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Question on house building

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Question on house building

Post by Masamune44 on Tue Sep 01, 2015 1:49 pm

So I'm nowhere near able to do something like this, but as I've heard housing is one of the few economic areas where a profit can be made I decided to do a bit of math.  Please correct me if I'm wrong.

-A Q1 house requires 1000 HRM and builds at a rate of 20% per work click.
-You can't work at any of your own HRM and house factory buildings, so everything has to come from worker clicks.
-Assuming full bonuses and a granite quarry, that's 7 work clicks needed for one Q1 house.  5 for the house, 2 for the mats (250 HRM x2 for bonuses per click).
-The going rate on the job market is ~$77.50 and work tax is at $5.67 if it applies.  That's a cost of $83.17 per click, totaling $582.19 expenses to build a Q1 house.
-Q1 houses are selling for ~$355, for a loss of $227.19?

So... where's the profit?  Did it finally all dry up?  Did I fail at math somewhere in there or is the info I found out of date?
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Re: Question on house building

Post by Gnilraps on Tue Sep 01, 2015 1:56 pm

Your math is wrong.

Each worker produces 40% house (eUS has 100% bonus).
Each RM worker produces 500 RM (again, 100% bonus).

So each Q1 house requires 4.5 workers.

Q1 House is still barely profitable (sometimes not at all, depending on the market), but because of eUS 100% bonus, it is 4.5 worker per house.

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Re: Question on house building

Post by Masamune44 on Tue Sep 01, 2015 3:05 pm

Ah, that makes sense. I had the HRM part right (the "250 HRM x2 for bonuses" part) but should have realized bonuses applied to the build rate too. Thanks for the correction!

So that's $83.17 per work click x 4.5 for $374.265 expense per Q1 house, for a $19.265 loss. No wonder house prices have jumped so much over the past few months. If the going job salary rate stayed the same (which I'm certain hasn't), that would still be a ~$7/house loss even before the recent work tax hike. Ouch.
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Re: Question on house building

Post by Gnilraps on Tue Sep 01, 2015 3:28 pm

Housing gets profitable around Q3

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Re: Question on house building

Post by what4 on Wed Sep 02, 2015 5:50 am

And after 3 years (no I did not do the math) you will have recovered your initial investment (assuming overproduction does not kill the market)
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Re: Question on house building

Post by Gnilraps on Wed Sep 02, 2015 8:09 am

For what it's worth, under current market factors, Q2 is also profitable. But Q1 is losing.

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