The dream of homeownership has been a major goal for many people across the country. And while people have all different kinds of reasons for wanting to own a home—building equity and having enough room to raise a family among them—a new report says that people in California are getting a later start than people in other places in the U.S.
The Public Policy Institute of California released its findings on Aug. 5, 2026, sharing that the majority of Californians don’t buy their first homes until they are in their 40s. And that’s not all the institute discovered about The Golden State.
According to the report, which was also shared by the New York Post, just a little more than half of the people in California even own homes. The report cites the high cost of homeownership as one of the possible explanations for this, since it states that many starter homes can go for as much as half a million dollars.
While this data is just a snapshot of what is happening in The Golden State, it really paints a clearer picture of barriers many people face when it comes to homeownership.
Californians Don’t Become Majority Homeowners Until Age 47
Can you imagine being almost 50 before you purchase your first home? According to the Public Policy Institute of California, that’s the reality for more than half of the people living in California. And that figure is relatively new, according to the findings, which noted that 15 years ago the average first-time homebuyer in the state was 39.
That number varies depending on the demographics you look at. White and Asian Californians tend to buy their first homes at a younger age, while Black and Latino Californians tend to have to wait longer.
Only 56 Percent of Californians Own a Home
While some residents may have to wait until they’re older before they get a chance to buy their first home, that dream is never realized for a large portion of people in the state. That’s because the state’s homeownership rate sits at just 56 percent. To put that in perspective, the national average is 66 percent.
But California doesn’t hold the title as the state with the lowest homeownership rate. Instead, that honor goes to New York, which has a rate of 54 percent.
This info spells trouble for more than California’s younger population, who may have to put other major milestones way ahead of buying a house. The New York Post notes that this statistic creates a hardship for retirees as well, since that means they are typically paying a mortgage into their 60s and 70s.
What Can Be Done to Help Homeowners
Buying your first home while you’re younger gives you more time to build equity, helping you to make a better investment for your future. While some legislators are working to come up with laws to help make it easier for hopeful homeowners to get into their first house, Kiplinger says there are a few things you can do on your own to improve your chances, like applying for down payment assistance.
Coming up with a down payment can be a major hurdle for many when you consider that the National Association of Realtors says that the median home price in the U.S. is $434,900, and most traditional lenders require you to put 20 percent down when you purchase a home (although first-time homebuyer loans can lower this significantly). That means you’d need to save up $86,980 to even get approved for a conventional mortgage, which is something that is just out of reach for so many.
Applying for down payment assistance can help you get some of that money together without having to wait until you’ve saved it all up on your own, speeding up your potential homeownership timeline. Of course, sometimes that can be easier said than done, which is why it’s important to partner with a trusted real estate professional who can help you navigate these types of programs and offers when you’re finally ready to start looking for a home of your own.