Gen Z and Housing in 2025: When, Where, and How We're Moving Out

Living Arrangements 2025: Gen Z's Unique Approach to Housing

Picture this: it’s 2025, and housing for Gen Z feels like navigating a high-stakes game of Monopoly—except the rent is real, the board is rigged, and owning Boardwalk? That’s a pipe dream for most of us.

Right now, 31% of us are still posted up at home with our parents. And honestly, why wouldn’t we be? Housing prices are climbing faster than we can stack savings, rent is borderline robbery, and those student loans? Yeah, they’re still lurking. But when we do move out, 84% of us rent, because buying a home feels more like a fantasy than a goal—at least for now.

Even with all this chaos, 65% of us still dream of owning a home. It’s not about flashy mansions or sprawling estates, though; we’re keeping it practical. Affordable cities like Indy or St. Louis are catching our eye, and we’re all about finding ways to make it happen.

Are we stuck? Not a chance. We’re just rewiring the definition of independence and reimagining what “home” looks like for our generation. This isn’t a setback—it’s a setup for something bigger.

Staying Home Longer: The "Boomerang Generation"

We gotta admit, a lot of us are still living at home. Like, a lot. As of 2025, 31% of Gen Z adults are still crashing with their parents. And before you hit us with the lazy stereotypes, let’s clear the air: it’s not about being glued to TikTok or refusing to grow up—it’s straight-up economics.

Here’s the deal: housing costs are ridiculous. Cities like New York and LA? The average rent is pushing $2,500 a month, and that's just for a tiny studio or a shared apartment. Tack on utilities, groceries, and transportation, and you're looking at a bill that eats up more than half of your paycheck—if you’re lucky. Factor in high interest rates that make homebuying feel like a pipe dream, and it’s no wonder so many of us are staying put.

And then there’s the other elephant in the room: student loans. Even though we had a brief pause on repayments, those monthly bills are creeping back in, and for a lot of us, they hit harder than rent. Combine that with a lack of affordable housing options, and staying home becomes less of a choice and more of a survival tactic.

But let’s not act like living with your parents is some kind of failure. For many of us, it’s actually a smart move. By staying home, we’re avoiding crushing debt, stacking up our savings, and giving ourselves room to breathe. That’s especially important when everything else—hello, inflation—is trying to drain our wallets faster than we can refill them.

Sure, staying home might not be the dream scenario. We all want our own space, and let’s be real, your mom reminding you to fold your laundry gets old fast. But in this economy, it’s all about playing the long game. By being strategic now, we’re setting ourselves up for bigger goals—whether that’s renting a nicer apartment, buying our first home, or just having a safety net when we finally move out.

Bottom line? Staying home isn’t a setback—it’s a move that makes sense for where we are right now. The nest is temporary, but our goals are forever.

"Living at home isn’t exactly what I imagined for my twenties, but with rent so high and student loans creeping back, it’s the only way I can save for my future. It’s not ideal, but it’s smart."—Jasmine, 23, Atlanta, GA

Renting: The Gen Z Default

When we do move out, most of us head straight into rentals. Gen Z is the only renter-majority generation, with 84% of us who’ve left home choosing to rent. By 2030, experts predict we’ll be the largest demographic of renters in the U.S., which says a lot about how we’re navigating the housing market.

So, why renting? First off, it’s flexible. For a generation that’s all about chasing opportunities and living life on our own terms, renting makes sense. It allows us to move cities for jobs, test out new places, or even take gap years abroad without being tied down to a mortgage. Plus, let’s be real: homeownership feels out of reach for many of us. A down payment isn’t something you can magically whip up when rent, groceries, utilities, and other bills are already eating up a huge chunk of your income.

But let’s not sugarcoat it—renting has its downsides. Rising rents are making it harder to save for the future, and it can feel like every paycheck disappears just keeping up with monthly expenses. It’s like running on a financial treadmill that never slows down. And renting often comes with other frustrations: landlord drama, unpredictable rent hikes, and the struggle to make a place feel like your own when it’s technically not.

Still, for now, renting is the easiest way for most of us to gain independence. It’s not perfect, but it’s what we can afford without diving headfirst into the financial stress of homeownership. While we may dream of one day owning a home, renting is our way of taking that first step into adulthood—on our own terms, even if the rent prices keep trying to play us.

"Renting feels like freedom, but it’s also like throwing money into a black hole every month. I want to save for a house, but how do you save when rent eats your paycheck?"—Alex, 24, Denver, CO

20 Cities Perfect for Renting and Jumpstarting Your Career

Renting doesn’t have to feel like a trap—it’s a chance to test the waters in cities where job markets are booming and rent won’t drain your wallet. These 20 cities balance affordable rents with great career opportunities, making them perfect for Gen Z renters.

1. Austin, TX – A tech and creative hub with a vibrant social scene, though rent can be a bit higher, the job opportunities make it worth it.
2. Denver, CO – A city with a growing job market in tech and green energy, plus a laid-back outdoor lifestyle.
3. Charlotte, NC – Affordable rents and a booming finance and tech industry make Charlotte a strong pick for career starters.
4. Raleigh, NC – Known as part of the Research Triangle, Raleigh offers affordable living and endless job opportunities in tech and healthcare.
5. Columbus, OH – A rising tech and education hub with lower rent prices compared to coastal cities.
6. Nashville, TN – A vibrant city with a booming healthcare industry and thriving music and entertainment job market.
7. Phoenix, AZ – With lower rents and a growing tech scene, Phoenix is perfect for career-minded Gen Z renters.
8. Atlanta, GA – A diverse city with job opportunities in media, film, tech, and more, all paired with reasonable rents.
9. Minneapolis, MN – Known for its artsy vibe and growing business scene, this city offers affordable renting options.
10. San Antonio, TX – Affordable rents combined with opportunities in healthcare, military, and business sectors.
11. Tampa, FL – A sunny coastal city with a growing job market in tourism, healthcare, and finance.
12. Salt Lake City, UT – A hidden gem with lower rents, stunning nature, and opportunities in tech and outdoor recreation industries.
13. Indianapolis, IN – Affordable rents and plenty of entry-level jobs in healthcare, sports, and logistics make it a smart choice.
14. Portland, OR – Known for its creative energy and eco-conscious vibes, Portland offers career opportunities in tech and design.
15. Houston, TX – A huge city with low rents and big opportunities in energy, healthcare, and business.
16. Kansas City, MO – Affordable rent, a budding arts scene, and opportunities in business and tech make this city shine.
17. Orlando, FL – A city with affordable rents and a growing job market in entertainment, tourism, and healthcare.
18. Pittsburgh, PA – Affordable living paired with opportunities in healthcare, robotics, and education industries.
19. Dallas, TX – A booming business and tech hub with affordable rents compared to nearby Austin.
20. Richmond, VA – Lower-than-average rents and opportunities in government, finance, and healthcare industries.

These cities aren’t just great places to rent—they’re launching pads for your career. With growing job markets and affordable living, they give Gen Z renters a chance to chase their goals without feeling stuck.

The Dream of Homeownership: Still Alive (Barely)

Even with all the chaos, buying a home is still the goal for most of us. In fact, nearly 65% of Gen Zers are hyped about the idea of owning a home in the next five years. That’s a bold flex considering only 16% of us who’ve moved out are homeowners right now.

Why’s it so hard? First off, interest rates are wild. Even if we find a starter home in a city like Indianapolis (where homes for Gen Z hover around $200K), that mortgage payment with today’s rates is no joke. Add in student debt and high living costs, and owning a home feels like an expensive dream.

But Gen Z is scrappy. We’re looking for affordable cities like St. Louis, Cincinnati, or Indy to make homeownership possible. The plan? Skip overpriced metros like NYC and LA, save up, and buy where it makes sense. For us, the dream isn’t a mansion—it’s an affordable space that’s all our own.

20 Affordable Cities for Gen Z Homebuyers

If you’re dreaming of buying a home but don’t want to go broke doing it, don’t worry—we’ve got you covered. These 20 cities offer affordable housing, vibrant cultures, and opportunities perfect for Gen Z.

1. Indianapolis, IN – With homes averaging $200K, Indy is budget-friendly and full of Midwestern charm, with plenty of job opportunities.
2. Cincinnati, OH – A city known for its affordable housing and cool artsy neighborhoods, perfect for first-time buyers.
3. St. Louis, MO – Affordable home prices meet a growing foodie scene and vibrant city vibes.
4. Columbus, OH – A young, thriving city with low-cost homes and tons of career opportunities, especially in tech and education.
5. Kansas City, MO – Affordable living with a buzzing music scene, barbecue, and major sports culture.
6. Milwaukee, WI – Reasonable home prices paired with a growing job market and a trendy downtown scene make it a solid choice.
7. Louisville, KY – Known for its historic charm and affordable housing, this city has a laid-back vibe with a low cost of living.
8. Omaha, NE – A hidden gem with affordable homes, a strong job market, and a tight-knit community feel.
9. Des Moines, IA – Rising in popularity, this city offers affordable homes, a chill vibe, and great opportunities in finance and agriculture.
10. Tulsa, OK – Housing here is a steal, and the city is investing heavily in attracting young professionals.
11. Pittsburgh, PA – A mix of affordability, tech industry jobs, and a rich cultural scene makes it a great pick for Gen Z.
12. Buffalo, NY – Affordable housing and a resurgence of downtown hotspots make this city a smart option for first-time buyers.
13. Greenville, SC – With a growing economy and lower-than-average housing costs, Greenville has become a trendy Southern hotspot.
14. Grand Rapids, MI – Known for its craft beer scene, outdoor activities, and affordable housing market.
15. Boise, ID – Offering affordable homes and access to the outdoors, Boise is perfect for Gen Z nature lovers.
16. Chattanooga, TN – A scenic city with a growing tech industry and housing that won’t break the bank.
17. Little Rock, AR – Affordable housing, Southern charm, and a steadily growing job market make this city a sleeper hit.
18. Rochester, NY – A budget-friendly city with affordable homes and a growing arts and food scene.
19. Fargo, ND – Quiet yet modern, Fargo combines affordable living with a surprising amount of cultural and job opportunities.
20. Albuquerque, NM – A warm, sunny city with low-cost housing and a vibrant mix of Southwestern culture.

These cities prove you don’t need to break the bank to find a place to call your own. If you’re ready to take the leap into homeownership, these spots are all about affordability, opportunity, and living your best Gen Z life.

Barriers to Moving Out and Moving Up

It’s not just the money; it’s the vibes of the entire economy. We’re dealing with:

• High Interest Rates: Borrowing money to buy a house costs way more now.
• A Tight Housing Market: Good homes are hard to find, and competition is stiff.
• Student Loans: Even with repayment pauses, loans are eating into our budgets.
• High Rent Costs: Trying to save while renting? Nearly impossible in big cities.

These challenges make it harder to take that leap into independence. But if there’s one thing Gen Z is known for, it’s finding ways to beat the odds.

What's Next for Gen Z Housing?

So, where do we go from here? Things might look challenging now, but by 2035, Gen Z’s homeownership rate is projected to hit 33%, with an estimated 17 million of us stepping into the homeowner role. That’s a huge shift from where we are now, and it’s likely to happen as wages (hopefully) grow and the housing market (hopefully) calms down. Emphasis on hopefully—because let’s be real, the economy doesn’t always play fair.

For now, the strategy is about playing it smart. Whether we’re saving money while staying at home, renting in urban hotspots, or scouting affordable towns for future homeownership, Gen Z is reimagining what independence actually looks like. Gone are the days of a “one-size-fits-all” approach to adulthood—we’re not about checking boxes just because someone said we should.

Instead, we’re hustling, adapting, and carving out a path that works for us. Independence doesn’t always mean owning a house at 25 or moving out right after college. For Gen Z, it’s about making strategic moves—building financial stability and creating a version of success that feels authentic, not forced.

The housing journey might be tough, but trust us, we’re up for the challenge.

Closing Thoughts

Housing for Gen Z? It’s complicated. Some of us are still chilling at home, others are navigating the rental grind, and a brave few are making the leap into homeownership. But no matter where we’re at, we’re all figuring it out one step at a time.

The key? Stay flexible, focus on your goals, and don’t let outdated expectations rush you. Living at home isn’t failure, renting isn’t a waste, and buying a house isn’t impossible—it’s all about finding what works for you.

Keep saving, keep hustling, and keep dreaming big. You’ve got this.

Stay tuned to Woke Waves for more real talk on housing, finance, and everything Gen Z needs to know to thrive.

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