Is the American dream of owning a home over?

Housing Market Trends - The American dream of homeownership is declining due to rising costs [1] - Home prices are at record highs, and mortgage rates are at 15-year highs [1] - Insurance costs have increased almost 75% since 2010 due to climate disasters [2] - Qualifying for a typical mortgage required a household income of $127,000 last year, a 60% increase in just 4 years [2] - It is now cheaper to rent than to own in 49 of the 50 largest US cities [2] - There is a housing shortage of 5 million units, a result of the 2008 housing crash [2] Shifting Demographics and Preferences - First-time buyers only purchased 24% of homes last year [4] - A quarter of first-time buyers relied on parental support for down payments [4] - The average age of first-time buyers was a record high of 38 last year, up from 28 in 1991 [4] - Younger people may prefer spending on experiences like travel or education and prioritize mobility over homeownership [5] Financial Implications of Homeownership - Homeowners are traditionally 43 times wealthier than renters [3] - Homeownership is no longer a guaranteed way to store wealth due to fluctuating payments and potential losses [3] - Older homeowners may find it advantageous to sell now to capitalize on equity and avoid rising costs [5]