Faced with rising student debt burdens, stagnant wages, and a higher cost of living, our generation faces obstacles to growing assets, such as buying a home. One of the starkest illustrations of how our economic outlook differs from that of our parents’. The declining share of younger Americans who own their homes.
Despite the recent uptick, the percentage of 25- to 34-year old households who own their homes is at its lowest point on record - and down sharply since the mid-2000s. In 2020, about 60 percent of 25- to 34-year-old households rented their homes, compared to about 40 percent who owned their homes and were able to build equity to help grow their wealth.
But the next generation has not given up on the American Dream. According to a 2022 Bankrate survey, nearly three-quarters consider homeownership the highest gauge of prosperity in America.