Who’s Controlling the Housing Market in 2024?
A Generational Power Shift You Shouldn’t Ignore
If you’ve been wondering who’s really in control of the housing market right now, the answer might surprise you. While some generations dominate in volume, others are gaining influence due to how they manage—or escape—debt. Understanding how each generation is shaping real estate today is key whether you’re buying, renting, investing, selling, or hiring a property manager. And as a trusted local expert serving Central Virginia across Lynchburg and surrounding counties, I’ve broken it all down for you.
One note: DTI stands for Debt-To-Income ratio. You obtain this number by dividing your debt by your income. While usually done on a monthly payment formula, for the purposes of this research we’re diving total debt by annual income.
🧠 Gen Z
A Sleeping Giant (3% of the Market)
Ages: 18–28
2024 Median Income: $46,000
Average Debt: $21,000
DTI: 46%
Gen Z may only account for 3% of the market today, but they’re laying the groundwork for long-term dominance. With the lowest debt-to-income ratio of any generation, they’re proving that power in real estate doesn’t come from flashy paychecks—it comes from smart financial decisions.
Many are rejecting traditional debt traps like overpriced college degrees, embracing trade work, and finding creative entry points into real estate like house-hacking or co-investing. If they maintain their low DTI and financial discipline, Gen Z could eventually overpower Millennials and Gen X in both ownership and investment.
🧓 Silent Generation
Fading But Not Forgotten (4% of the Market)
Ages: 80+
2024 Median Income: $44,000
Average Debt: $41,000
DTI: 93%
While small in market share, the Silent Generation still owns some of the most valuable real estate in America—often paid off and sitting in prime locations. They’re typically legacy sellers, passing down homes or cashing out long-term investments. But their influence is waning. With limited buying activity and rising cost for healthcare and long-term care, they now play more of a behind-the-scenes role.
Still, for savvy buyers and investors, Silent Gen properties often represent well-maintained homes with serious equity—a strategic opportunity for those paying attention.
👨👩👧 Gen X
High Income, Higher Risk (24% of the Market)
Ages: 45–60
2024 Median Income: $92,000
Average Debt: $167,000
DTI: 182%
With the highest income among all generations, Gen X seems well-positioned—but their debt-to-income ratio is the highest, too. Many are juggling multiple mortgages, car loans, credit cards, and educational expenses for their kids, while also caring for aging parents.
They’re deeply involved in the market, especially as sellers and upgraders, but their heavy debt burdens limit flexibility. If Gen X hopes to keep up with shifting market trends or pursue investment opportunities, reducing debt is the only path forward.
🧑💼 Millennials
The Stretched Majority Among Younger Buyers (28% of the Market)
Ages: 29–44
2024 Median Income: $85,000
Average Debt: $145,000
DTI: 171%
Millennials make up the largest portion of the under-60 housing market. They’re a driving force behind first-time purchases, move-up sales, and they now own the highest number of investment properties among younger generations. But they’re doing it all under heavy financial strain.
This group is trying to build equity while paying down debt, often on tight budgets. But the real takeaway? If Millennials want to increase their influence in the market, they’ll need to shift focus from just owning property to owning it wisely—leveraging equity, lowering debt, and thinking long-term with short-term reality restrictions.
🏡 Baby Boomers
Still Holding the Crown (41% of the Market)
Ages: 61–79
2024 Median Income: $66,000
Average Debt: $97,000
DTI: 147%
Baby Boomers make up only about 20% of the U.S. adult population, but they account for a staggering 41% of real estate activity nationwide. That outsized influence comes from decades of equity-building, higher homeownership rates, and a tendency to purchase properties in cash today, often outbidding younger buyers who rely on financing.
Most Boomers bought their first homes with 30-year fixed-rate mortgages—not because rates were low, but because longer terms kept payments manageable. Their average interest rate was around 10.9%, making today’s 6.37% average FHA rate seem far less daunting by comparison. Even under steep borrowing costs, Boomers who are winning today built long-term equity, refinanced strategically without extending or deepening their debt, and eventually paid off their homes (which they sell to pay cash on their forever-home).
As President Lincoln once said, “I am a slow walker, but I never walk back.” That same steady, forward motion defined the Boomer approach to homeownership—and it’s one reason they’re still steering the market today. Today, Boomers have less debt, more paid-off properties, and a generational advantage that allows them to control inventory, pricing, and competition—especially in cash-dominant markets. Their ability to act quickly and decisively is a big reason they still lead the market.
🛠 What This Means for You
If you’re thinking about buying, selling, investing, or even renting—understanding where you fit in this generational mix gives you an edge of self-reflection. And partnering with someone who can help you navigate the market based on your financial goals—not just your age group—is how you win. Ask this: what is my real estate plan? It should involve 3, 5, 10, 20, 30, and 50 year goals.
As a trusted Realtor across Lynchburg, Amherst, Bedford, Campbell, and surrounding counties, I help buyers, renters, sellers, and investors move strategically—not emotionally. And I keep your long-term financial well-being front and center, because the strongest move in any market is to build wealth in peace.
Nathan Haefer
📍 Serving Amherst, Bedford, Campbell, Lynchburg, Appomattox, Pittsylvania, Nelson, Buckingham, Halifax, Charlotte & Prince Edward
📞 434-944-6982
📧 nathan@haeferhomes.com
🌐 haeferhomes.com
Nathan isn’t your average realtor. He brings a unique blend of experience, values, and genuine care to your real estate journey, making it more than just a transaction. He guides clients with integrity, compassion, and a deep understanding of the Lynchburg community. As a realtor, financial coach, and family man, he sees you as more than a client and helps you achieve your long-term goals. Reach out today for a free consultation. Download his free app today by clicking here.