Over 50% of Millennials Have Delayed a Home Purchase for 3+ Years

BAM Key Details: 

• Clever Offers reports that 67% of millennials have delayed buying a home because of market conditions, with 56% waiting at least three years and 23% waiting five years or more. 
• The data shows persistent affordability gaps, as 72% lack $75,000 needed for a typical 20% down payment and 55% fall short of the $40,000 required for 10% down. 
• Financial strain remains a core issue, with 24% of millennials carrying more debt than savings and 46% holding at least $10,000 in non-mortgage debt.

For a lot of millennials, “waiting to buy” isn’t a short-term plan anymore. It’s become the default.

New data from Clever Offers shows that more than half (56%) of millennials who delayed buying a home have now been on the sidelines for at least three years. Nearly one in four (23%) has waited five years or longer. 

What started as a reasonable pause to save more or wait for better conditions has stretched into something much longer, even as affordability keeps getting tougher.

Many buyers feel close to being ready because they’ve been saving consistently. The problem is, down payment targets have risen faster than savings balances. so the goalposts keep moving.

That dynamic wears people down, and the data shows it’s starting to shape how millennial buyers think, wait, and compromise.

The down payment goalpost keeps moving farther away

That feeling of being “almost there” shows up most clearly when you look at down payment savings. According to the survey, 53% believe they’ve saved enough. And on paper, that confidence makes sense. Many have been saving for years and watching their balances grow.

The challenge is how fast the target has changed.

Here’s what the math looks like today:

• A 20% down payment on the median-priced home now costs a little over $80,000.
• 72% of millennials don’t have $75,000 in savings.
• 55% don’t even have the $40,000 needed for a 10% down payment.
• 47% have been saving for five years or more and still haven’t reached those benchmarks.

During that same five-year stretch, home prices rose faster than savings could keep up. Inflation also made it harder to save aggressively, even for buyers who stayed disciplined.

Not surprisingly, expectations have shifted:

• 61% plan to put down less than 20%.
• 66% of first-time buyers expect to put down less than 20%.
• 52% of repeat buyers say the same.

Even buyers who’ve owned before aren’t immune to the down payment squeeze. About 22% of repeat buyers say saving for a down payment was the hardest part of their first purchase, which helps explain why many still don’t have 20% equity today.

Debt is quietly reshaping buying power

When savings feel behind, debt tends to be the next obstacle buyers run into. And for many millennials, it’s a big one.

Data from the report shows nearly one in four millennials (24%) now has more debt than savings. On top of that, about three-quarters (75%) carry some form of non-mortgage debt, which makes it harder to turn steady income into actual buying power.

Here’s how that debt breaks down:

• 46% owe at least $10,000 in non-mortgage debt, up from 38% just one year ago.
• 23% owe $30,000 or more.
• 16% carry at least $50,000 in non-mortgage debt.

Those balances don’t just sit quietly in the background. They shape how confident buyers feel when they think about financing.

According to the report:

• 20% worry they won’t qualify for a mortgage at all.
• 21% say qualifying is a barrier to buying.
• 23% worry they won’t be able to afford the mortgage even if they do qualify.

For buyers, this creates a kind of mental stalemate. They’re saving. They’re watching the market. But rising debt makes the next step feel risky, especially when higher balances can push rates and monthly payments up at the same time.

That hesitation feeds directly into longer delays, which is where the data heads next.

Waiting has turned into a multi-year pattern

When savings lag and debt feels heavy, hitting pause starts to feel like the safest option. Over time, that pause stretches out longer than most buyers ever planned.

Two in three millennials (67%) say they’ve delayed buying a home because of housing market conditions. For many, that delay isn’t measured in months. 

Among millennials who postponed buying:

• 56% have waited at least three years.
• 23% have waited five years or more.

The reasons for waiting tend to cluster around a few familiar hopes:

• Waiting for home prices to come down (19%).
• Waiting for the perfect home, regardless of market conditions (18%).
• Waiting for interest rates to drop (17%).

First-time buyers are especially likely to take this approach. The data shows:

• 63% of first-time buyers have delayed buying for three years or longer.
• 27% have delayed for at least five years.

What’s striking is how normal this has become. A three-year delay used to feel long. Now it’s common. And while some buyers are willing to keep waiting, patience has limits. About 22% say they’ll buy as soon as they find an affordable home, suggesting a large group that’s still motivated but stuck watching from the sidelines.

That tension between wanting to wait and wanting to move forward starts to change behavior, which shows up clearly in what buyers say they’re willing to accept next.

After years of waiting, buyers start taking bigger risks

Long stretches on the sidelines don’t just test patience. They also reshape what buyers are willing to live with.

Data from Clever Offers shows that more than half of millennials (55%) would consider buying a fixer-upper. Among first-time buyers, that number climbs to 58%. After years of watching prices rise, many are redefining what feels acceptable if it means finally owning something.

That openness extends to some serious issues:

• 51% would buy a home with pests.
• 50% would buy a home with asbestos.
• 49% would buy a home with a leaky roof.
• 48% would buy a home with foundation issues.
• 47% would buy a home with termites.
• 43% would buy a home with mold.

Those aren’t cosmetic problems. They’re costly, time-consuming, and often unpredictable. And while fixer-uppers can look like a more affordable entry point, they frequently come with ongoing repair expenses that stretch budgets even further.

Buyers who’ve already been through this tend to be more cautious. About 14% of millennial homeowners say they regret buying a distressed home, and repeat buyers are consistently less willing than first-time buyers to take on major hazards. 

Experience has a way of clarifying which compromises are manageable and which ones linger.

What’s driving this shift is fatigue, not optimism. After years of saving and waiting, many buyers are trying to find a path forward, even if it means accepting risks they once hoped to avoid.

That same mindset shows up in where buyers are willing to live, which is the next place the data gets especially revealing.

Location tradeoffs are becoming part of the equation

When price and inventory narrow the field, location becomes another lever buyers start to pull.

Millennials draw a clear line around safety, but they’re far more flexible about everything else. An unsafe neighborhood is a dealbreaker for 59%, yet many say they’d tolerate a long list of inconveniences if it meant staying within budget.

If the price worked, millennials say they’d consider living next to:

• A cemetery (26%).
• A vacant or abandoned property (25%).
• A railroad track (17%).
• A busy highway (15%).
• A stadium or concert venue (15%).

First-time buyers are even more willing to compromise on surroundings. They’re more likely to prioritize affordability over location, and far more open to living near noisy or unconventional neighbors. 

For example, they’re nearly three times as likely as repeat buyers to consider living next to a fraternity or sorority house, and twice as likely to consider living next to a nightclub.

Some boundaries still hold. Millennials are more willing to live near a railroad track (17%) or busy highway (15%) than next to their partner’s ex (12%). 

Even fewer would consider living next to their own ex (16%) or their in-laws (31%).

These tradeoffs don’t always age well. About 16% of millennials regret compromising on location to afford a home, and 14% regret buying in a bad location altogether. Repeat buyers, shaped by experience, are now more focused on finding the right location than simply finding the lowest price.

After years of waiting and compromise, many buyers are discovering that affordability decisions don’t end at closing. 

That realization shows up most clearly in what millennials say they regret after the purchase.

Regret often shows up after the keys are handed over

One of the most telling parts of the Clever Offers data comes after buyers finally cross the finish line.

While 82% of first-time buyers believe they won’t have any regrets after purchasing a home, the reality looks very different for those who’ve already been through it. The same percentage of millennial homeowners, 82%, say they do have at least one regret about a past purchase.

Those regrets tend to cluster around decisions made under pressure:

• Outgrowing the home too quickly (20%).
• Compromising on location to stay within budget (16%).
• Rushing the purchase (16%).
• Ending up with bad neighbors (15%).
• Not feeling educated enough about the home-buying process (15%).

What stands out is how closely these regrets tie back to long delays and rising frustration. After years of saving and waiting, many buyers feel a strong urge to move forward when an opportunity finally appears. 

That urgency can make tradeoffs feel smaller in the moment than they do later.

The data suggests waiting longer doesn’t necessarily lead to cleaner decisions. In many cases, it just shifts the kind of regret buyers end up carrying, from wishing they’d bought sooner to wishing they’d chosen differently.

That tension is what makes the final takeaway from this data especially important.

What this means for today’s housing conversations

Millennials aren’t sitting on the sidelines because they don’t want to buy. They’re stuck in a cycle where saving feels productive, waiting feels responsible, and the market keeps moving anyway.

The data shows how that plays out over time:

• Delays stretch into years. 
• Savings fall behind rising targets. 
• Debt makes financing feel riskier. 

Eventually, buyers start compromising on things they once considered non-negotiable, from the condition of the home to where it’s located. 

That’s where clarity matters most.

Your role is to help buyers understand what waiting actually costs, not just in dollars, but in tradeoffs, fatigue, and future regret. It’s also about helping buyers separate being financially prepared from waiting for a version of the market that may not return.

And of course, preparing your buyer clients well also means making sure they know the real cost of owning a home, not just the cost of buying one.