Millennials aren't buying homes at the same rate as previous generations, and homeownership rates for those under 35 have steadily declined since the early 2000s.
One reason for this shift: Young people today have different priorities.
According to a recent survey, 47 percent of young people between the ages of 18 and 34 would rather spend their money on traveling than buying a house. This holds true to an opinion millennial consumers have expressed for years: Experiences matter more than things.
A 2014 Eventbrite poll found that 78 percent of millennials would choose to spend money on a desirable event over a desirable purchase and 55 percent said that they're spending more on experiences than they ever have.
Millennials aren't spending our money on cars, TVs and watches. They are renting scooters and touring Vietnam, rocking out at music festivals, or hiking Machu Picchu.
Young people also prioritize small luxuries, such as restaurant meals, daily Starbucks runs and avocado toast. Forty-seven percent of respondents ages 18 to 34 said they'd prefer to rent over buy if it meant they could still afford such indulgences.
But although finances alone aren't the only thing holding young people back from home ownership, cost remains a major factor in whether or not they choose to buy.
Home prices keep rising while wages have remained largely flat. So, recent data from Apartment List shows, although 80 percent of millennials would like to purchase real estate at some point, very few young people are in a good position to buy.
While an indulgent vacation may set a millennial back a few thousand dollars, the cost of owning a house is vastly higher. A 20 percent down payment on a $200,000 home would cost $40,000 alone, before closing costs, maintenance and other the other expensive elements of home ownership even come into play.