A study from Realtor.com found that housing wealth in America has been growing rapidly, making it easier for Gen Z to become homeowners with the help of their parents.
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The analysis used data from the Panel Study of Income Dynamics through 2021, showing that homeownership rates are influenced by parental assistance and inheritance.
Parents often help their children with down payments by extracting equity from their own homes, making children three times more likely to buy a home.
This trend highlights the central role housing plays in the intergenerational transfer of wealth, with parental transfers explaining nearly 27% of homeownership rates among young households.
Homeowners are 1.3 times more likely than renters to anticipate leaving assets to the next generation.
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