Expert analysis made easy. Breaking down the news with data, charts, and maps.
Edited by Brady Africk and Hannah Bowen
Happy Thursday! In today’s newsletter, we examine the challenges facing homebuyers in the current housing market, the decline of religion among young Americans, and the potential socioeconomic consequences of AI.
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Topline: In 1981, the median age of a first-time homebuyer was 29. Today it’s 40, and people in their 30s have a homeownership rate of only 42 percent. The Trump administration recently proposed a 50-year mortgage to address the challenge of buying and affording a home in the US, but AEI’s Howard Husock claims that a far broader and more comprehensive plan is needed to save the American Dream of homeownership.
Housing Trials: Husock argues that promoting shorter mortgages, such as a 20-year mortgage, would be more beneficial to potential buyers. These mortgages could be incentivized with a first-time-homebuyer tax credit, allowing homeowners to escape debt and put more money toward retirement, education, or children in the long run. On the supply side, changing zoning laws to encourage more housing construction and providing tax incentives to build on undeveloped state land are potential policy options to address the shortage of available houses.
The Future of Homeownership: President Trump’s 50-year mortgage proposal may only put Americans in debt longer, and his tariff policies could force building costs up for any housing. But other policy proposals, such as public housing, are also not likely to address the full challenges facing potential homebuyers. Instead, the administration should work toward policy that provides more individuals the opportunity to afford a mortgage while boosting the number of homes available.
"The decline in home ownership is a problem that must be addressed federally and locally. But the Trump administration can take the lead, with tax breaks and the encouragement of construction. The president can bring the dream alive again.”
Topline: After years of diminishing Christian identity across the US population, Bible sales, Christian music streaming, and app downloads in the category of religion and spirituality have all increased. The Pew Research Center recently showed a noticeable leveling off of Christian identity following a period of decline. However, AEI’s Daniel A. Cox warns that the continued exodus of young women from organized religion belies a supposed revival, while the increase of performative religious lifestyles online does not represent a true resurgence in religious identity.
All in Good Faith: Secular identity has plateaued among young men, but it continues to rise among young women. Today, 43 percent of young women identify as religiously unaffiliated—10 percent more than a decade ago. Additionally, 57 percent of young women said religion was somewhat or very important to them personally in 2024, but in 2007, that statistic was 82 percent.
Performative Spirituality: The rising popularity of Christian influencers—many of whom are young women—has not appeared to strengthen young women’s commitment to Christian identity. Although religious practices and Christian lifestyles appear to be gaining traction online, traditional places of worship and commitment to religious values and communities are likely to still decay.
"Religious identities and spiritual practices are easily adopted and just as easily discarded. With young adults mostly disinterested in joining traditional religious organizations and inherently mistrustful of their leadership, it’s possible that even as we see the emergence of invigorated public religiosity online, many of America’s places of worship will continue to decay and disappear.”
Topline: In a recent report, Goldman Sachs found that nearly 40 percent of its clients already use AI in their daily workflows—a rate that is expected to reach 50 percent next year. AEI’s James Pethokoukis suggests that despite warnings about a potential financial bubble, the early evidence of AI’s positive impact on productivity has merit, and the payoff of this new technology is just beginning to materialize.
Economic Efficiencies: Only a few firms have reduced their head count so far, and most firms hope to increase productivity and revenue with the steady influx of AI rather than cut jobs. Workers’ behavior points the same way. The Real-Time Population Survey finds that 55 percent of US adults now use generative AI, demonstrating faster adoption than that of the early PC or internet.
AI Optimism: AI-related stocks compose 44 percent of the S&P’s market value, and Big Tech threw $400 billion into data centers in 2025 alone. Such high levels of investment drive worries of an AI bubble and the risk of financial backlash, but examples from business provide concrete evidence that AI has improved efficiency and created new opportunities for productivity across social and financial institutions.
"That’s a big risk, of course, one the bubble-obsessed media can’t stop talking about. But there are also increasingly pervasive and persuasive signs that AI is shifting from lab novelty to genuine productivity engine—and that shift may arrive just in time to both justify investors’ faith and lift economic growth.”
