Homeownership is seen as a rite of passage for some, but the current housing market is making that dream unattainable for more and more young people. Research from the Berkley Institute for Young Americans found that people younger than 44 are purchasing homes at a far slower rate than those aged 60 and older did at the same age.
Although reports have found that renting is cheaper than buying in nearly all of the top 50 largest metro areas, some Americans are still taking the leap.
A recent report from RentCafe found that Millennials, those born between 1996 and 1981, represent a greater share of homeowner households than renter households.
Where are Millennials settling down?
Millennials, who represented about 28% of homebuyers nationwide last year, are settling down and buying homes across the U.S., but have a stronghold in the South. Homeowners aged 25-44 represent about half of all homeowners in Killeen and Austin, Texas, and Clarksville, Tennessee, according to a Moneygeek analysis of American Community Survey data.
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In the past decade, Temple, Texas, experienced a 75% increase of homeowners aged 25-44, the highest in this age group. Odessa, College Station and Midland, Texas experienced growth that surpassed 50% during the same time period.
Where are GenZ homeowners purchasing real estate?
GenZ represent about 4% of homeowners nationally. But in Provo Utah, people younger than 25 make up nearly 40% of all homeowners, the largest representation of young homeowners in the U.S.
Over the past 10 years, Somerville, Massachusetts, experienced a more than double increase in homeowners under the age of 25, according to MoneyGeek.
The top five cities for homeowners under 25 are all college towns – Davis, California, Provo, Utah, College Station, Texas, Bloomington, Indiana and Gainesville, Florida.
Homeownership for Generation X, Boomers
People aged 45 to 64 represent a little over a third of all homeowners in the nation. California is home to the top five cities with the highest rate of homeownership in this age group.
In Palmdale, California, 48% of homeowners are aged 45 to 64. Santa Ana, Lancaster, Pomona and Moreno Valley round out the top five cities for homeowners that fall in Generation X and Baby Boomer categories.
Boca Raton, Florida, St. George, Utah, and Scottsdale, Arizona are the top three cities for homeowners older than 65. Florida is one of the most popular states for retirees.
Housing affordability:How does ‘the least affordable housing market in recent memory’ look in your area?
What are the most expensive housing markets in the U.S.?
County level data of housing statistics from the the American Community Survey shows how much homes are valued at across the country.
The following counties have the highest median home values:
- Santa Clara County, CA: $1,583,130
- San Mateo County, CA: $1,573,470
- Marin County, CA: $1,454,450
- San Francisco County, CA: $1,332,660
- Nantucket County, MA: $1,313,450
See map:These states have the highest property taxes. Where does yours fit in?
Where is it cheapest to buy a home in the U.S.?
The following counties have the lowest median home values:
- Todd County, SD: $42,940
- Cochran County, TX: $50,140
- McDowell County, WV: $50,960
- Cottle County, TX: $53,690
- Stonewall County, TX: $57,140
