Almost three out of five Americans believe AI will make homeownership even more unattainable

(SeaPRwire) –   The U.S. housing market is nothing like it was in the post-war period. At that time, the median home price was around $7,300, or roughly $101,000 when adjusted for inflation. Gen Z and Millennials are having an especially hard time making the purchase that’s seen as the core of the American dream. Last year, the median first-time homebuyer was 40 years old when they bought their home—up from their early 30s just a decade prior. Now, hopeful homebuyers are facing another harsh reality: an approaching AI-fueled “jobpocalypse” that could make homeownership even more unattainable—or wipe out the possibility entirely.

“I believe AI and the risk of AI-related layoffs are a big part of the economic anxiety that’s stopping people from committing to buying a home—even though purchasing one has become more affordable,” Daryl Fairweather, chief economist at Redfin, told .

A new survey of 4,000 U.S. adults conducted by Ipsos and commissioned by real estate brokerage Redfin found that almost 3 in 5 Americans (59%) believe AI will eliminate jobs and make buying a home even harder. Americans already have to deal with rising home prices, and now they also fear losing their jobs to AI—pushing the American dream even further out of reach.

The situation has grown critical for Gen Zers—so severe that many parents of young adults have stepped in to help with a down payment. With older generations holding the vast majority of wealth in the U.S. today, one way the Great Wealth Transfer is playing out is through parents assisting with housing costs and even prioritizing homeownership over college tuition, viewing it as a more transferable and tangible part of generational wealth.

AI’s impact on the housing market

Fairweather said negative attitudes toward AI could actually be contributing to hesitation in the housing market. While mortgage rates have been high over the past few years, she noted a recent dip should have led to more home sales—but that didn’t happen. She links this to economic anxiety driven by AI fears.

“People are really worried they’ll be the ones hurt by [AI],” she said. “I think it ties back to how other technological advances have been managed and how jobs that were once well-paying middle-class roles have been replaced by automation.”

This sentiment is consistent across political lines: About 63% of Democrats and 57% of Republicans agree that AI advances will eliminate jobs and make housing less affordable.

Still, many Americans believe AI will have the opposite effect. Thirty percent of survey respondents said advances in AI will help grow the U.S. economy—and therefore help more people afford homes.

While more business leaders are praising AI’s productivity potential, real-world results haven’t matched predictions of massive layoffs. This year, tech companies like Jack Dorsey’s Block and Australian-American firm Atlassian have blamed broad layoffs on AI. But a study released last month found that thousands of company executives haven’t yet seen any real impact from AI on employment or productivity.

“Some of these fears might be exaggerated because of all the talk about how transformative AI will be,” Fairweather said. “But that could just be hype.”