“A Gen Z entrepreneur’s journey to buying a starter home showcases innovative strategies like leveraging side hustles, co-buying, and targeting affordable markets. Despite high home prices and interest rates, financial literacy and unconventional approaches, such as house hacking, enabled this young buyer to navigate the challenging U.S. housing market successfully.”
A Gen Z Entrepreneur’s Path to Owning a Starter Home
In today’s U.S. housing market, where the median home price hovers around $412,300 according to the National Association of Realtors, achieving homeownership as a young adult is no small feat. For Generation Z, born between 1997 and 2012, the dream of owning a home often feels out of reach due to soaring prices, elevated interest rates, and limited inventory of affordable starter homes. Yet, one Gen Z entrepreneur’s story illustrates how determination, financial savvy, and unconventional strategies can turn this dream into reality.
Take Aaliyah Kissick, a 24-year-old financial literacy advocate from Springfield, Illinois, who bought her first home at age 20. Starting as a teen entrepreneur, Kissick opened a boutique in her mother’s garage at 17, scaling it into a business with two brick-and-mortar stores. Her entrepreneurial income was key, but she faced a common hurdle for young buyers: mortgage lenders were hesitant to approve her due to her age and lack of credit history. To overcome this, her mother took out the loan in her name, with Kissick’s name on the deed, and she covered the mortgage payments. Choosing an affordable market like Springfield, where median home prices are around $165,000 per Redfin, made the purchase feasible. Kissick now uses the property as a rental, generating passive income while living elsewhere with her husband.
This story highlights a broader trend among Gen Z homebuyers. According to a 2024 Redfin report, 27.8% of 24-year-old Gen Zers own homes, outpacing millennials (24.5%) and Gen X (23.5%) at the same age. Financial education plays a significant role. Having witnessed the 2008 recession’s impact on older generations, many Gen Zers prioritize learning about budgeting, credit, and investments early. Junior Achievement’s research shows that 68% of Gen Z alumni aged 18-29 are financially independent, compared to 30% of their peers, often due to early financial literacy training.
High home prices—up 32% since August 2020, per NAR data—and mortgage rates averaging 6.85% for a 30-year fixed loan, per Bankrate, pose challenges. To navigate these, Gen Z entrepreneurs like Kissick leverage side hustles. A 2024 HubSpot survey found that 20% of Gen Zers have a side business, with 51% being the first in their family to start one. These ventures, often fueled by the creator economy on platforms like TikTok, provide extra income for down payments, which can be as low as 3.5% for FHA loans with credit scores of 580 or higher, according to Rocket Mortgage.
Co-buying is another strategy gaining traction. A 2025 Bank of America report notes that 25% of Gen Z homeowners purchased with parents, and 22% with siblings, up from 12% in 2024. Pooling resources reduces financial strain, though it requires clear co-owner agreements to address maintenance and exit strategies, as 94% of co-buyers surveyed by CoBuy reported needing help with such terms. For entrepreneurs, this approach aligns with their collaborative mindset, often honed through digital networks.
House hacking, where buyers rent out part of their home to offset costs, is also popular. Zillow’s 2025 survey found that 51% of Gen Z homebuyers view house hacking positively, compared to 39% of all buyers. Justin Lopilato, a Gen Z buyer in Nashua, New Hampshire, used this strategy by purchasing a multi-family property. After moving to an affordable market where median prices are around $350,000, he lived in one unit and rented the others, covering most of his mortgage. This approach is particularly appealing in markets with cooling rental inflation, as Redfin notes a 6.6% rental vacancy rate in 2023, the highest since 2021.
Affordable markets are critical for Gen Z success. SmartAsset’s analysis highlights cities like Pittsburgh and St. Louis, where homes under $165,000 are more accessible. Over half of Gen Z buyers are willing to compromise on location or buy fixer-uppers, per a 2024 RE/MAX survey, with 57% open to homes needing repairs for a lower price. This flexibility allows entrepreneurs to enter the market despite earning a median income of $63,000, per NAR, far below the $80,000 Redfin estimates is needed for a median-priced starter home.
Gen Z’s entrepreneurial drive also shapes their approach. Unlike millennials, who often sought move-in-ready homes, Gen Zers are more open to renovations, per a 2022 report from The American Genius. Their digital fluency aids in researching properties and financing options online, with 90% using digital tools for home searches, according to NAR. Social media platforms also serve as inspiration, with influencers like Kristina Modares of Open House Austin promoting “Houses Before Spouses” and co-buying for young women.
Despite these successes, challenges persist. High student loan debt, averaging $37,000 per graduate, and low entry-level salaries make saving difficult. Bankrate’s 2023 survey found that 40% of non-homeowners struggle to save for down payments, requiring over $12,000 for a 3% down payment on a $405,000 home. Yet, Gen Z’s optimism shines through: 88% of teens surveyed by Junior Achievement in 2022 aspire to own a home, viewing it as part of the “good life,” even if 76% lack a full understanding of credit scores.
For Gen Z entrepreneurs, combining multiple income streams, strategic market choices, and creative financing like co-buying or house hacking can unlock homeownership. While the market remains tough, their adaptability and resourcefulness are rewriting the narrative, proving that the American Dream is still within reach for those willing to innovate.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Consult a financial advisor for personalized guidance. Information is sourced from publicly available data, including reports from Redfin, NAR, Bankrate, Zillow, and other cited studies.
