Some young people are considering drastic measures just to own a home in this economy

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The American Dream has been to be able to own a home and start a family, but the Biden economy is making this dream a nightmare.

With high-interest rates and inflation, homeownership is just not in the cards for many young people today.

Now stories are starting to come out about the desperate steps young people are having to take to become homeowners thanks to Joe Biden’s abysmal economy.

Gen Z turning to friends to buy a home

A lot of people in the younger generations are looking for new ways to purchase a home in today’s extremely challenging market.

Some say that they are open to going in on a home loan with friends, even if those friends are not their spouse or partner, just so that homeownership is more affordable.

A dwindling housing supply, high prices, and high-interest rates have made homeownership more difficult to achieve in recent years. 

However, a new survey from Credit Karma found that owning a home is still a top priority for about 42% of Americans who currently don’t own one.

The survey also found that around 35%, or over one-third of aspiring homeowners, would be willing to split the purchase with someone other than their partner, like one friend or even a group of friends.

The number jumped to 59% among Gen Z respondents, indicating that many younger Americans are open to trying less traditional methods to be able to purchase a home.

Courtney Alev, a consumer financial advocate with Credit Karma, told FOX Business, “I think we’re just seeing young folks who maybe just feel that homeownership is absolutely not within their reach on one income, or maybe they’re partners looking for other ways to get in. There’s this new openness to other forms of ownership.”

She continued, “There are challenges or complications that might arise when you have several people going in on a property, of course, but I applaud the creativity and people looking for other ways to accomplish a goal.”

“The silver lining of a lot of hard things going on in this economy is the realization that there’s not one path. People can take different paths and buying with friends might be another way,” Alev added.

Young people are getting financially creative

A large percentage (35%) of younger homebuyers say they’re looking for ways to save money by cutting back on non-essential spending, like going out to eat or traveling. 

Other options include working more hours (28%), postponing other major purchases like a new vehicle (27%), or moving in with family members (16%).

The survey found that Gen Z respondents were the most open to moving in with family at 35%, and they also said they’re open to getting financial help from their parents just so they could buy a home.

Approximately 18% of survey respondents who have never owned a home said they planned to have their parents help them, and the figure jumped to 44% for Gen Z, much higher than the 16% for Millennials and 12% of Gen X respondents.

According to Alev, Americans who want to buy a home should be patient and start focusing on the things they can control to improve their financial health.

She said, “Also, as hard as it can be, try not to get discouraged by market conditions. Interest rates are high right now, they were pretty low a couple of years ago, they’ll probably go lower at some point, and they’ll probably get higher again at some point. There’s a lot of unpredictability – what’s most important is that you make that move when you’re ready.”

Informed American will keep you up-to-date on any developments to this ongoing story.