High home prices and mortgage rates have made it hard for younger Americans to break into the housing market.
In 2024, there were more homebuyers over the age of 70 than under 35, according to data from the National Association of Realtors, cited by Fortune.
Older baby boomers made up 22% of homebuyers, while younger millennials accounted for just 14% and Gen Z only 5%.
Nearly half of all homes purchased in 2024 were by people aged 60 and older.
“Right now, that handoff is being stalled by high interest rates and elevated home prices,” said Jim Reid, head of global macro research at Deutsche Bank.
“At some point, either—or both—will have to adjust, or real wages for younger people will need to rise sharply.”
The median age of a first-time homebuyer jumped from 28 in 1991 to 38 in 2024, while the median age of all homebuyers hit a record 56.
Affordability Remains the Biggest Obstacle
Affordability is the main problem. In April 2025, the income needed to afford a median-priced home was about $114,000, but the average U.S. salary is barely more than half that.
Among Gen Z adults, 90% still want to own a home someday, but many believe it’s out of reach. A recent Clever Offers survey found that 62% worry they never will.
Nearly half say they struggle just to pay rent, and two-thirds feel more concerned about housing security than they did a year ago.
The financial pressure has even pushed some to extremes.
About 30% of Gen Z say they’ve considered squatting or living in their car, and 36% would consider marrying someone just to afford a home.
While most members of Gen Z want to own a home, many say affordability is the biggest barrier standing in their way.
Many would accept less-than-ideal homes just to get in: 47% would buy a home with asbestos, 41% would take one with pests, and 46% would purchase a home with foundation issues.
Family help has become a major part of the equation. About 38% of Gen Z homeowners received financial help from relatives, and 33% moved back in with family to save for a down payment.
Gen Z also has lower savings than previous generations. Half have less than $5,000 saved, and 34% carry more debt than savings. Nearly 1 in 5 believe they will never own a home because of debt.
The rising cost of living makes saving harder. Three in four zoomers say inflation has made it impossible to save for a down payment, and nearly half believe homeownership is so out of reach that there’s no point in trying to save at all.
Homeownership No Longer the Top Priority
Many don’t see homeownership as the most important goal.
While 52% say they’d feel unaccomplished without owning, 95% say other goals like stable employment, falling in love or traveling come first.
Even among those who do buy, regret is common. About 69% of Gen Z homeowners say they regret parts of their purchase, especially rushing the process or facing unexpected costs.
“Eventually, the younger generation will own the homes currently held by the older generation,” said Reid. “We just don’t yet know what the price will be.”