Gen Z: Why Homeownership Feels Like a Fantasy

Young adults today are facing a tough reality. Buying a home seems like a far-off dream. Prices are high, and wages aren't keeping up. Many in Gen Z and younger millennial generations are focusing on enjoying life now. They'd rather spend on experiences or investments like crypto than save for a down payment. But here's an interesting thought: this shift might have unexpected effects. A recent study by economists suggests that when people feel homeownership is out of reach, they tend to spend more and take bigger financial risks. This behavior can lead to a wider gap in wealth between those who still hope to own a home and those who've given up on the idea.The study also found that people might put in less effort at work when they feel hopeless about buying a home. It makes sense. If the future looks bleak, why push so hard in the present? But there's a glimmer of hope. The housing market is starting to show signs of change. More homes are being built, and prices are stabilizing in some areas. This could mean that Gen Z might have a better shot at homeownership than they think. For now, though, the situation remains tough. Young people are stuck between high housing costs and economic uncertainty. But with a little luck and some smart policy changes, the dream of owning a home might not be as far off as it seems.