Barrier Overview
According to Investopedia’s 2025 American Dream Survey, 77% of Americans feel homeownership is harder to achieve due to a 60% jump in home prices, inflation, and a shortage of 4.7 million homes :contentReference[oaicite:7]{index=7}.
Fears of never owning are especially strong among young generations: 41% of Gen Z and 42% of Millennials feel priced out :contentReference[oaicite:8]{index=8}.
- Worsening home affordability
- Shortage in homes for entry-level buyers
- Generational concern about housing equity
Creative Alternatives
Experts suggest looking at fixer-uppers, co-ownership models, or delaying homeownership in favor of retirement saving and debt freedom :contentReference[oaicite:9]{index=9}.
Wealth-building can also happen via diversified assets beyond real estate.
- Alternative pathways to home equity
- Reallocated financial priorities
Conclusion & Actionable Advice
Given affordability barriers, individuals should redefine their goals: pursue flexible housing options while building retirement and emergency savings.
Asset diversification and rental flexibility can support financial goals without over-leveraging.
- Balance between rent and investment
- Utilize flexibility-friendly home options
- Protect liquidity while planning ahead