Each year, the National Association of REALTORS® releases its Profile of Home Buyers and Sellers—a detailed look at who’s buying, who’s selling, and what’s changing in the real estate landscape. The 2025 report, based on transactions between July 2024 and June 2025, paints a fascinating picture of a market defined by limited inventory, elevated mortgage rates, and shifting demographics.
The First-Time Buyer Drought
First-time home buyers made up just 21% of all purchases. The lowest level ever recorded since NAR began tracking in 1981. Historically, first-timers have represented about 40% of buyers.
Why the drop? High interest rates averaging 6.69%, rising home prices, and affordability challenges have made it harder for new buyers to enter the market. The median age of a first-time buyer jumped to 40 years old, up from the late 20s in the 1980s.
Those who managed to buy did so largely through personal savings (59%) or financial assets (26%), instead of family gifts or loans that were once common.
The Rise of the Repeat Buyer
In contrast, repeat buyers are thriving. The median age of repeat buyers reached an all-time high of 62, and 30% purchased their homes in cash. Most are motivated by lifestyle changes—especially the desire to be closer to friends and family.
They also have more equity than ever, allowing for median down payments of 23%, the highest since 2003.
What Buyers Want Now
Neighborhood priorities have evolved. Quality of the neighborhood remains top at 59%, followed by convenience to friends and family (47%). Meanwhile, proximity to work has fallen to 31%, reflecting new hybrid and remote work trends even as return-to-office policies have re-emerged.
Buyers are also overwhelmingly relying on agents: 88% purchased through a REALTOR® or broker, mainly for help finding the right home and negotiating terms.
Sellers Still Lean on the Pros
On the selling side, 91% of sellers worked with a REALTOR®, while FSBO transactions hit an all-time low of just 5%. Sellers continue to prioritize marketing exposure, competitive pricing, and timing their sale effectively.
The Big Picture
Despite affordability challenges, 92% of buyers say they’re satisfied with their experience. Homeownership remains a cornerstone of financial stability and personal fulfillment. The data shows a market that’s adapting leaning on expertise, equity, and connection more than ever before.
If you’re planning your next move, whether buying your first home, trading up, or investing understanding these shifts is key. Our team specializes in helping clients navigate today’s evolving market with confidence and clarity.
— Brandy Loebker & The Coffey Group powered by Lucido Global