responsible for skyrocketing home prices across the country, accounting for more than half of the overall post-pandemic price increase. The Great Shuffle is showing no signs of slowing down, leading some to question the myth of the American Dream. Where is it going? Was it ever really?
What makes America? Is it freedom, wealth, social mobility or equality for all? The lack of a central definition gives life to this myth. Freedom can be discussed in high school, but real Americans want something more tangible: a roof over their heads, a secure job, a homogeneous family, and a white picket fence, as long as the fence isn’t too expensive.
The American dream is as malleable as the people who make up our country; right now that dream is changing and a whole generation is trying to keep up.
Remote work and the housing market
While Americans are coping with the effects of the Covid-19 pandemic, fighting inflation, violence and new viruses, the housing market is not immune from the crisis. Some evidence suggests that the shift to telecommuting has driven up house prices.
“Switching to remote work explains more than half 23.8% increase in house prices in the country”, according to John A. Mondragon and Johannes Wieland in their new study for the National Bureau of Economic Research.
While most American businesses have moved to work remotely during the national lockdown, many have opted to stay at home even after restrictions eased across the country. 4.3 million Americans quit their jobs last year, choosing instead to pursue Earn Money through freelancing. Now we can analyze the impact of this remote work push on our country, especially on the housing market.
“We saw what we called the ‘Great Shuffle’, which contributed to demand for housing across the country,” says Chris Glynn, senior managing economist at Zillow.
A study by Mondragon and Wieland shows that the shift to telecommuting raised US home prices by 15.1%. Remote work means people can leave densely populated cities in favor of a temperate climate, more space and a better quality of life.
A dream put on hold forever
As telecommuting drives up house prices in an inflation-ridden country, many Americans are questioning the core tenets of the American dream. Does he still exist? Was it ever? And will I ever get it?
Twitter is ablaze with criticism of the American Dream myth as many Americans feel frustrated. Twitter user @1987Tucson writes: “Hedge funds are buying up the housing market to create tenant generation is more anti-American than any brutal dictator or communist regime.” A global pandemic that could have united everyone instead could show just how big the gap is between the rich and the poor.
Another frustrated American tweeted: “To be limited in healthcare because of the costs – even with insurance – and knowing that you really need to see a therapist [is] American dream. #American dream.”
“The American dream has always been about prospect of successbut 100 years ago this phrase meant the opposite of what it means now,” explains Sarah Churchwell, author of the book Here is America. “The original American Dream was not a dream of personal wealth; it was a dream of equality, justice and democracy for the nation.”
In search of a new optimism
“The American Dream is not viable” – Zach Goldstein CEO and Founder This was reported to us by Public Rec. While Zach may be critical of the American Dream, he doesn’t see the rise of remote work as a barrier. He considers remote work to be a “hot point”. “The traditional way of working has never been robust enough to withstand the challenges and changes of the times,” he says.
If telecommuting allows Americans to spread out, to leave harsh cities in favor of pleasant temperatures and more spacious homes, rising home prices may only be a temporary barrier to more profitable accommodation.
Some business leaders see the American Dream as an outdated concept in need of a reboot.
Remote work isrevision of the concept it was chaotic,” Eyal Pasternak told us. “Remote work promotes equality,” he says. This new model could remove the biases that prevent traditionally marginalized groups from getting jobs.
Remote work speaks to the adaptability and resilience of the American workforce, and its impact on the housing market will continue to be explored as the world of Zoom calls, Slack message boards and work from home become a permanent feature of everyday life.
“This is the only country in the world that is experiencing this constant and recurring rebirth,” said President Woodrow Wilson in his speech. address 1915 a group of newly naturalized citizens of Philadelphia. “America was created to unite humanity with passions that uplift, not passions that divide and humiliate,” he said. For Wilson, the American Dream was a simple concept of equality and respect for one’s neighbor.
He defines the American Dream as “a spirit of hope, a spirit of freedom, and a spirit of justice.”
There is no denying that we are on the move, but a little hope goes a long way. A dream is born out of hope, and despite rising home values across the country, remote work seems to be a vehicle for the new American dream, not a destructive force. History will show us if we are right.
Featured Image Credit: YayImages.
