A recent survey conducted by BMO has delved into the sentiments and aspirations surrounding homeownership in the United States. The research highlights that while 66% of Americans still view owning a home as a critical life goal, confidence in achieving this goal has waned, with 61% indicating less optimism compared to five years ago.
The survey underscores a generational perspective, noting that 71% of Millennials and 69% of Gen Z see owning a home as an essential aspiration. Yet, a significant proportion of these younger generations, 67% of Millennials and 63% of Gen Z, who are renters, express envy towards those who have managed to purchase homes.
Paul Dilda, Head of U.S. Consumer Strategy at BMO, commented on the data, stating, "The data show that owning a home remains a key component of the American Dream, but with some obstacles still facing first-time homebuyers, younger generations worry they missed their moment."
A significant number of young renters are strategically waiting for favorable conditions before buying, seeking affordable interest rates and long-term living solutions, rather than temporary starter homes. Currently, 69% of Gen Z and 74% of Millennials considering home purchases are holding out for lower interest rates. Furthermore, the priority of financial commitments, such as education and retirement savings, is higher for them than making an immediate home purchase.
Environmental factors also weigh heavily in the decision-making process. "The financial hurdles to owning a home have rarely been higher," adds Scott Anderson, Chief U.S. Economist at BMO, emphasizing the impact of affordability, inventory constraints, and interest rates.
For those who have managed to buy homes, assistance from family has been crucial. About 60% of Gen Z and 57% of Millennials have relied on financial support from family members. In addition, the survey reports emerging trends in home purchasing, like "co-buying" arrangements with friends or family and a willingness to relocate to more affordable areas.
BMO offers support to aspiring homeowners through financial tools and guidance. The survey informing these insights was conducted by Ipsos between March 3 and March 26, 2025, involving a sample of 2,500 American adults.