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Americans have become increasingly dissatisfied with the availability of “good, affordable housing” over the past few years, and it largely comes down to home prices, the latest Gallup survey has found.
Gallup surveyed residents in 38 wealthy countries that are part of the Organization for Economic Co-operation and Development, including the U.S., and determined that they have grown frustrated with their local housing conditions.
Headquartered in Paris, the OECD was founded in 1961 to foster economic progress and world trade. Besides the U.S., member countries include other major market economies such as Canada, France, and Germany.
According to the results of the new survey, only 36% of U.S. respondents said they were happy with the state of local housing last year, down from 39% in 2023.
Five years of data from Gallup reveal a steep decline in U.S. housing satisfaction since 2020, when 61% of survey takers reported being content.
The most dramatic decrease occurred during and immediately after the COVID-19 pandemic, when the satisfaction level plunged from 54% in 2021 to 40% the following year.
The U.S. is not alone in feeling down in the dumps about housing: Fellow member states of the OECD, including Australia and Portugal, have seen their residents’ satisfaction with local affordable housing nosedive.
Satisfaction with housing across all 38 OECD countries was 43% in 2024, while in the rest of the world it reached 50%.
(Gallup)
According to Gallup, people’s sentiments toward housing affordability have more to do with their perception than with reality.
“Despite falling satisfaction, most people in wealthy countries aren’t struggling to afford adequate shelter,” the Gallup report outlining the survey result states.
In 2024, just 11% of adults in OECD countries reported being unable to afford adequate housing in the past 12 months, compared with 38% in non-OECD members.
Simply put, while many people in the U.S. and other wealthy countries feel like they’re struggling with housing costs, only a small share of them are facing real hardship.
“In higher-income countries, people may feel dissatisfied not necessarily because they’re homeless or on the brink, but because they perceive a decline in housing relative to what they believe should be available—such as affordable rent, homeownership, or choice—even if shelter is technically secure for most,” says Gallup.
The survey has determined that housing satisfaction is closely tied to home prices across OECD countries, including the U.S.
As property prices have increased over the past few years, so did the proportion of Gallup respondents who said they were unhappy with the availability of affordable housing.
In April, the U.S. national median list price reached $431,250, virtually flat with last year, according to the latest available figures from Realtor.com®.
The 30-year fixed-rate mortgage rate stood at 6.81% as of April 24, signaling a return to last year’s elevated levels following a brief reprieve in March amid ongoing market volatility surrounding President Donald Trump’s tariff policies.
Homebuilders have warned that if Trump’s temporarily paused “reciprocal” levies on foreign imports, including vital construction materials, go into effect, they will add close to $11,000 to the cost of an average new home, further undermining affordability and inventory.
“Public perceptions of affordable housing are closely linked to leadership approval,” Gallup says. “In wealthy countries, parties hoping to win or retain power should not underestimate how important a good, affordable home is to a good life.”
Consumer confidence takes a beating
The results of the Gallup survey align with the latest Consumer Confidence Index data measuring Americans’ economic outlook, which plummeted to pandemic-era lows in April.
The index retreated by 7.9 points, to 86, its lowest level since May 2020, reported the Conference Board, the nonprofit research group that administers the Confidence Index.
Consumers signaled that they were less likely to buy a home due to tariff-related concerns. Additionally, nearly a third of respondents said they expect job opportunities to dry up in the next six months.
The Conference Board said this week that the index edged down across all age groups and political affiliations.
Overall, the Consumer Confidence Index has been on the decline for five straight months, and shed 19.3 points over the past three months, coinciding with the beginning of Trump’s second term in the White House. A 20-point decline is considered a warning sign of a recession.
Homeownership rate hits five-year low
Meanwhile, homeownership nationwide has fallen to 65.1% in the first three months of 2025, the lowest level since before the pandemic.
During the same period in 2024, the national homeownership rate was slightly higher, at 65.6%.
Younger homebuyers fared the worst of all the age groups, with homeownership rates among those under 35 decreasing to 36.6% due to persistent affordability challenges driven by scarce inventory in some regions and surging down payments.
Not surprisingly, equity-rich baby boomers in their 60s and 70s enjoyed the highest homeownership rate, which climbed to 79% in April.