NAR data showed a market split between equity-rich owners and shut-out newcomers
Baby boomers again held the upper hand in the US housing market, making up 42% of buyers while first-time purchasers slipped to a record-low 21%, according to the National Association of Realtors’ 2026 Home Buyers and Sellers Generational Trends report.
The findings landed as 30‑year mortgage rates largely hovered above 6% over the past year, reshaping who could afford to transact.
The study covered Gen Z buyers (roughly ages 18 to mid‑20s), millennials (late‑20s to early‑40s), Gen X (mid‑40s to late‑50s), baby boomers (late‑50s to mid‑70s) and the Silent Generation (late‑70s and older).
Boomers and older millennials drove the market
Across generations, baby boomers also accounted for 55% of all home sellers and typically stayed put for 15 years before moving, compared with a median 11 years overall. Many of those sellers brought substantial equity to their next purchase.
“The housing market remains sharply divided between homeowners with equity and first-time buyers trying to break in—many of whom are younger Millennials,” NAR deputy chief economist Jessica Lautz said.
“For many younger households, affordability challenges and limited inventory are still making homeownership difficult to achieve.”
Older millennials emerged as classic move‑up buyers. They posted the highest median household income at $132,700, bought the largest homes at a 2,100‑square‑foot median and were far less likely to be first‑time purchasers than their younger peers.
“Older Millennial buyers are now entering middle age, and with that came a shift,” Lautz said. “This cohort is now the highest‑earning generation of home buyers, buys the largest homes and is most likely to have children living with them.”
Younger buyers felt the affordability squeeze
First-time buyers’ 21% share marked the lowest level since NAR began tracking the data in 1981, well below the long‑run norm around 40%.
Mortgage professionals already described the strain on younger clients. “The millennial buyer had more ongoing monthly expenses than previous generations … that ate into the affordability of housing,” Mark Worthington of Churchill Mortgage told Mortgage Professional America.
Student debt, high rents and still‑elevated mortgage rates added further drag. Freddie Mac data showed the average 30‑year fixed rate stuck above 6% since late 2022, limiting what first-timers could borrow even as some prices softened.
Gen Z and multigenerational buyers reshaped norms
Gen Z remained a small slice of purchasers at 4% but stood out in composition: 35% were single women and 17% were unmarried couples, both the highest shares of any generation.
Multigenerational purchases slipped to 14% of all deals but stayed elevated by historical standards as households sought cost savings and caregiving solutions.
“What stood out about Gen Z is how confidently they are beginning to define homeownership for themselves,” Lautz said.
“For many of these buyers, marriage and children are no longer the defining milestones before a home purchase.”
Even in this bifurcated market, 88% of buyers and 91% of sellers relied on real estate agents, with most saying they would work with the same professional again.
The report was based on a 120‑question mail survey sent to more than 170,000 recent buyers and 6,103 responses from primary‑residence purchasers between July 2024 and June 2025.
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