Barriers to Homeownership Faced by Generation Z

Key Findings

• 60% of Gen Zers worry they might never own a home.
• 98% of adult Gen Zers cite significant barriers to homeownership.
• 29% of Gen Zers believe they will never be able to afford a home.

Obstacles to Homeownership

As Generation Z enters the housing market, they face significant barriers to homeownership, including:

• Rising home prices: The cost of homes has been steadily increasing, making it difficult for first-time buyers to enter the market.
• Student loan debt: Many Gen Zers are burdened with student loan debt, which can limit their ability to qualify for a mortgage.
• Low wages: Gen Zers typically earn lower wages than previous generations, which makes it difficult to save for a down payment.

Impact on the Housing Market

The barriers faced by Gen Zers are having a significant impact on the housing market. As more Gen Zers delay homeownership, the demand for homes is decreasing, which is putting downward pressure on home prices. Additionally, the lack of buyers in the market is making it difficult for sellers to sell their homes.

Conclusion

The barriers to homeownership faced by Gen Zers are a serious concern. These barriers are preventing young people from achieving their dream of homeownership and are having a ripple effect on the housing market. It is important to address these barriers in order to ensure that Gen Zers have the same opportunities for homeownership as previous generations.

Sources

1. CNBC: Nearly 60% of Gen Z Worried They'll Never Be Able to Afford a Home
2. Pew Research Center: Millennials and Gen Z Are Found to Be Less Financially Secure Than Previous Generations, Especially Young Adults of Color
3. Forbes: Gen Z Is Facing An Uphill Battle To Homeownership—Here's Why