Homeownership has long been seen as a marker of stability and success. But for many in Generation Z — the youngest group entering the housing market — that dream feels increasingly out of reach. Rising mortgage rates, high home prices, student debt and career uncertainty are reshaping what housing looks like for this generation — and many are renting for the long term. A recent survey of more than 2,000 U.S. renters conducted in January 2025 by Entrata in collaboration with Qualtrics sheds light on how Gen Z views renting, homeownership and financial priorities. The biggest obstacles to homeownership for Gen Z are financial. More than half of respondents (57%) said rising mortgage rates are a key factor preventing them from buying a home. About 52% cited escalating home prices, while others pointed to student loan debt and career instability as the main reason a mortgage feels out of reach. Many also expressed reluctance to take on the responsibilities of home maintenance and repairs. Roughly one in three renters said these costs and responsibilities were enough to steer them away from homeownership. “Many can’t afford the upfront costs associated with home ownership like down payments for (private mortgage insurance) if they’re unable to meet the (loan-to-value ratio) necessary to eliminate the requirement for mortgage insurance,” the report explained.