Does owning a home for young people affect their employment?

The housing and unemployment problems faced by youth are the focus of social concern in China. Using data from the China General Social Survey (CGSS) from 2012 to 2021, this study employs a Probit model to elucidate the impact of homeownership on youth unemployment. The empirical results indicate a pronounced inhibitory effect of homeownership on voluntary unemployment among youth, but not on involuntary unemployment. Secondly, there are gender differences in the impact of homeownership on youth unemployment, with homeownership having a more significant impact on females. Finally, there are regional differences in the impact of homeownership on youth unemployment, with homeownership having a greater impact on youth in the western region. Based on the above empirical analysis, we recommend strengthening the planning and construction of low-cost, ownership-based secure housing. In addition, it is recommended that specific youth-specific policies be formulated, including down payment support and preferential credit terms, to alleviate the difficulties of youth in purchasing homes. In addition, it is recommended that employment guidance for young people should be strengthened, and that young people should be guided to establish a correct outlook on choosing a job and realize full employment with a positive employment mindset.