Crypto to the Rescue: How Gen Z Can Beat Rising Home Prices

The Housing Crisis: Why Homeownership is Tough for Gen Z

Generation Z faces unprecedented barriers to homeownership. Median U.S. home prices have surged so dramatically that aspiring buyers now need six-figure incomes just to qualify for average homes. Making matters worse, high mortgage rates continue to squeeze potential buyers. Surveys show that in 2025, only 52% of Gen Z believe it’s a good year to buy a home, and a troubling 58% gave up buying in 2024 due to soaring prices and high interest rates.

Mortgage Rates and Hidden Costs for Gen Z

Interest rates directly impact monthly payments, pricing many young adults out of the market. Gen Z’s acceptance of mortgage rates has dropped from 6.3% to 5.8% within just a year. Additionally, nearly 90% of Gen Z homebuyers overlooked hidden costs like property taxes, surprising 37% significantly. Recent tax reforms aimed at property tax deductions largely benefit higher earners, leaving Gen Z further behind.

Older homeowners hesitant to sell due to capital gains taxes exacerbate inventory shortages, restricting Gen Z buyers even more.

Saving for a Down Payment: Crypto as the New Hope

With traditional saving methods falling short, more Gen Z buyers are turning to cryptocurrency. By 2025, 12% of homebuyers plan to use crypto for their down payments, doubling previous figures. Profits from digital assets such as Bitcoin, Ethereum, and XRP provide an innovative pathway to overcoming wage stagnation and escalating housing costs.

Mortgage Providers Embrace Crypto

Significant policy changes have made crypto a practical mainstream solution. In July 2025, the Federal Housing Finance Agency mandated that Fannie Mae and Freddie Mac accept Bitcoin and select cryptocurrencies as legitimate mortgage assets. Crypto holders no longer need to liquidate their assets—potentially avoiding unnecessary tax burdens and market volatility.

Mortgage lenders like Milo and Figure, along with giants like JPMorgan Chase, now accept various cryptocurrencies for credit and mortgage payments, notably XRP. Crypto stored in U.S.-regulated exchanges now officially counts towards mortgage applications.

Crypto: A Pathway to Ownership

Cryptocurrency’s growing legitimacy offers Gen Z:

• Store-of-Value: Digital assets like Bitcoin help disciplined savers rapidly build down payments.
• Mortgage Eligibility: Crypto assets now count directly towards mortgage qualifications.
• Expanding Ecosystem: Increased acceptance from major banks and lenders reduces barriers.

Though homeownership challenges persist, cryptocurrency presents a realistic bridge for Gen Z to achieve the American Dream. As acceptance grows, crypto might be the key that unlocks the door to homeownership.