Homeownership among young Americans essentially held steady year over year in 2024 amid elevated prices and mortgage rates, according to a report published Monday by Redfin (RDFN).

About 26% of adult Gen Zers owned their home last year, largely flat compared to 2023 and 2022, the real estate brokerage said. The homeownership figure among millennials was also unchanged year over year, at nearly 55%.

Sale prices and mortgage rates have rallied over the last few years, boosting housing costs amid low inventory, Redfin said. By spring last year, the monthly cost for a typical homebuyer hit an all-time high of roughly $2,800, according to its report.

In contrast, homeownership among older Americans edged higher. Some 72.9% of Gen Xers owned their home in 2024, up from 72% a year earlier, while baby boomers saw their homeownership rate rise to 79.6% from 78.8%, according to the brokerage.

"High housing costs are a bigger obstacle for young people than older people because they're less likely to already own a home, meaning they can't use equity to purchase their next house," Redfin said.

Tight housing supply, flat rentals, and economic uncertainty were among other reasons behind the stagnation in homeownership rates for young people, according to the brokerage.

"Some young people are placing less emphasis on owning their own home because they're prioritizing flexibility, while others continue renting because they can't afford to buy," Redfin Chief Economist Daryl Fairweather said. "Buying a home is still typically a good financial investment, but for young people who don't have the desire or means to do so, there are other viable investments that, unlike buying a home, don't require a huge down payment."