Gen Z Homebuying Trends in Fargo-Moorhead: Why Many Stay with Parents

By Christopher Leigh
July 21, 2025, 11:30 AM CDT

In Fargo-Moorhead, where the housing market remains competitive, many Gen Z college graduates are choosing to live with their parents post-graduation. A recent Sallie Mae survey reveals that nearly half of recent grads nationwide stay with family, with unique trends emerging in our Red River Valley communities. Whether you’re in South Fargo’s Deer Creek or Moorhead’s Village Green, understanding these trends can guide first-time buyers toward homeownership. Vision Realty, located at 509 Front St, Hawley, MN 56549, explores why Gen Z stays home and how they can transition to owning a home in Fargo-Moorhead—contact us at (701) 715-4747 or visit visionrealty.us for expert guidance!

Gen Z Living Trends in Fargo-Moorhead

According to Sallie Mae, 64% of graduates within two years of college live with their parents, and 2% reside with other relatives. In Fargo-Moorhead, this trend is evident, driven by high housing costs and student loan debt. Only 7% of recent grads have purchased homes, while 8% rent solo, 8% rent with roommates, and 9% live with a partner.

Five years post-graduation, the numbers shift: 35% still live with family, but 20% own homes, particularly in affordable areas like Horace’s Cub Creek or West Fargo’s The Wilds. This suggests that while many Gen Zers start at home, homeownership becomes achievable with the right strategies.

Why Some Gen Z Grads Stay Home

The survey highlights a gender divide: 45% of male graduates in Fargo-Moorhead say they’re “not ready to move out,” compared to 28% of female graduates. Key reasons include:

• Job Location: 45% of grads who move out choose locations based on work, such as Fargo’s thriving downtown or Moorhead’s growing job market.

• Affordability: 40% prioritize cost, making neighborhoods like Prairie Meadows in Moorhead attractive for budget-conscious buyers.

• Family Proximity: 37% stay near relatives, common in tight-knit communities like Glyndon or Hawley.

• Quality of Life: 30% value Fargo-Moorhead’s safe neighborhoods, vibrant lifestyle, and access to amenities like West Acres Mall.

Homeownership and Perceived Success

Sallie Mae’s findings show that graduates who feel “very successful” are 3.5 times more likely to own a home within five years (27%) compared to those feeling neutral or unsuccessful (8%). In Fargo-Moorhead, challenges like limited inventory—partly due to homeowners aging in place—and student loan debt delay homeownership. PYMNTS Intelligence notes that Gen Z’s top goal is paying off debt, not buying a home, with 90% of Gen Z homeowners underestimating ownership costs, per Insurify.

However, Fargo-Moorhead offers opportunities for Gen Z buyers. Programs like USDA loans in Horace or FHA loans in Moorhead can ease the path to homeownership, while strategies like house hacking in multi-family properties in South Fargo can offset costs.

How Gen Z Can Transition to Homeownership

To move from living with parents to owning a home in Fargo-Moorhead:

• Explore Affordable Financing: USDA, FHA, or VA loans, available through local lenders, reduce down payment barriers.

• Consider House Hacking: Rent out part of a home in areas like Osgood to cover mortgage payments.

• Work with Experts: Vision Realty’s agents can identify budget-friendly homes in subdivisions like Southdale Farms or Golden Valley.

• Plan for Costs: Account for maintenance and taxes, especially in Fargo’s variable climate, to avoid financial surprises.

Start Your Homebuying Journey in Fargo-Moorhead

Gen Z buyers in Fargo-Moorhead can achieve homeownership with the right tools and guidance. Vision Realty’s team is here to help you navigate the market, from first-time buyer programs to finding the perfect home. Visit visionrealty.us for more tips. Broker: Christopher Leigh, GRI, RSPS, e-PRO. Equal Housing Opportunity provider—content for informational use only; consult professionals.