Stop Saving for a House: Why 'Doom Spending' Is Mathematically Right

By Del.GG Research Team | February 25, 2026 | 5 min read

Economic Nihilism: Why the Housing Crisis Makes 'Doom Spending' Rational

We calculated the exact date you will afford a median home in your city based on current wage growth versus asset appreciation. Warning: For most of you, the answer isn't a date. It's a rejection letter.

Stop feeling guilty about that flight to Tokyo. You aren't financially illiterate; you are executing a Nash Equilibrium against a rigged opponent. The data proves it. The Home Price-to-Income Ratio has shattered historical ceilings, creating a gap that no amount of skipped avocado toast can bridge.

When Intuit Credit Karma reported that 27% of Gen Z was "doom spending" to cope with economic stress, financial gurus scoffed. They called it surrender. But look at the Cost of Living Crisis through the lens of game theory. For the median earner, the finish line moves faster than you can run. When asset inflation outpaces your maximum savings velocity, "saving" becomes a depreciating activity. Buying joy now offers a higher guaranteed yield than holding cash for a house that effectively costs infinity dollars.

The Cold Calculus of the Austerity Fallacy

Dave Ramsey is wrong. Your daily latte didn't kill your homeownership dreams; the math did. We need to stop framing Doom Spending as a lack of discipline and start recognizing it as a rational hedge against a broken system.

Here is the math regarding the trade-off between "luxuries" and equity:

1. The Asset Velocity: According to the S&P CoreLogic Case-Shiller Index, median home values in major metros appreciate roughly $3,500 per month during peak demand cycles.
2. The Savings Velocity: The median earner, after rent and taxes, can realistically save $400 per month.
3. The Deficit: By "saving," you effectively lose $3,100 in purchasing power every 30 days.

You didn't just tread water; you drowned. FRED (Federal Reserve Economic Data) charts show a divergence between wages and home prices starting in the 1970s that has gone vertical since 2020. If the market "defects" by inflating assets faster than labor value, the player’s only rational move is to maximize immediate utility—the trip to Japan—rather than banking on a future payoff that mathematically cannot exist.

The Rigged Game: Why You Can't Buy

Why is the ladder pulled up? It’s not just "inflation." It is structural failure.

First, Jerome Powell and the Federal Reserve hiked rates to combat inflation, but they triggered the Lock-in Effect. Millions of Boomers clutching 3% mortgages refuse to sell and swap for the 7.1% mortgage rates we saw peak in 2024. Inventory is artificially scarce. The National Association of Realtors (NAR) reports existing home sales slumped to 30-year lows, not because people don't want to move, but because they can't afford to give up their cheap debt.

Second, the supply that does exist is being swallowed by the Financialization of Housing. Entities like Blackstone treat single-family homes as yield-bearing assets, competing directly with first-time buyers. They have cash; you have a pre-approval letter that expires in 90 days. Who do you think wins?

Finally, the NIMBY vs. YIMBY zoning wars have strangled new construction for a decade. We have a massive Supply Constraint that no amount of budgeting apps can fix. Zillow Research consistently highlights the "affordability deficit," but the reality is starker: housing has shifted from a utility to a luxury good.

Kyla Scanlon coined the term "vibecession" to describe the bad mood despite "good" GDP, but the vibes are backed by hard numbers. Economic Nihilism is simply the recognition that in 2026, cash creates a negative real yield, while experiences offer a guaranteed emotional ROI.