Print pageFor Immediate Release
March 24, 2025
Contact: Douglas Robinson
[email protected]
Nearly Half of Renters Don’t See Homeownership in their Future; Teaming with a Housing Counselor Could Help
Washington, DC – With mortgage interest rates stubbornly high and home prices continuing to increase, nearly half (48%) of renters in America don’t see it possible to become a homeowner, according to the latest housing poll from NeighborWorks America, a nonprofit affordable housing and comprehensive community development organization. Moreover, fewer than one-in-six (15%) renters see homeownership as very possible in their future, and just 26% of those surveyed say that it is somewhat possible to move into homeownership.
Pessimism about homeownership prospects varies across age groups or income cohorts. GenZ renters are the most optimistic, with 53% believing homeownership very or somewhat possible, compared to just 21% of Baby Boomers. Among the GenZ cohort, Black renters stand out with significantly higher optimism. The survey found 66% of Black GenZ renters think it very or somewhat possible to become a homeowner, compared to 38% of White GenZ and 54% of Hispanic GenZ.
With record home prices in many areas, it’s no surprise that renters with annual incomes above $100,000 per year are more likely to believe that homeownership is achievable. Fifty-eight percent of this group cited that homeownership is very or somewhat possible, compared to only 37% of renters earning $50,000 or less.
“The financial pressure on renters today is probably as strong as it’s been in a very long time,” said Marietta Rodriguez, NeighborWorks America President and CEO. “Nevertheless, I know that there are pathways to homeownership for renters. NeighborWorks organizations have helped thousands of individuals buy their first homes even in challenging economic conditions.”
The NeighborWorks network is comprised of housing focused nonprofit organizations in all 50 states, Puerto Rico and the District of Columbia. The organizations helped create more than 16,000 homebuyers last year, and more than 190,000 homebuyers in the past decade, many of whom thought homeownership was out of reach.
Housing Counseling as a Homeownership Pathway
More than 40% of renters in the NeighborWorks survey said that they had difficulty navigating the mortgage process.
“The homebuying process can be dizzying,” said Noelle Melton, vice president of Homeownership Programs at NeighborWorks America. “While there’s lots of sources of Information online and on social media, buying a home is usually the largest investment a person makes in their lifetime and for a decision this significant for their family and their future, working with an expert is the best move.”
When asked in the survey: What are the most important reasons you might have pursued buying a home in the past or in the future, 44% of renters said that their desire to own a home was to provide stability for their family. More than one out of four (29%) said an important reason they may have pursued buying a home in the past or in the future was to build equity, or in other words, wealth.
Housing counselors, including those in the NeighborWorks network, help renters identify the steps they need to take to make homeownership possible – and then guide them through the process. Housing counselors can help people improve their credit and connect them with downpayment assistance and affordable mortgage options.
Coming up with the down payment is frequently the largest obstacle for potential homebuyers, particularly when rent absorbs a large part of most consumers’ budget. Two-thirds (66%) of renters in the NeighborWorks survey strongly agreed or somewhat agreed with the statement “I’ve had difficulty saving for a down payment.”
One of the most important ways a housing counselor can help a homebuyer is to put them in touch with sources of down payment assistance, explained Melton. “In 2024, NeighborWorks housing counselors directly provided more than $73.6M in down payment assistance and facilitated an additional $112.3M in down payment assistance financing through other sources.”
There are more than 2,400 different down payment programs available across the country, but many prospective buyers are not aware of them or the availability of housing counseling assistance to them. More than half (51%) of those surveyed strongly or somewhat agreed with the statement, “There is a lack of loan assistance available to me.”
Housing counselors help bridge this gap. Kimberlee Petrey, Housing Services Manager at Kennebec Valley Community Action Program, Waterville, Maine notes that some customers are surprised when they learn about the $5,000 in down payment assistance they may qualify for from the hoMEworks program offered by the Maine State Housing Authority.
Housing counseling is so much more than most people think, said Nicole DiGeronimo, director of the Homeownership and Financial Counseling department of Avesta Housing, Portland, Maine, the largest nonprofit affordable housing provider in northern New England. “Our office and many housing counselors around the country support renters pursuing homeownership with financial planning, debt reduction counseling, and savings strategies,” DiGeronimo said. “This guidance helps them gain financial control, achieve mortgage readiness, and secure a meaningful pre-approval amount — key factors in successfully navigating the housing market.”
About NeighborWorks America
For more than 45 years, Neighborhood Reinvestment Corp., a national, nonpartisan nonprofit known as NeighborWorks America, has strived to make every community a place of opportunity. Our network of excellence includes nearly 250 nonprofits in every state, the District of Columbia, Puerto Rico, and on Native lands. NeighborWorks offers grant funding, peer exchange, technical assistance, evaluation tools and access to best-in-class training as the nation's leading trainer of housing and community development professionals. NeighborWorks network organizations provide residents in their communities with affordable homes, owned and rented; financial counseling and coaching; community building through resident engagement; and collaboration in the areas of health, employment and education.
