National Association of Realtors report shows rising first-time buyer age and cash use

The share of first-time homebuyers rose slightly to 22% in the year ending June 2026, according to the National Association of Realtors (NAR) 2026 Profile of Home Buyers and Sellers. Despite this marginal increase from a previous record low of 21%, the median age for first-time buyers remains at an all-time high of 40.

A significant shift is occurring in how these buyers fund their purchases. A record 10% of first-time buyers paid in all cash. Among these all-cash buyers, 28% utilized an inheritance, compared to only 9% of those who financed their homes. The median age for all-cash first-time buyers was 54, while the median age for those using financing was 38.

Jessica Lautz, NAR deputy chief economist, noted that the housing market is experiencing a generational transfer of wealth. She observed that because people are living longer, the recipients of this wealth are often reaching middle age before they can afford a first home. Other primary sources for down payments include personal savings at 62% and financial assets, such as 401(k)s or stocks, at 30%.