Will first-time homebuyers save California’s homeownership rate?

California's first-time homebuyers, mainly aged 25-34, face barriers like high student debt, rising mortgage rates, and expensive homes, limiting homeownership growth despite population increases. The state's homeownership rate dropped to 54.3% in 2026, below the 2006 peak. Employment challenges and debt hinder younger buyers, delaying homeownership to ages 30-45. Urban housing costs and zoning restrictions further restrict access, with homeownership expected to rise gradually post-recession around 2030.