When it comes to homeownership, Gen Z is realistic about the challenges they face, but they’re not giving up on the dream. A new Realtor.com® survey of 1,000 adults aged 18–27 who currently own or hope to own a home found that 82% of respondents believe it’s harder for their generation to buy a home compared to previous ones, and 16% say housing affordability is among their highest concerns.

Even with these affordability headwinds, Gen Z remains determined. Two-thirds (67%) of respondents see homeownership as an important lifetime goal, while 69% agree real estate is an opportunity to generate wealth. More than half (51%) still consider homeownership part of the American dream.

Almost half of respondents say they feel ready to buy a home, though just 36% feel financially ready — underscoring that affordability, not motivation, remains the biggest barrier.

Among surveyed Gen Z adults, career advancement ranks as the top milestone, with nearly half (49.5%) listing it first, ahead of buying a house, getting married, or having children. Gen Z ranges in age from 13 to 28, with the oldest still a decade younger than the median first-time buyer. Prioritizing career growth tracks as the most logical first step toward affording a home someday.

The majority of respondents (82%) confirm that a higher-paying job would make them more eager to buy, and 80% say they’d be more likely to pursue a home if they could afford it. There’s also a small gender gap: 52% of Gen Z women prioritize career advancement compared to 45% of men. Meanwhile, nearly one in four (23.7%) men ranked buying a home as their first goal versus 19.4% of women.

These findings suggest men may feel further along financially, while women are more focused on career stability before taking on homeownership.

Despite the affordability challenge, Gen Z is already taking action. Nearly three-quarters of respondents have started saving for a down payment, estimating they’ll need an average of $54,500.

That’s below the traditional 20% benchmark on a median-priced home but well above the national average of roughly $30,000. This shows a commitment to saving strategically — and perhaps a desire to minimize borrowing costs in a high-rate environment.

Many Gen Z respondents are earning extra income to reach their goals. About a third are working a second job or side hustle to save faster, and nearly a quarter have moved (or plan to move) to a more affordable market. Fewer say they’ll rely on family assistance, crypto, or stock gains, favoring steadier strategies instead.

When asked what matters most, affordability leads the way: 33% say finding a home at the ideal price is their top priority. That’s followed by size and space needs (18.5%) and location (17.9%).

Three-bedroom homes top the wish list (44.5%), with nearly 90% preferring between two and four bedrooms. And in terms of buying plans, 43% expect to wait and buy a “forever home,” while 30% anticipate starting smaller with a “starter home.” Only 10% say they’d buy primarily as an investment property.

Gen Z is entering the housing market in a uniquely challenging environment as high prices, elevated mortgage rates, and evolving lifestyle priorities shape who can buy and what’s available. But this generation’s approach is defined by a mix of realism, determination, and financial savvy.

They’re adapting by focusing on career growth, saving early, and making strategic choices. For the housing market, that means a generation of buyers who are patient, pragmatic, and ready to make homeownership work on their own terms.

This survey was conducted among a national sample of 1,000 U.S. Gen Z adults (aged 18–27) in October 2025. All respondents either own a home or plan to own one in the future. The survey has a margin of error of plus or minus 3.1%.

Sources

Realtor.com® : Gen Z Homeownership and Affordability Survey (2025)

U.S. Census Bureau : Housing Statistics & Trends