Are Gen Z Really Giving Up on Homeownership? A New Look at the Data

According to new research highlighted by Fortune, many younger Americans are reaching a breaking point. With housing affordability sinking and the average first-time buyer age hitting 40, a significant portion of Gen Z is beginning to believe they may never own a home at all.

In studies published by researchers from Northwestern University and the University of Chicago, young adults are showing three major behavioral shifts: they’re saving less, working less, and taking on riskier investments—largely because the path to homeownership feels increasingly unattainable.

1. Spending More Than They Save

Research indicates that when rising home prices push ownership out of reach, many young renters stop saving for a house altogether. Instead, they redirect savings toward lifestyle spending—what some call “doomspending.” Nearly half of Gen Z doesn’t have an emergency fund, and 27% hold more debt than savings.

Some expect to inherit wealth from the massive $124 trillion transfer occurring over the coming decades, though surveys show most won’t receive nearly as much as they anticipate.

2. Rethinking Work Itself

The study also found a measurable drop in work effort among Gen Z renters. When the reward (buying a home someday) feels impossible, motivation declines. Renters were nearly twice as likely as homeowners to report reduced effort at work.

However, economist and creator Kyla Scanlon offers a different interpretation: it’s not that Gen Z doesn’t want to work—it’s that they no longer believe in doing things “the way they’ve always been done.”

3. Turning to Risky Investments

With traditional wealth-building paths like homeownership feeling blocked, many young adults are turning toward higher-risk assets. Cryptocurrencies, speculative investments, and alternative financial trends are more common among Gen Z than retirement accounts.

Researchers explain that when homeownership becomes unrealistic, young people perceive they have “less to lose,” which makes riskier behavior feel more acceptable. Financial experts caution that taking interest in personal finance is good—so long as risk and reward are understood.

What This Means for the Future of Real Estate

For Florida’s real estate industry—and licensing fields across the nation—these trends are reshaping the future of buyers, renters, and professionals alike. As affordability challenges persist, more Gen Z professionals may enter real estate careers to better understand the market and secure financial stability.

At Cameron Academy, we’ve seen a rising number of young professionals pursuing real estate licenses, mortgage certifications, and finance education to gain control over their financial futures. Whether affordability improves or not, knowledge remains one of the few assets no market can devalue.

For the full deep-dive and original reporting, visit Fortune’s original article.