I think houses were cheaper back then. 
For comparison, I checked out book prices.
The closest I could find was that books in 1901 cost between $0.10 and $0.98 each.
In today's dollars, that would mean books would cost between $2.97 and $29.06 each.
However, I haven't found anything more specific, such as fiction or non-fiction or word counts, so it may not be a proper comparison.
My guess is that people back then might have been willing to pay more for books than they do today.
On the flip side, a newspaper in 1901 cost a penny which would be thirty cents in today's dollars. My local paper charges a dollar, so they are way overpricing themselves, plus offering less value than a newspaper in 1901 would have, so it's not surprising newspapers are struggling these days.
Then again, if a newspaper can charge a buck for content that's available free online and can probably be read during breakfast, we should be able to charge ten bucks for our books that provide more than a half hour of reading pleasure and aren't available for free online.
After all, ten bucks today is only thirty-four cents in 1901 dollars.