60% of Generation Z are "rent burdened" due to rising rental demand and housing shortage.

Nearly 60% of young adults, or Generation Z, are classified as "rent burdened," spending over 30% of their income on housing, according to Zillow's analysis of Census data. While this is a slight improvement compared to millennials a decade ago, the trend has worsened due to rising rental demand and a housing shortage that reached 4.5 million homes in 2022. The median age of first-time buyers has risen to 36, as many remain renters longer amid high prices.