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10 big U.S. cities where it’s easier for Gen Z to become homeowners
Being able to own a home is a goal for many, but the pandemic, inflation, high home prices and high mortgage rates have made that goal difficult for younger people on entry-level salaries. Gen Z (born between 1997 and 2012) are finding that better options are available in the Midwest and the South, instead of coastal living.
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Being able to own a home is a goal for many, but the pandemic, inflation, high home prices and high mortgage rates have made that goal difficult for younger people on entry-level salaries. Gen Z (born between 1997 and 2012) are finding that better options are available in the Midwest and the South, instead of coastal living.
To look at the feasibility of Gen Z owning a home, Point2 recently rated the U.S.’s 100 major cities (including the five New York City boroughs) and ranked them based on seven metrics:
Home price-to-income ratio to see how many household incomes—where the householder is under 25—would be needed to reach the median home price in a market.
Median sale price difference to understand how home 2023 prices are more impactful compared to 2022.
Inventory (per 10,000 residents) to see how many housing options are available.
Share of homes sold above listing price to assess bidding and competitivity in a market.
Days on the market to determine how quickly homes sell and measure competitivity
Homeownership rate to assess the real probability of adults under 25 achieving homeownership.
Unemployment rate to see where young adults have lower chances of financing homeownership.
Point2 then used weighted averages of the metrics to calculate where Gen Z have a chance at homeownership, and ranked the 100 cities in order. Click the gallery above to see the top 10 cities offering Gen Z the best chance at home ownership.
