A large homeownership gap persists between younger and older adults
Homeownership remains heavily divided by age in the United States. The chart compares homeownership-related rates between adults aged 25 to 34 and those aged 35 to 44 from 2020 to 2024.
The overall pattern is consistent across every year shown. Older adults maintained much higher homeownership rates, while younger adults remained stuck near the mid-30% range.
The gap remained wide through 2024
Adults aged 35 to 44 consistently recorded homeownership rates between 60% and 64%.
The group reached a peak of 64.0% in 2023 before falling slightly back to 60.0% in 2024.
Meanwhile, adults aged 25 to 34 who were homeowners with mortgages remained far lower. Their rate stayed near 35.0% for most of the period and dipped to 33.0% in 2023.
By 2024, the difference between the two age groups stood at roughly 25 percentage points.
This means older adults were substantially more likely to own homes throughout the entire period.
Younger buyers showed little meaningful improvement
One of the clearest patterns in the chart is the lack of progress among younger adults.
From 2020 to 2024, the younger group remained almost flat despite major shifts in housing markets, mortgage rates, and broader economic conditions.
In contrast, the older age group consistently stayed above 60%, reinforcing how difficult it has become for younger households to catch up.
The persistence of the gap suggests the issue is structural rather than temporary.
Why younger adults face greater barriers
Several economic pressures have made homeownership harder for younger Americans.
Home prices increased sharply in many metro areas, while mortgage rates rose significantly after 2021. Higher monthly payments and larger down payment requirements created major affordability challenges.
Younger adults also tend to have lower savings, higher student debt burdens, and less accumulated wealth compared to older households.
Competition for limited starter homes further intensified the challenge.
What this means for younger generations
Homeownership has traditionally been one of the main ways households build long-term wealth and financial stability.
Lower ownership rates among younger adults may delay wealth accumulation, increase long-term renting, and widen generational financial gaps.
For policymakers and economists, the data raises broader concerns about affordability, housing supply, and access to entry-level homeownership opportunities.
The broader takeaway is clear. Younger Americans remain far behind older adults in homeownership, and the gap has shown little sign of narrowing.
Dataset
Data Sources
Federal Reserve Bank of St. Louis (FRED). (2025). Consumer Unit Characteristics: Percent Homeowner with Mortgage by Age: from Age 25 to 34 (CXU980230LB0403M). https://fred.stlouisfed.org/series/CXU980230LB0403M
Federal Reserve Bank of St. Louis (FRED). (2025). Consumer Unit Characteristics: Percent Homeowner by Age: from Age 35 to 44 (CXUHOMEOWNLB0404M). https://fred.stlouisfed.org/series/CXUHOMEOWNLB0404M
U.S. Bureau of Labor Statistics. (2025). Consumer Expenditure Surveys (CE). https://www.bls.gov/cex/
