{"id":187381,"date":"2026-03-31T07:06:50","date_gmt":"2026-03-31T13:06:50","guid":{"rendered":"https:\/\/www.biggerpockets.com\/blog\/?p=187381"},"modified":"2026-03-31T07:06:54","modified_gmt":"2026-03-31T13:06:54","slug":"what-the-forever-renter-era-means-for-landlords","status":"publish","type":"post","link":"https:\/\/www.biggerpockets.com\/blog\/what-the-forever-renter-era-means-for-landlords","title":{"rendered":"What the “Forever Renter” Era Means For Landlords"},"content":{"rendered":"

It feels like every other headline you read about homeownership goes something like: \u201cIs the American dream dead?\u201d<\/span><\/p>\n

Click-baity as apocalyptic headlines are, plenty of strong data support the argument that homeownership is slipping out of many Americans\u2019 hands. And that has implications for us as real estate investors\u2014including people like me who rent their home while also investing in other people\u2019s housing.\u00a0<\/span><\/p>\n

The Data on \u201cForever Renters\u201d<\/span><\/h2>\n

A 2025 study by the <\/span>National Association of Realtors<\/span><\/a> found that the median age of first-time homebuyers reached an all-time high of 40. As my father told me when I turned 40, “You’re now middle-aged.\u201d<\/span><\/p>\n

The data doesn\u2019t get any rosier from there. The same report found that first-time homebuyers make up just 21% of home purchases, a record low. The median age for repeat homebuyers is 62.\u00a0<\/span><\/p>\n

Consider another study entitled \u201c<\/span>Giving Up<\/span><\/a>\u201d by Northwestern University\u2019s Seung Hyeong Lee and the University of Chicago\u2019s Younggeun Yoo. They found that Gen Z \u201cwill reach retirement with a homeownership rate roughly 9.6 percentage points lower than that of their parents’ generation.\u201d\u00a0<\/span><\/p>\n

The study also cites a Harris Poll survey revealing that 42% of Americans and 46% of Gen Z respondents agreed with the statement: \u201cNo matter how hard I work, I will never be able to afford a home I really love.\u201d<\/span><\/p>\n

Yikes.<\/span><\/p>\n

Implications for Investors<\/span><\/h2>\n

If this pattern continues <\/span>playing out<\/span>, it could affect real estate investors in the following ways.<\/span><\/p>\n

An older, more stable tenant pool<\/span><\/h3>\n

Historically, a huge percentage of renters have been young adults ranging from college students to thirtysomethings. They\u2019ve aimed to buy a home before \u201csettling down\u201d with either marriage or kids. In 1991, the average first-time homebuyer was <\/span>just 28 years old<\/span><\/a>.\u00a0<\/span><\/p>\n

As Americans wait longer to buy homes\u2014or just rent their whole lives\u2014<\/span>that means that<\/span> landlords get to rent to older, more stable tenants. That means:<\/span><\/p>\n