Rent is eating up young San Antonians' income
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If you see an early 20-something out and about in San Antonio, buy them a meal. Better yet, just slip them some cash.
Driving the news: About 66% of San Antonio renters 24 and younger spend at least 30% of their income on rent, according to the latest Census Bureau data.
- And the stats don't look much better for adults 65 and older who don't own a home.
Why it matters: Steep house prices and high mortgage rates pose seemingly insurmountable hurdles to homeownership — and renting isn't necessarily an affordable alternative.
- Spending 30% of your income on rent is "the new normal," according to economists at Moody's Analytics.
Go deeper: 34% of Gen Zers surveyed by Freddie Mac say owning a home feels impossible in their lifetime, up from 27% in 2019.
- Saving for a down payment is the biggest obstacle. That's one reason the typical first-time homebuyer last year was age 36, the oldest ever, per the National Association of Realtors.
Yes, but: The vast majority of young renters aren't buying for lifestyle reasons, preferring the flexibility to move, RealPage chief economist Jay Parsons tells Axios.
Reality check: Older Americans on fixed incomes are especially burdened by high housing costs, contributing to rising homelessness among Baby Boomers, the Wall Street Journal reports.
The big picture: Across the U.S., pinched young people are fanning out from big cities, returning to their childhood bedrooms or moving in with partners.