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The typical U.S. homebuyer is older, has a median household income of nearly $109,000 and relies on a real estate agent for their purchase, according to the latest report from the National Association of Realtors.
The 2024 Profile of Home Buyers and Sellers, an annual survey, analyzed transactions between July 2023 and June 2024.
The survey reveals a divided housing market: first-time buyers struggling to enter due to high prices and interest rates, and existing homeowners leveraging built-up equity to buy with cash. First-time buyers face challenges from high home prices, elevated mortgage rates, and limited inventory. Meanwhile, current homeowners more easily upgrade, using equity for cash buys or large down payments on dream homes.
The share of first-time home buyers dropped to a historic low of 24%, down from 32% last year. The average age of home buyers reached record highs: 56 overall (up from 49), 38 for first-time buyers (up from 35) and 61 for repeat buyers (up from 58). Sellers, too, were older, with a typical age of 63, the highest recorded.
Median household income for homebuyers rose in 2023 to $108,800, up from $107,000 in 2022. First-time buyers earned a median household income of $97,000, up from $95,900 the prior year and a $26,000 increase over two years. Repeat buyers saw a rise to $114,300, up from $111,700.
Married couples comprised 62% of all buyers, with single female buyers slightly rising to 20%. Conversely, the share of single males decreased to 8% and unmarried couples dropped to 6%. Notably, single female first-time buyers increased by 5%. A record 73% of buyers did not have children under 18 at home.
Seventeen percent of buyers purchased multigenerational homes, a high in the data series. Top reasons included cost savings (36%), caring for aging parents (25%), adult children moving back (21%) and children over 18 who never moved out (20%).
Median down payments reached 18% for all buyers, with 9% for first-time buyers and 23% for repeat buyers. These are the highest down payments recorded for first-time buyers since 1997 and for repeat buyers since 2003. Most first-time buyers relied on savings (69%), while 25% used loans or gifts from family and friends, 21% tapped financial assets and 7% used inheritances — a record high. Twenty-six percent of buyers paid cash.
Eighty-eight percent of homes were purchased through real estate agents or brokers, underscoring their essential role. Nearly 90% of buyers reported satisfaction with their agent's responsiveness, market knowledge, integrity and communication skills. Additionally, 88% of buyers would recommend their agent to others or use them again.
