This post feels like it’s sponsored by the World Gold Council to encourage people to buy gold.
Fucking big gold
FR though, I’ve seen those “BUY GOLD” advertisements on Cable TV aimed at the mentally feeble and elderly, it’s really not cool.
Gold prices must be high
Well, it’s working.
Just ignore that general index funds have higher ROI.
And you don’t need armed guards to keep index funds.
Me when I post misinformation online: 😈
When I purposely spread misinformation over the internet
I feel like one of these is off by a 0
Which one? Gold was $20.67 per Troy ounce in 1920, that’s about $664.55 per kilo. 10 kilos about $6,645.55 I’m believing the first search result https://www.countryliving.com/life/g33398396/what-things-cost-100-years-ago/ says that matches up. Gold is about $64,900 per kilo today so $649,000 for 10 bars, that’s a low cost of living middle class place or HCOL very small house that needs renovation. I could see you meaning these days and houses in some areas are in the $6 million range, guess they should be location specific.
Median home price in the US last year was about 450k, so I’d say your scale is a bit skewed.
Jesus. Got my house 7-years ago on a Habitat for Humanity mortgage, for which you pay cost. ~85K? Also, no interest on the loan. Also, no property tax.
3-bed/2-bath/80’x200’ lot/1,140sq. ft. living space/$550mo.
Call your local Habitat chapter, go to the next meeting and learn. Keep going with the program if you can. Took my ex-wife and I 14-months, start to finish.
I can’t tell you the qualifications, they change and are different from one area to the next. I can give you some basic answers, at least I’ll try.
Yeah I was going to say Upper Middle Class but I’ve seen some dumpy houses for those prices and it’s really titled by if you bought when interest rates were low vs the last year or so.
Where did you get the gold price? This page says $269.
He’s taking kilograms, you’re talking ounces.
$649,000 for 10 bars, that’s a low cost of living middle class place or HCOL very small house that needs renovation.
What the fuck is going on with house prices up there
Sub 2% interest rates for 2 years for loans and then jumped to ~8%
Market is wildly variable.
And probably the fact that post 2009 the construction industry collapsed and a lot fewer homes are getting built
10 of these will buy you a house in 20230
Currently worth $650,000. I don’t think it’s off.
Is it me?:(
The bar in the picture is one kilogram or about $65,000 US dollars. Ten bars would buy a very nice house in my area.
it might get you a small fixer upper in my home town.
Meth lab or woop woop in mine
wood for sheep?
I almost missed this.
I’ll just quote myself from my last game where I had a monopoly on the sheep…
YOU DARE COME TO THE MASTER SHEPHERD WITHOUT A TITHE IN HAND?
This is Catan meme? Because there’s no gold in Catan, or im confusing it with other game.
The title is “gold for house” and the body is “wood for sheep” implying they are a similar type of trade, not implying both are from Catan.
Neither “gold” nor “house” exist in Catan.
If you had of invested the equivalent amount of money in the Dow Jones index instead of purchasing 10kg of gold and kept it invested from 1920-2024 you would have ~$15 million.
This, precious metals are a hedge against hyper inflation. Not an investment.
So I get the idea of a hedge, but I guess the question on my mind whenever I hear talk about hyper-inflation is “what are you going to do with the gold if society collapses?”. My thought is that if the world economy got so fucked up that the US dollar was worthless, and the government didn’t step in, then wouldn’t we sorta be in a failed state? And if we were in a failed state is the plan to sit on the gold in some sort of fortress to wait for civilization to come back? Hoping that you can defend it and that the incoming civilization doesn’t just take it?
As far as I know, the idea with holding gold in bank storage is, that if hyperinflation occurs, the currency becomes worthless and there will be economic upheaval, but it will not be the apocalypse. And then a new currency will be created and everybody who held physical assets instead of the old currency will be in a way better position.
I’ve always assumed you’d melt the gold down and create coins or other tradable sub-amounts of the gold that you could exchange for goods and services. If people are still peopling, they’ll still want a currency to transact with; if the dollar has failed then gold has a historical precedent that would probably make it easier to convince people to trade with you using it as a medium of exchange. It always seems like it’s more suited to be an emergency measure than a plan A to me.
Not only that, but SP500 pays dividends practically every year, whereas gold costs money to store securely. $15M in SP500 would have netting something around $300k last year in dividends alone.
10 kg gold Dec. 2023 = ~$727,591 = $2062.92 * 10 * 35.27 oz/kilo
10 kg gold June 1920 = ~$105,810 = ~$300 * 10 * 35.27 oz/kilo
seems much higher than the respective housing cost for an average home in both cases
$300/oz in 1920?
Let’s be real, hordeing physical gold is just something elderly people do because of scam advertisements they see on cable TV.
Gold has no intrinsic value to me I wonder if as the boomers start to die off if it will start losing some form of value
We’re gonna need a ton of it for all the space shit we’re starting to do again.
It has some intrinsic value because it’s a metal with a variety of applications. It just doesn’t have nearly enough intrinsic value to justify its price.
For example, plating memory contacts and latinum
Rule of Acquisition number 102: Nature decays, but latinum lasts forever
Well, it has value to people who make electronics, and that industry is still growing. So, not likely.
especially military specification electronics and extreme temperature range performance applications.
Unlikely. Part of why gold is so valuable is its inertness. It doesn’t corrode or rust, which makes it great for electronics.
In 1920, the average price of gold per troy ounce was $20.68USD[26.2 kB pdf]; 1 Kilogram = 32.15075 Troy ounces. Average house price in the 1920’s was $6,296.
$20.68 USD * 32.15075 oz t = $664.87751 USD * 10 = $6648.7751 USD
In 2023, the average price of gold per oz t was $1,940.54 and the average home price was $495,100.
$1,940.54 USD * 32.15075 oz t = $62,389.81641 USD * 10 = $623,898.1641 USD
This meme is credible, excepting errors in my assumption that 1 kilogram of gold is equivalent to 1 kilogram of common material.
At the same time, it picks and chooses its dates. Gold has been volatile, with the price oscillating between $2,100 USD in 1980, $470 USD in 2001, and back up to $2,200 USD in 2011.
Memes from the alternate universe where we still use the gold standard
Seems like a lousy investment.
monetarist cope
Oh look the gold bugs are back
They’d actually also be very likely to get you targeted by thieves as well. Even if you tried to keep quiet about them, there would be an entire chain of custody which would be required inform when such a large quantity of gold bullion where sold or bought, as well as their transportation and the transportation’s insurance, if you don’t get scammed in the process.
I’m reminded of so many fiction subplots where a character has acquired an extremely valuable XXX they want to sell.
More often than not, it’s such an important object that any interested parties would sooner hire mercenaries to get it, and kill its owner as a witness (and in many of those stories, exactly that happens). Past a certain value, many items are not actually valuable for common people.
This is always my question. Like you see these movies about gold and diamond heists, but then… Wtf do you do with them? Who are you selling this shit to at retail value, or anywhere close to it?
I feel like if somone handed me a bag of diamonds right now I’d have no idea wtf to do with them.
You’d have no idea what to do with them because you’re not in organized crime. I would go look at Larry Lawton on YouTube. I think he posts a lot but if you go to his earlier posts he talks about his organized crime life. Wild.
So what you’re saying is I should invest in gold because it increases in price at the same rate as housing?
So I never actually make any progress? And then in the end I just have a bunch of gold? Why wouldn’t I just buy the house then?
Well you can buy gold little by little and in the end you sell it and buy a house.
Or as somebody pointed out you can invest in an index fund and get higher returns
