The Conservative leader has called for a radical extension of Margaret Thatcher's flagship 'right-to-buy' housing policy.
In a keynote speech on Thursday, David Cameron said the former prime minister's policy should be expanded to include those previously "left behind".
He said the Tories were considering ways of offering millions of council tenants the opportunity to convert their rents into mortgage repayments.
"In this way we can create a whole new generation of homeowners, we can take that revolution all the way," vowed Cameron.
Addressing a conference of industry experts on the challenges facing first-time buyers, the Conservative leader stressed the need to help those struggling to get on to the first rung of the property ladder.
"It was once the dream of young people to pay off their mortgage, now it is simply being able to get a mortgage," he said.
Defending his plan, which he acknowledged would have disadvantages, the Tory chief added: "Millions of people would be able to own their own flat, own their home. Millions of people would have an asset for their lives.
"Millions of people would be able to pass property on to future generations.
"We will extend massively the whole housing market and home ownership. We will improve local neighbourhoods and communities."
Cameron argued that the county must now accept there is a problem in the housing market and that action must be taken.
An average deposit for a first home in the UK today stands at £24,000 compared to just £5,000 in 1997, he said.
Along with shadow housing minister Michael Gove, Cameron outlined a range of options including building more homes, involving local communities in development, creating a better sense of ownership and financing schemes regionally rather than locally.
"Home ownership is an asset in this country," he said. "I believe that the dream of a property owning democracy, one that this party has always had, is just as strong today.
"The 'right-to-buy' introduced by Margaret Thatcher gave over 2.5 million people the chance to buy their own home - this is something I want to work on."
Cameron will work on the plans to change rent into mortgage payments along with the Conservative Party's public services policy group.
"This is a big challenge for politicians but one we are determined to meet," he added.
