Among early humans a simple cave would suffice for hanging one’s club and having a shelter from the storms and occasional hungry tiger. Hunt by day, eat and sleep by night was pretty much the routine among hunter-gatherers. It wasn’t until humans became more agrarian that the idea of a “real” house was born.

At first a family or tribe would lay stake to a piece of land, and if they could protect the land – they got to keep it from would-be usurpers. Settle, defend, farm, defend again – the cycle was pretty consistent. The person most successful in keeping land safe often became a leader, who then parceled out land as a reward, payment, or even as a means of settling disputes between people. For this great service, of course, the people showed gratitude with various gifts and privileges (hoping to remain in good favor).

As tribal society became more organized, efforts toward irrigation and improved farming techniques followed along with population growth. Having children meant having people to help with the labor so the society as a whole could continue expanding. Home now was a hut, which certainly was a step up from living on a rock floor, and the tools of the household were also improving (let’s hear it for cooking pots!). The biggest hut, of course, belonged to the leaders and/or the wealthiest members of any group (some things never change).

Many of these farming villages slowly transformed into towns and cities. As they did, land and homes were passed down through generational lines, albeit not always in a simple progression (my father’s, cousin’s, aunt, once removed). Among families of “royal” lineage, land was given by deed and title, but along with this change came the ever-dependable taxes (you knew it was coming didn’t you?).

At this juncture the amount of tax you paid often depended on the whims of the ruler and the needs of the military forces. It’s worthy of note that it wasn’t until the Normans came into England in the 1100s that the idea of “legal land ownership” began. William felt that he owned England – it was a right of conquest. This new King gave his friends and supporters various land grants (humm that sounds familiar too!) and the Feudal system was born. Lords held the land at the King’s pleasure, being considered Tenants-in-chief. These individuals would become the infamous British Aristocracy over time.

Having said that, the increasing number of populated regions made for tremendous growth in trade and turned many a peasant into a merchant or skilled laborer. This is important because now you have houses and stores that have nothing to do with farming, many of which could be rented, bought or sold by folks just like you and me. This is the era of everything from castles to hovels, some of which remain as historical landmarks in the history of real estate.

As monarchies slowly went by the wayside, land and housing became more of a real “market”. Then with the industrial revolution, you also get a wide variety of specialized labor some of which is focused on making homes better, nicer, and more convenient. Automated processes created consistency in building parts and tools.

Fast forward to the late 1800s in the United States. At last the idea of having a formal real estate association popped up in the communal mindset leading to the establishment of the National Association of Realtors by 1908. Canada was also on task with formalizing real estate sales and organizations. Lower class housing also started cropping up in both countries (like track housing) that laborers could afford.

With more and more consumers wanting houses throughout the world, banks responded in kind and began offering mortgage loans to anyone who represented a good risk (hey we had taxes, lawyers were bound to follow). Unfortunately some individuals took on more than they could chew, leading to foreclosures. One of the roles of the Real Estate agent particularly in modern times has been to act as a consumer guide, telling prospective buyers what’s truly a “deal” and what’s really affordable.

Figure it out this way, a healthy debt to income ratio is 35%. If you’re buying a home and the monthly payments will be 50% of your income, that house is way over your budget! Nonetheless, thanks to the real estate industry as a whole, everyone can at least try to own a home should they wish, not just the ruling class. So, keep shopping, you’ll eventually find something that fits your tastes and your budget.

As for me… thankfully, I don’t have to sweep out that dusty cave anymore.