Report: 51% Of Black Generation Zers Worry They May Never Own A Home

Like many Americans, Black Generation Zers would like to own homes, but the problem remains that they plainly cannot afford them.

In fact, new data shows that 51% of Black Gen Zers worry they might never own a home, compared with 60% of Gen Z entirely who felt that way. Clever Real Estate surveyed 1,000 Gen Z adults to get their views on buying and owning a home. Some 200 of the respondents—20%—included in the study were Black.

Almost all Black Gen Zers who don’t own a home cite expensive homes (38%), high interest rates (29%), and saving for a down payment (27%) as top common barriers for homeownership.

Jaime Dunaway-Seale, author of Gen Z Home Buyer Report: 2024 Edition, provided BLACK ENTERPRISE some data on Black Gen Z. It showed 59% of Black Gen Z non-homeowners have under $10,000 saved for a home. With that amount put toward a standard 20% down payment, they could only afford homes worth less than $50,000.

In addition, just 20% of prospective Black Gen Z buyers feel they can afford a home, versus 18% of those surveyed overall. Still, 40% of Black Gen Z eventually expect to own a home worth over $1 million.

Roughly 64% of Black Gen Z homeowners express regrets, with 37% reporting they didn’t have enough knowledge about the home-buying process. Nearly 92% of Black Gen Z non-homeowners say owning a home is important. However, 96% prioritize other goals over homeownership. Those goals include stable employment (47%), building a career (49%), and starting a family (37%).

Dunaway-Seale reflected on how overcoming the affordability barrier is challenging.

“Many Gen Zers will have to consider radical life choices to begin to save for a home, such as living with their parents for a long period even after starting their career, living in small apartments, living in more rural and lower cost of living areas, and living with roommates.”