Gen Z Home Buyer Report: 2025 Edition

Slim Odds of Homeownership | Barriers to Homeownership | Down Payment Struggles | Down Payment vs.  Interest Rates |  Savings vs. Debt | Family Financial Aid | Dealbreakers vs. Desperation | Priorities Over Property | Homeowner Regrets

Although 90% of Gen Z want to own a home someday, their dream is fading faster than the latest TikTok trend. 

As high interest rates and a lack of inventory send prices soaring, buying a home is tough for anyone — but especially zoomers, who are likely still earning a starting salary. In fact, 79% of Gen Z believe they are priced out of homeownership, according to a new survey from Clever Offers. 

Many zoomers can't even consider buying a home when nearly half (46%) say they already struggle to pay rent every month. With rent barely manageable and homeownership out of reach, 2 in 3 Gen Zers (66%) feel more worried about their future housing security than they did a year ago. 

Some Gen Z say their living situation is so precarious that nearly 1 in 3 (30%) have even thought about squatting or living in their car out of desperation. Another third (36%) say they would consider marrying someone just to afford a home.

Amid this growing uncertainty, zoomers are motivated to buy a home for more stability (51%) and more control over their living situation (44%). 

Yet 81% of Gen Z say they can't afford a home right now, and 82% say they're worried the market will get worse before they buy. 

Keep scrolling to learn more about Gen Z's approach to home buying and how they really feel about their chances of owning a home. 

1 in 6 Zoomers Think Winning the Lottery Is More Likely Than Owning a Home

Despite the stereotype that Gen Z would rather live out of a suitcase than settle down, they're more than willing to swipe right on a long-term place to live. Approximately 90% of Gen Z say they want to own a home someday, but 62% worry they never will. 

This growing sense of doubt is rooted in a harsh financial reality that seems increasingly difficult to overcome. Of those who think they'll never own a home, 82% say it's because they can't afford it – up from 57% who said the same in 2024.

As wages stagnate and home prices remain stubbornly high, homeownership feels less like a milestone earned through hard work and careful savings and more like a matter of chance.

More than 1 in 10 zoomers (11%) say owning a home in the next five years feels less likely than getting struck by lightning — the chance of which is astronomically low at 1 in 15,300. The odds feel even smaller to some. About 1 in 6 zoomers (17%) say winning the lottery — a 1 in 300 million chance — feels more attainable than owning a home. 

Although this outlook seems wildly pessimistic, at times, it can feel disturbingly plausible. Given the grim state of global affairs, more than 1 in 5 zoomers (21%) think the start of World War III is more likely than owning a home in the next five years.

Gen Z believe these scenarios also seem more probable in the next five years than owning a home: 

• Becoming debt-free (24%)
• Becoming homeless (18%)
• Becoming an influencer (14%)
• World peace (13%)
• Owning a self-driving car (11%)

Nearly Half of Gen Z Say Expensive Homes Are the No. 1 Barrier to Homeownership

Zoomers are skeptical they'll ever be able to purchase a home because of real challenges, not just late-night doomscrolling. In fact, 97% of Gen Z say they face barriers to homeownership. 

Expensive homes are the No. 1 barrier to homeownership in 2025, with nearly half of Gen Z (47%) saying high prices hinder their ability to buy.

Those who can afford to purchase a home are doing so on a budget. The median home price in the U.S. is $416,900, but a majority of zoomers can't afford that. More than two-thirds of Gen Z (69%) plan to buy a home that costs less than $400,000.

High home prices are a significant barrier, but they're not the only financial obstacle. The most common barriers are all financial in nature:

• Homes are too expensive (47%)
• Saving for a down payment (28%)
• Interest rates are too high (28%)

When the road to homeownership feels like an obstacle course, it's easy to see why 66% of zoomers think the housing market is rigged against them, and 72% believe they will be forced to rent forever.

75% of Zoomers Say Rising Living Costs Make Saving for a Down Payment Impossible

After expensive home prices, saving for a down payment and high interest rates are tied for the second-most-common barrier to homeownership. 

Saving for a down payment was tough enough with post-pandemic home prices on the rise, but rampant inflation has made it even more difficult. As prices for everyday necessities rise, many young people on starting salaries are struggling to make ends meet, let alone save such a large sum.

Three-fourths of Gen Z (75%) say the rising cost of living has made it impossible to save enough for a down payment.

As a result, nearly half of zoomers (48%) plan to put down less than 20% on their home, while nearly one-fourth (22%) plan to put down less than 10%. 

With such small down payments, many zoomers will have a limited price range — narrowing their options in an already competitive market. 

About 3 in 4 zoomers (72%) aim to purchase a home that costs at least $150,000, but based on their current finances, 67% of Gen Z couldn't afford a 10% down payment of $15,000, and 79% couldn't afford a 20% down payment of $30,000 for a home at the low end of their budget.

Those looking for more expensive options fare even worse. Nearly half of Gen Z (45%) want to purchase a home that costs at least $300,000, but 88% of zoomers don't have $60,000 needed for a 20% down payment on a home at the low end of that price range. 

Although most Gen Z home buyers struggle to afford even the lowest price points, many remain locked out of the market entirely. More than 1 in 4 zoomers (26%) say they couldn't put any money toward a house based on their current finances. 

More Than Half of Gen Z Would Accept an Interest Rate Higher Than 7%

Many solutions have been proposed to address the affordable housing crisis, but Gen Z seems to prioritize options that help them afford a home now — even if it means higher costs down the road. 

If they could get one major expense for free, more than 1 in 4 zoomers (27%) would choose a 20% down payment. Just 5% say they'd prefer a below-market interest rate that would actually save them more over time.

A 20% down payment on the median-priced home would cost a Gen Z home buyer $83,380. In addition to their down payment, buyers would pay $384,592 in total interest over the life of the loan at today's rate of 6.82%.

With a rate just 1% lower, total interest would drop to $249,838 — yielding $134,754 in savings over the life of the loan. That means Gen Z would save $51,374 more by choosing a below-market interest rate over a down payment

Yet instead of seeking a low interest rate, Gen Z seems willing to tolerate the opposite. More than half of zoomers (56%) would consider an interest rate higher than the current rate of roughly 7% when securing a mortgage.

Even with financial help, some zoomers know that's not enough to break into the competitive market and would rather cash in on a different gift. More than 1 in 5 zoomers (21%) would prefer a free car over any free home-buying expense, while 1 in 9 (11%) would prefer a free vacation.

1 in 3 Zoomers Have More Debt Than Savings

While Gen Z struggles to keep up with rising living costs and student debt payments, the housing market remains as difficult as ever — leaving them feeling hopeless about their ability to buy a home and less motivated to save. 

Nearly half of zoomers (49%) believe homeownership is so far out of reach there's no point in trying to save now. 

This pessimistic attitude has resulted in significantly lower savings compared to other generations.

Half of Gen Z (50%) have less than $5,000 in savings, and 59% have less than $10,000 in savings. 

Although Gen Z might mock millennials for their ankle socks and Harry Potter obsession, when it comes to the discrepancy in savings, there's nothing to laugh about. Only 32% of millennials have less than $5,000 in savings, while 39% have less than $10,000 in savings.

What's more, about 1 in 6 zoomers (17%) have zero dollars in savings  — 2x the percentage of millennials (8%) who have nothing saved.

With so little in savings, many zoomers are unable to weather economic setbacks, forcing some to take on debt to stay afloat. Nearly 2 in 3 zoomers (66%) have some form of non-mortgage debt, with more than 1 in 3 (39%) owing $10,000 or more.

In fact, 34% of zoomers have more in debt than they do in savings.

When debt outweighs savings, qualifying for a mortgage becomes more difficult, and nearly 1 in 5 zoomers (18%) think they'll never own a home because they have too much debt. 

Instead of working to pay off what they owe, some Gen Z home buyers would take a more unconventional approach. More than one-third of zoomers (35%) would be willing to skip payments on other debts to afford a home.

38% of Gen Z Homeowners Received Financial Help From Family to Buy Their Home

With so much debt, many zoomers may have a hard time qualifying for a mortgage from a traditional lender, but the bank of mom and dad remains open for business. 

One-third of Gen Z homeowners (33%) say they moved back in with family to save money for a home. Other families offered more direct financial support, with 28% of Gen Z homeowners saying their parents helped with their down payment and 19% saying their parents bought their home outright. 

Financial backing from family has become so widespread, the thought of becoming a homeowner through individual effort alone is exceedingly rare. About 62% of zoomers don't know anyone their age who bought a home without financial help, while another 62% assume their peers who have purchased homes got money from their family to do so.

Gen Z home buyers don’t believe they could pull off purchasing a home on their own either, with nearly 1 in 3 (30%) saying they aren't confident they could do it without financial help from family. 

Roughly 69% of Gen Z would consider moving back in with family to save for a home, while 41% would rather avoid the challenges of home buying altogether and just live rent-free with their parents forever if they could.

Older generations may view living at home as a sign of laziness or failure, but as housing costs and inflation raise barriers to independent living, that stigma is disappearing. An overwhelming 79% of Gen Z say they do not look down on their peers who still live with their parents. 

Although some parents and their adult children can live together happily, others are eager to see their grown kids fly the nest. About 1 in 8 zoomers (12%) feel pressure from parents and family members to buy a home.

1 in 4 Zoomers Blame Their Own Spending Habits for Their Inability to Buy a Home

It's not just runaway home prices and sky-high interest rates keeping homeownership out of reach. Gen Z admits blowing their rent money on Taylor Swift tickets or splurging on $7 coffees every day is one reason they can't afford a home. 

Zoomers are most likely to blame their own spending habits (28%) for their inability to buy a home, but they also believe they have the most potential to make homeownership more accessible for themselves (26%).

Surprisingly, Gen Z is more likely than millennials to blame themselves for their own housing woes. Still, millennials don't escape blame entirely. 

About 1 in 6 zoomers (16%) say older generations are most responsible for the affordable housing crisis. Specifically, 31% blame boomers, 26% blame millennials, and 24% blame Gen X. 

With the market already stacked against them, 69% of Gen Z think their generation is being punished financially for being born when they were, and 70% think their generation had the hardest time buying homes in their 20s.

If they're able to purchase a home at all, 56% of Gen Z think they'll be at least 30 or older when they do — up from 39% who said the same a year ago. 

After their own spending habits and older generations, zoomers tend to blame some form of government for their inability to buy a home. Specifically, 12% blame the Trump administration, 11% blame local government, and 9% blame the Biden administration. 

Among all government-related entities mentioned, zoomers most blame the Trump administration for the affordable housing crisis and least trust the administration to fix it. Nearly 1 in 4 zoomers (23%) say they trust the current administration the least to make homeownership more accessible. 

Gen Z may not believe the current administration can address their housing concerns, but they remain hopeful other political candidates can offer real solutions. More than half of zoomers (51%) would vote for a political candidate based solely on the perceived benefits of their housing policy. 

Zoomers will also vote with their feet. Half of zoomers (50%) who don't own a home say local politics would determine where they buy, with 17% of Gen Z homeowners saying it was a factor when choosing their location.

Nearly Half of Gen Z Would Buy a Home With Asbestos

Who needs a newly renovated kitchen when you can get a home with "character"? Not the kind with charming crown molding but the kind with suspicious smells and a foundation that may or may not be sinking into the earth. 

With tight budgets and limited options, 60% of Gen Z would make an offer on a fixer-upper that needs significant repairs — even though 38% are worried about unexpected home costs and 32% are concerned they may have to make major repairs on a home. 

Some zoomers are so desperate to own homes they would buy properties that need significant upgrades or pose serious health risks:

• 58% would buy a home without central air conditioning or heating.
• 47% would buy a home with asbestos.
• 46% would buy a home with foundation issues. 
• 46% would buy a home with a leaky roof.
• 41% would buy a home with pests, such as cockroaches, mice, and spiders.
• 38% would buy a home with termites.
• 36% would buy a home with mold.

It's not exactly their dream home, but that fixer-upper probably has a lot of "potential."

Not every fixer-upper proves to be a smart investment, though. Among the 32% of Gen Z homeowners who actually bought a home in need of serious repairs, 1 in 8 (12%) say they regret their decision. 

Interestingly, Gen Z would rather tolerate these serious problems than endure the awkwardness of living next to an old fling. Nearly 1 in 4 zoomers (23%) say living next door to their ex would be a dealbreaker, while 1 in 8 (13%) would also refuse to live next door to their in-laws. 

95% of Gen Z Prioritize Other Life Goals Over Homeownership

More than half of Gen Z (52%) say they'd feel unaccomplished if they never bought a home, but 95% say homeownership is not their most important goal in life. 

As they graduate college and enter the workforce, zoomers are more focused on their career growth. About 53% say stable employment is more important than owning a home, followed by 45% who say building their career is more important. 

Stable employment and reliable income is a necessary first step before even thinking about purchasing a house. For some zoomers, buying a home also feels like an achievement that should come after reaching other markers of adulthood.

Rather than purchase a home, Gen Z would prefer to accomplish these personal milestones:

• Fall in love (31%)
• Get in good physical shape (30%)
• Get married (28%)
• Travel the world (27%)

Even if Gen Z checks off these personal goals first, their ability to enter the housing market is more contingent on shifts in affordability rather than life events, such as starting a family. 

Currently, more than 1 in 3 zoomers (34%) aren't confident their job or income is stable enough to afford a mortgage long term. However, Gen Z could be convinced to buy a home sooner if:

• Home prices decreased (43%)
• Their income increased (43%)
• Interest rates decreased (29%)
• They received an inheritance (28%)
• They received financial help from family (28%)

More Than 2 in 3 Gen Z Homeowners Have Regrets About Their Home Purchase

When it's time to start home shopping, Gen Z has no shortage of cautionary tales to learn from. Nearly half of zoomers (45%) say they've seen their peers make bad financial decisions to buy a home. 

This observation has caused zoomers to enter the market with apprehension. About 94% of Gen Z have concerns about buying a home. The greatest concerns include:

• Not being able to find an affordable home (44%)
• Unexpected or hidden costs of homeownership (38%)
• Not being able to afford a mortgage (36%)
• Having to make major repairs (32%)
• Having so much long-term debt (29%)

Unfortunately, in a market this tough to navigate, these fears became a reality for some Gen Z home buyers. 

Although 78% of zoomers are confident they won't have any regrets about their home after purchasing it, 69% of Gen Z homeowners say they feel remorse about their home-buying decisions.

Many of Gen Z's regrets reflect their earlier concerns:

• 32% were concerned about making unexpected repairs, and 12% regret buying a fixer-upper. 
• 28% were concerned about not finding a home that meets their needs, and 12% regret buying a home that lacks their desired features.
• 36% were worried about affording a mortgage, and 10% regret a mortgage that's too expensive.

However, the top regret was rushing the purchase, with nearly 1 in 4 zoomers (22%) wishing they hadn't moved so quickly. 

Regrets can turn what should be a joyful milestone into an ongoing source of anxiety. Although 80% of zoomers are confident buying a home is the right financial decision, nearly 1 in 4 Gen Z homeowners (23%) say their financial situation has gotten worse since buying their home, and nearly 1 in 3 homeowners (29%) have struggled to pay their mortgage. 

Financial trouble can take an emotional toll, with 1 in 6 zoomers (17%) saying their overall stress has also increased since purchasing a home.

Despite the everyday struggles of homeownership, Gen Z homeowners have experienced long-term rewards, too. About 50% say their overall happiness has improved since purchasing their home, and 44% say their overall quality of life has improved.

Methodology

Clever Real Estate surveyed 1,000 Gen Z adults between the ages of 18 and 28 on their views on buying and owning a home. The survey was conducted from June 5 to 8, 2025.

About Clever Offers

Clever Offers is a platform that empowers sellers who need to sell quickly or for cash to compare their options and make informed decisions. Clever Offers' free service connects sellers with vetted cash buyers and top local realtors, allowing them to evaluate traditional cash offers alongside options such as cash offers with a second payment upon resale, listing on the MLS for as little as seven days, and standard open-market listings.

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