Honors Projects

Abstract

The average age of a first-time homebuyer in the United States was 38 years old in 2024. This is a significant increase compared to previous generations, who often achieved homeownership in their late twenties. This project examines structural, economic, and sociological barriers that prevent emerging adults, particularly recent college graduates, from entering the housing market. Through an analysis of national data from the National Association of Realtors, the U.S. Government Accountability Office, and Freddie Mac, this paper examines how inflation, limited housing inventory, stagnant wages, restrictive zoning policies, and increasing debt amounts have had disproportionate effects on young buyers. Regardless of the income that a young aspiring buyer brings in, there is a continuous struggle to save for a down payment and meet strict lending requirements.

Beyond identifying market challenges, this project also considers potential solutions. Most notably, the role of education is an attainable, individual-level intervention that can better prepare students for homeownership. As a practical application, this project includes the proposal of a financial readiness course for Bowling Green State University. By connecting macroeconomic analysis with educational solutions, this study aims to contribute to broader conversations around financial wellness as a whole.

Major

Finance

First Advisor

David Dewey

First Advisor Department

Marketing

Second Advisor

Andrea Schneider

Second Advisor Department

Economics

Publication Date

Winter 12-3-2025

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Real Estate Commons

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