First-Time Homebuyers Are Now 40 on Average and Make Up Just 22% of Sales

The typical first-time homebuyer in America is now 40 years old, and first-time buyers make up barely one in five home purchases. Those are two of the headline findings in the National Association of Realtors’ 2026 Profile of Home Buyers and Sellers, NAR’s annual survey of people who bought a home to live in between July 2025 and June 2026.

The report, released November 5, offers the clearest picture yet of who is getting into homeownership and how they are paying for it. Its message for young families is sobering, but it also shows the strategies that are working.

The key numbers

First-time buyers: 22% of purchases, up slightly from a record-low 21% a year earlier. Before the 2008 housing crash, the share was about 40%, Mortgage Professional America reported.
Median first-time buyer age: 40, matching last year’s all-time high. It was 30 in 2010.
Repeat buyers: 78% of purchases, with a record median age of 62 and median household income of $127,000.
Median first-time down payment: 9%.
All-cash first-time buyers: a record 10%. Their median age was 54, compared with 38 for first-time buyers who took out a mortgage.

NAR surveyed 7,125 primary-residence buyers, with a margin of error of plus or minus 1.16 percentage points, according to MPA.

Where the down payment comes from

Most first-time buyers still lean on their own savings, but family money is playing a bigger role. According to MPA’s summary of the report:

62% used personal savings
30% tapped financial assets such as 401(k)s or stocks
25% got gifts or loans from family and friends
10% used an inheritance, a record

Among first-time buyers who paid all cash, 28% used an inheritance. NAR deputy chief economist Jessica Lautz called it the start of a “generational transfer of wealth,” MPA reported.

How buyers are making it work

The report shows families getting creative. Buying with roommates reached 5% of first-time buyers, a 45-year high, NAR said. Fourteen percent of all buyers purchased a multigenerational home, and the share of buyers with children who moved in with relatives partly to cut childcare costs rose from 11% to 16%. Among buyers who struggled to save, 17% named childcare as an obstacle, up from 14%.

Buyers also leaned on professionals: 90% used a real estate agent or broker, the highest share in four decades. Sellers stayed put longer than ever before selling, a median of 12 years, which helps explain why so few homes come up for sale. This week’s existing-home sales report showed sales at their lowest pace since 2010.

Why it matters for families

If you are hoping to buy your first home, the data suggest a few practical steps. This is general information, not financial advice; talk with a lender or housing counselor about your own situation.

Know that 20% down is not required. The median first-time buyer put down 9%. Ask lenders about loan programs and down payment assistance in your state.
Run the rent-versus-buy math. Zillow’s latest numbers on how much more buying costs than renting are a useful starting point.
Watch mortgage rates. Rates have eased for several weeks, as we reported in our latest mortgage rate update.
Talk as a family. Shared or multigenerational living is becoming more common. If it fits your family, it can lower costs for everyone.