WASHINGTON – RealEstateRama – In a shift that underscores changing dynamics in the housing market, baby boomers now make up the largest generational group of home buyers, according to the National Association of Realtors®.
NAR’s 2025 Home Buyers and Sellers Generational Trends report, which examines the similarities and differences among recent home buyers and sellers across generations1, found that the combined share of younger boomers (ages 60–69) and older boomers (ages 70–78) rose to 42% of all home buyers in the past year. Millennials dropped to 29% of all buyers – down notably from 38% a year ago. Generation X buyers (ages 45–59) held steady at 24%.
“In a plot twist, baby boomers have overtaken millennials – the largest U.S. population – to become the top generation of home buyers,” said Jessica Lautz, NAR deputy chief economist and vice president of research. “What’s striking is that half of older boomers and two out of five younger boomers are purchasing homes entirely with cash, bypassing financing altogether.”
While older buyers were more likely to pay cash, younger generations were much more likely to rely on financing and family support. More than 90% of buyers 44 years and younger financed their home purchase. Twenty-seven percent of younger millennials (ages 26-34) and 13% of older millennials (ages 35-44) cited a gift from a relative or friend as one of the sources for their down payment.
The report revealed that 24% of recent home buyers were purchasing for the first time, a significant drop from 32% last year. First-time buying was most common among younger millennials (71%), while older millennials are now more likely to be repeat buyers.
“Older millennials are buying bigger and newer homes with larger down payments than their younger counterparts,” Lautz added. “This shift reflects the increasing role of equity in enabling repeat purchases, especially among older generations, while younger buyers continue to face affordability challenges.”
Generation X home buyers continued to lead all generations with a median household income of $130,000, followed by older millennials at $127,500.
Seventeen percent of all home buyers purchased a multigenerational home – up from 14% last year. Generation X led the way, with 21% choosing multigenerational living, followed by younger boomers at 15%.
“Gen Xers are today’s sandwich generation,” said Lautz. “They are purchasing multigenerational homes to accommodate aging relatives, children over the age of 18 and even for cost savings. While Gen X are purchasing at the highest household incomes, they may still feel the squeeze as they aim to find a home that serves everyone.”
Meanwhile, Generation Z – though still a small segment of the market (3% of all buyers) – had the highest share of single-female home buyers at 30%, and like millennials, they tend to purchase older homes compared to other age groups.
“Gen Z is slowly entering the housing market with the lowest household income and they’re more likely to be single than other buyers,” Lautz noted.
Nearly nine out of 10 buyers (88%) purchased their homes with the help of a real estate agent. Younger millennials (90%) were the most likely to use an agent. Referrals remain the primary method most buyers use to find their agent. Referrals by friends, neighbors or relatives were higher among younger millennials (54%) and older millennials (42%) compared to older generations, which were more likely to work with an agent they had previously used to buy or sell a home.
The overwhelming majority of buyers – 88% – said they would use their real estate agent again or recommend them to others. This sentiment was even stronger among Generation X buyers (91%) and those in the Silent Generation (93%), underscoring the enduring value of professional guidance across generations.
On the selling side, baby boomers again dominated, accounting for 53% of all sellers. Across all generations, sellers stayed in their homes for a median of 10 years. Younger millennials remained more mobile, typically selling after five years, while older boomers sold after 16 years.
Ninety percent of home sellers worked with a real estate agent, and homes typically sold for 100% of the final list price. Younger millennials were the most likely to use an agent (94%) and often saw the strongest returns – 27% sold their homes for 101% to 110% of the list price, and 13% sold for more than 110% of the list price.
Methodology
NAR mailed a 127-question survey to 167,750 recent home buyers in July 2024 using a random sample weighted to be representative of sales on a geographic basis. Home buyers had to have purchased a primary residence home between July 2023 and June 2024. The survey received 5,390 responses from primary residence buyers. After accounting for undeliverable questionnaires, the survey had an adjusted response rate of 3.2%.
About the National Association of Realtors®
As America’s largest trade association, the National Association of Realtors® is involved in all aspects of residential and commercial real estate. The term Realtor® is a registered collective membership mark that identifies a real estate professional who is a member of the National Association of Realtors® and subscribes to its strict Code of Ethics. For free consumer guides about navigating the homebuying and selling transaction processes – from written buyer agreements to negotiating compensation – visit facts.realtor.
1 Survey generational breakdowns: Generation Z: (ages 18-25); younger millennials (ages 26-34); older millennials (ages 35-44); Generation X (ages 45-59); younger boomers (ages 60-69); older boomers (ages 70-78); and the Silent Generation (ages 79-99).
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Media Contact: Spencer High
