The mere hope of maybe becoming a homeowner someday is such a potent motivator that it affects how people work, consume and invest, but many Americans are writing off that dream, researchers said.

According to a paper published earlier this month from Northwestern University’s Seung Hyeong Lee and the University of Chicago’s Younggeun Yoo, younger generations are not just delaying homeownership—they are increasingly giving up on it.

That’s as the housing affordability crisis has put ownership out of reach for millions. The median house price was 5.81 times the median household income in 2022, up from a ratio of 4.52 in 2010 and 3.57 in 1984. And that doesn’t include related costs that have grown like insurance.

Once homeownership looks impossible, behavior shifts away from working towar

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