Struggling to Afford Housing: Young Americans Making Sacrifices to Pay Rent and Mortgage

As housing costs continue to rise, millions of Americans are struggling to afford their monthly payments. A new report from Redfin highlights the difficulties faced by Gen Z and millennial renters and homeowners, revealing that nearly 7 in 10 struggle to afford their regular housing payments, with 41% of homeowners in this age group also facing affordability issues. The report, based on a Redfin-commissioned survey conducted by Ipsos in May 2025, surveyed over 4,000 U.S. homeowners and renters, providing a comprehensive look at the struggles faced by young Americans.

Key Takeaways:

• 7 in 10 Gen Z and millennial renters struggle to afford their regular housing payments.
• 41% of homeowners in this age group also face affordability issues.
• 40% of Gen Z and millennial renters who struggle to afford housing report eating out at restaurants less often to make their monthly rent payments.
• 27% of Gen Z and millennial renters borrow money from family or friends to make their monthly payments.
• 22% of young renters report skipping meals completely to make their monthly payments, and 22% have sold their belongings.
• Struggling millennials and Gen Zers who own their homes are more likely than those who rent to sacrifice luxuries, such as eating out at restaurants and taking vacations.
• Baby boomer and Gen X renters are less likely to struggle to afford housing, but still face challenges, with 52% of baby boomer renters and over two-thirds of Gen X renters reporting difficulty making their regular housing payments.
• The median U.S. home-sale price has increased more than 40% since before the pandemic, while wages have increased by about 28% over that period.
• Young Americans typically earn less money than older generations and are more likely to have student loan debt.
• Daryl Fairweather, Redfin's chief economist, notes, "Many Gen Zers and millennials are making real sacrifices—picking up side gigs, selling their possessions, even delaying doctor's appointments—just to pay for the basic need of housing."

Statistics:

• 40% of Gen Z and millennial renters who struggle to afford housing report eating out at restaurants less often to make their monthly rent payments.
• 27% of Gen Z and millennial renters borrow money from family or friends to make their monthly payments.
• 22% of young renters report skipping meals completely to make their monthly payments.
• 22% of young renters have sold their belongings.
• 19% of young renters have delayed medical treatments.
• 13% of struggling millennial and Gen Z homeowners have delayed medical treatments.
• The median U.S. home-sale price has increased more than 40% since before the pandemic.
• Wages have increased by about 28% over that period.
• The median U.S. asking rent rose by roughly 22% over that period.

Sources:

• Redfin press release (no date mentioned)
• Ipsos survey conducted in May 2025