Here in NY at least you only need 3% down for a government backed mortgage. I put 20% down on mine to avoid extra insurance and got a regular mortgage but I can say there are alot of young people around here that waste money paying rent and then wasting alot of money on other stupid crap such as cable TV (I have it but can afford it now) and not willing to go through the extra effort to get it done.JIiigz - You seem very hung up on home ownership. Are you homeless?
If you do have a house, where did you get the funds for the massive down-payment needed, you have detailed above?
My banker (a millennial) and his wife ate peanut butter jelly sandwiches for dinner and live a bare bones life, with time he was able to afford the house he wanted...now he drives 80k$$$ cars.