Buying a home is no easy task, especially for younger generations. In recent years, the housing market has become even more challenging for young, first-time homebuyers due to escalating prices and high mortgage rates. However, in some markers, young adults have made strides in homeownership, according to Construction Coverage. Among the largest U.S. metros, Grand Rapids, Mich., leads the way with its share of homeowners under the age of 25 reaching 9.1%. This is followed by Cincinnati, and Louisville, Ky., with 7.7% of homeowners under the age of 25 for both markets.
The Midwest tends to have lower home prices, which makes homeownership more attainable. Many leading metros for young homeownership are also found in the affordable Midwest and South. In contrast, high-cost states including Hawaii (1.7%), California (2.1%), and Massachusetts (2.5%) have much lower shares of home purchase loans from young adults. With lower earnings and less savings and equity accumulated than their older counterparts, young adults are more likely to struggle to afford homes in these markets.