Class of 2025: Homeownership Delayed Until 2034

Neil Caron
May 12
2 min read

For many 2025 college graduates, the dream of homeownership may be a distant reality. According to a new MortgageResearch.com analysis, the average new graduate won’t be able to purchase a home until April 2034 — nearly a decade after collecting their diploma.

Why the Wait?

The delay stems from a combination of rising home prices, student loan debt, and modest starting salaries. Nationally, the average home price is $385,994, requiring a down payment of $38,599. However, the average student loan payment of $410 per month cuts potential savings significantly, pushing homeownership further out of reach.

State-by-State Breakdown

Homebuying timelines vary by state, with some areas offering quicker paths to homeownership:

West Virginia: 4.9 years — Homeownership by April 2030
Connecticut: 8 years — Homeownership by May 2033
California: 12.3 years — Homeownership by August 2037
Hawaii: 17.8 years — Homeownership by February 2043

Washington, D.C. presents the most challenging landscape, with the longest wait time of 13.5 years due to a high average student debt load of $54,795.

RSL Perspective

"At ReadySetLoan, we understand that student loan debt can feel like a roadblock to homeownership," says Neil Caron, CMG Mortgage Retail Sales Manager. "But there are ways to shorten the wait, including exploring 0% down loans, negotiating seller concessions, and utilizing down payment assistance programs."

Accelerating the Path to Homeownership

New grads can adopt several strategies to make homeownership attainable sooner:

0% Down Payment Loans: Programs like USDA and VA loans can eliminate the down payment requirement.
Low Down Payment Options: FHA and conventional loans may allow for as little as 3% down.
Cash Gifts for Down Payments: Graduation gifts can be used for down payments without a formal gift letter, provided certain criteria are met.
Negotiating Seller Concessions: Reducing upfront costs can bridge the gap for first-time buyers.