But with $15,000 in student loan debt to pay, it's hard to save enough for a downpayment, said Russell.
Tech and other high paying industries have had the same impact on home prices in many of the cities where young adults most prefer to live. Places like San Francisco, New York and Los Angeles are unaffordable to most residents seeking to buy a home, but even more so for those who have not hit their high earning years.
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Competition is so stiff in these markets that young buyers can't compete with older, deep-pocketed buyers who are often able to pay for homes in all-cash.
Thomas Bright of Richmond, Va., lost out on two purchases that way.
"When you are a first-time buyer, you aren't poised to compete with all-cash buyers," he said.
There is a ray of hope for young wanna be homeowners, said Fannie Mae's Deggendorf. "Mortgage lending is getting a little less tight, with lenders approving buyers with a little lower credit score and who have less of a downpayment," he said.
If that trend continues, young buyers just might be able to buy homes again.