Predictions about Gen Z's income 'are wrong': Re/Max chair

Affordability continues to be a major headwind for Americans trying to enter the housing market. With interest rates and mortgage rates still high, what does it mean for younger homebuyers?

Re/Max (RMAX) Co-Founder and Chairman Dave Liniger joins Yahoo Finance for the latest edition of Real Estate: The New Reality to discuss his views on younger generations' ability to afford a home.

Liniger acknowledges, "housing affordability is a terrible challenge for everybody," making it difficult for younger generations to secure homeownership. With elevated rates compounded by an imbalance between supply and demand in the housing market, Liniger states that prices will continue to rise.

Regarding the spending power of Millennials, Liniger expresses that "predictions are wrong" and that this generation is "much thriftier" in their abilities to find savings opportunities and manage their debt.

However, Liniger suggests that individuals might have to settle for 6% mortgage rates, referring to it as "the mortgage rate of the future."

Catch more of Yahoo Finance's Real Estate: The New Reality coverage this week, or watch this full episode of here.

This post was written by Angel Smith