Older Buyers Are Dominating the Market

Older Buyers Are Dominating the Market

First-time homebuyers now represent only 24% of the market, a historic low compared to 32% last year, according to the newly released 2024 Profile of Home Buyers and Sellers report. Additionally, the average age of homebuyers has reached an all-time high of 59, up from 49 in 2023. First-time buyers are now, on average, 38 years old (up from 35), while repeat buyers are averaging 61 years (up from 58). The report covers transactions from July 2023 to June 2024. Key insights include:

• 90% of sellers used a real estate agent (up from 89%)

• 17% of buyers purchased a multigenerational home (all-time high)

• Median down payment: First-time: 9%, Repeat: 23% (Overall 18%)

• 26% of buyers paid cash for their home (all-time high)

• Average seller age: 63 (all-time high)

Ralph’s Take

This year's data underscores the widening income gap between first-time and repeat buyers, with new buyers now needing significantly higher incomes to enter the market. As a result, older buyers are making up an increasingly larger share of the market. The baby boomer generation owns about 38% of the homes in America.