In Wyoming, homebuyers under the age of 25 represent just 4.1% of all home purchase loans, highlighting a national trend where young adults face increasing barriers to homeownership, Wyoming News Now reports.
According to recent data from Construction Coverage, economic pressures such as high interest rates and elevated home prices are contributing to this low rate of young buyers. Nationwide, the percentage of loans for buyers under 25 stands only slightly higher at 5.0%.
The dynamics affecting young homebuyers are both generational and economic. While pandemic-driven factors intensified demand and drove up housing prices, broader shifts, like the growing number of baby boomers aging in place, have reduced housing availability. Compounding these trends, the millennial generation, America’s largest age group, is at a prime home-buying stage, further intensifying competition in the market. Zillow has estimated that the US currently needs 4.5 million additional homes to meet demand.
While the share of loans going to younger buyers has remained modest, recent figures show that loan conditions for this group in Wyoming include a median loan amount of $205,000, with an average interest rate of 6.375% and a median loan-to-value ratio of 86.7%. Nationally, young buyers have slightly lower median loan amounts and higher loan-to-value ratios, which indicate fewer assets or savings as down payments. Interest rates for young buyers across the US stand around 6.750%.
The US housing market has seen a decrease in home loan originations among young adults overall. Loan originations for those under 25 fell 5.1% from 2019 levels, yet this decline is relatively mild compared to older age groups, who have experienced a 22% drop in originations. Affordability continues to play a major role: the Midwest, where home prices are lower, has some of the highest shares of loans to young buyers, with Iowa leading at 11.9%. In contrast, high-cost states like California and Hawaii have the lowest percentages, at just 2.1% and 1.7%, respectively.
