Generation Z, which comprises the youngest potential consumers in the housing market, is bullish on homeownership. Freddie Mac researchers conducted a survey of consumers ages 14 to 23 and found they tend to have more positive perceptions of what it means to be a homeowner than millennials did at that same age. Eighty-six percent of Gen Zers say they want to own a home someday. They also hope to purchase sooner in their lives than millennials did. Gen Z survey respondents say they plan to own a home by the time they turn 30, which is three years younger than the current median age of first-time buyers.
The homeownership desires of Gen Z center on having more privacy, control, and independence than renting offers, Freddie Mac’s research shows. They also feel like homeownership is a sign of success, something to be proud of, and provides stability as well as financial security, the survey shows. “The data show that while members of Gen Z clearly aspire to homeownership, they are realistic about potential barriers,” says Freddie Mac CEO David Brickman. “Although these results are good news for the housing market, they also highlight the challenges many in Gen Z will face as they enter the market to rent or buy.”
Source: Freddie Mac