Key Details:
- From a recent Realtor.com® survey, 75% of Americans view homeownership as part of the American dream, with 59% believing it’s achievable.
- Millennials (69%) and Gen Z (70%) still hold homeownership as a life goal despite affordability challenges.
- The median age of homebuyers climbed to 56 in 2024—with 38 as the median age for first-time buyers.
Owning a home is more than just a milestone—most Americans still see it as part of the American dream. And that’s despite the steep obstacles faced by many in today’s market, including younger generation first-time buyers.
According to a recent Realtor.com® survey, 75% of Americans believe that homeownership is still a vital part of that vision, with many holding onto it as essential to the life they want.
That said, generational views and experiences reveal a more nuanced picture.
Generations Agree Homeownership Matters—But Views Vary
While the majority of Americans value homeownership, older generations hold this belief more firmly:
- Baby Boomers: 84% include homeownership in the American dream.
- Gen X: 74% agree.
- Millennials: 69% feel similarly.
- Gen Z: 61% believe in its importance.
What’s interesting is, even though millennials and Gen Z feel slightly less connected to the traditional American Dream, 69% of millennials and 70% of Gen Z still see homeownership as a life goal.
That makes sense. These younger generations own homes at lower rates and are working to overcome affordability challenges. But the key differences between homeownership and renting remain as compelling as ever.
Is Homeownership Achievable? Americans Are Hopeful
Affordability is a major concern, but a majority of respondents remain optimistic:
- 59% of Americans feel that owning a home is achievable for them.
- Confidence levels by generation:
- Boomers: 63% feel confident about homeownership.
- Millennials: 57% share this view.
- Gen X: 55% believe it’s attainable.
- Gen Z: 54% feel optimistic despite financial hurdles.
The glass-half-full takeaway? More than half of every generation holds a positive outlook. That’s a promising sign in a market defined by high home prices and mortgage rates.
The Role of Homeownership in Building Wealth
Beyond fulfilling the American dream, many see homeownership as essential to long-term financial success:
- 50% of all respondents believe homeownership is necessary to achieve wealth.
- Younger generations emphasize this more strongly:
- 53% of millennials and 52% of Gen Z view it as crucial to their success.
- Gen X (48%) and boomers (45%) are slightly less convinced, likely because many have built wealth through home equity already.
Aging Buyers Dominate in Today’s Market
Data from the National Association of Realtors® 2024 Profile of Buyers and Sellers shows a notable trend: buyers are getting older.
- The median age of all home buyers hit a record high of 56 years in 2024.
- First-time buyers are now 38 years old on average, while repeat buyers average 61 years.
This shift reflects how high costs—from home prices to mortgage rates—favor repeat buyers and those with significant down payments or higher incomes. Older generations, with more equity and financial stability, are better equipped to navigate these challenges.
Hope for First-Time Buyers
While the market is tough, homeownership isn’t out of reach. Realtor.com®’s report on the Best Markets for First-Time Homebuyers highlights areas where affordability and opportunities align, offering hope for younger buyers. And as the survey data shows, Americans of all generations remain optimistic, even as the housing market evolves.
Read the full report for more information, including charts and methodology.
Homeownership continues to be both a dream and a strategy—a way to achieve not only personal fulfillment but also financial security. For those ready to take the leap, the path may be challenging, but the rewards are undeniable.
So, what are you doing in the first month of 2025 to nourish that hope and help buyers in your community get closer to their homeownership goals?
