In today’s world the rising cost of living has become a pressing issue for many Americans, especially Generation Z. As this generation enters the working world in the U.S. they are faced with a tough realization that the big salary they were hoping, for is not there. Which in turn can affect not only their ability to purchase a home, but can also affect their work performance.  Many older Americans may say this is how it was when they grew up. But I argue that the rising cost of living, and the shrinking middle class, has made it difficult for new home buyers in Generation Z to afford a reliable place to live, which can affect a person's quality of life.

Finding an affordable and comfortable place to live has become a challenge for new home buyers in Generation Z. This is due to the rising cost of living and the diminishing middle class. This issue is relevant in today's society where things like housing, groceries, and healthcare are on the rise. As a result many young adults in Generation Z are facing the challenge of feeling secure in a place they can call home. In the article, ‘Nothing Under $300K’: First Time Buyers are Priced Out of Starter Homes in the Triangle, written by Chantal Adam, interviewee George Linney says, “For many first-time buyers, ‘it’s just a real shell shock’…”. It also states that, “First-time buyers made up 26% of all buyers in 2022, down 34% from the previous year…’. This one simple statistic demonstrates the large impact that housing prices can have on new home buyers. They get scared away from the fact that housing, which is essential to have a stable life, is priced out of this world.  A reason for so many Generation Z home buyers avoiding buying a home could relate back to them not making as much money they should be. If we look at USA Today’s article on, Average salary in the U.S. in 2024, we see that the lowest earning age group is 16-24. While this is obvious because many aren’t far into their careers, this is the age range of grown up Generation Z. This little fact is crucial to proving that the average pay needs to increase. This is because the housing market has increased ten fold compared to the average salary in the past few years. 

In today's world, the impact of housing on Generation Z cannot be overlooked. The lack of reliable and comfortable homes due to the massive price increase, poses many challenges for young people. This affects their overall wellbeing, opportunities in day to day life, and work performance. In the article, Housing and Health, written by Braveman P, and others, expresses the importance of a good home when they stated, “Healthy homes promote good physical and mental health. Good health depends on having homes that are safe… poor quality and inadequate housing contributes to health problems…”. This article sums up only a few of the effects that poor housing can have on a person. The whole reason for buying a home is to have a place of your own. If that place is not to your standards or far below, it can have detrimental effects to you. The article also states that, “The shortage of affordable housing limits families’ and individuals’ choices about where they live…”. A key part of life is when you move on from your parents house and into a college dorm, that feeling of uncomfortably is one you will never forget.  When you come out of college and try to buy a nice home, that feeling will come back because you are limited by your income. That is why the increase of pay needs to be brought to everyone’s attention, if it doesn’t people will continue to struggle. 

Some people may argue that home prices are influenced by other factors than just interest rates. This could be location, demand, and supply. It could also be other things like land prices, construction costs, and government regulations. While this may be true, I believe it’s more important to address affordability concerns with new home buyers. People aren’t always looking for the best location, or top of the line housing. This is why factors of construction costs and supply aren’t important to every person. Thus, making many new factors insignificant to incoming home buyers. 

It’s clear that the rising cost of living is a significant concern for many Americans, especially Generation Z. The struggle to find affordable housing in nice neighborhoods not only impacts their ability to purchase a home but also affects their overall quality of life. As the cost of living continues to increase and the middle ground for home owners decreases, it becomes increasingly challenging for young adults in Generation Z to find a place to call home. This issue not only effects their financial well being, but also has led to poor work performance and overall stability at home. It’s crucial for society to address this issue to explore solutions that promote affordable housing options for Generation Z.

Works Cited 

Allam, Chantal. ‘Nothing under $300K’: First-time Buyers Priced out of Starter Homes in the Triangle. News & Observer, The (Raleigh, NC), 19 May 2023. Points of View Reference Source,search.ebscohost.com/login.aspx?

direct=true&db=pwh&AN=2W6181807212&site=pov-live. 

Braveman, P., et al. "Housing and Health." Robert Wood Johnson Foundation [Princeton, New Jersey], 1 May 2011, www.rwjf.org/en/insights/our-research/2011/05/housing-and-health.html#:~:text=Healthy%20homes%20promote%20good%20physical,harmful%20effects%20on%20childhood%20development. Accessed 30 Apr. 2024. 

Punjwani, Medhi, et al. "Average Salary in the U.S. in 2024." USA Today [Tysons Corner, Virginia], 3 Apr. 2024, www.usatoday.com/money/blueprint/business/hr-payroll/average-salary-us/. Accessed 2 Apr. 2024.