Gen Z is the next generation of homeowners, and they are ready to start buying their first homes. Whether you are a Gen Zer or not, it’s never too early to start saving.
In the next 5 years, Gen Z will be ages of 23 to 28, and they are ready become homeowners and fast! According to Wikipedia, Generation Z (Gen Z) is “the demographic cohort after the Millennials. Demographers and researchers typically use the mid-1990s to mid-2000s as starting birth years.”
“Nearly 80 percent of Generation Z members say they want to own a home before age 30,” according to realtor.com. And, “52% of prospective Gen Z buyers are already saving to buy a home.” according to Concentrix Analytics.
Concentrix also identifies the primary reasons this generation is ready to buy their own homes:
- 55% want to own a home because they want to start a family
- 47% want to build wealth over time
- 33% want to make their family proud
Although they are ready to buy, this generation also believes they have a few challenges ahead:
- 66% believe saving for a down payment and closing costs will be challenging
- 58% feel covering the monthly costs of owning may be difficult
- 52% perceive a lack of knowledge about where to start
It is also noteworthy that 21% of Gen Zers think their parents will help financially, 17% plan to use an assistance program for the down payment, and 15% believe they can get help from other family members. The report also notes that over half of Gen Z believes they will need to repay their parents for the help, whereas only 40% of millennials believe so.
Whether you are Gen Z or another generation, it’s never too early to start saving. If you would like more information on how much you need or where to start to achieve your goal of buying a home, contact us so we can better help you!