Homebuyers

Baby Boomers Still Dominate Homebuying as Younger Generations Push Forward

Baby Boomers aren’t giving up their grip on the housing market.

The generation made up the largest share of homebuyers. Meanwhile first-time buyers, long seen as the lifeblood of the market, fell to a record low, according to the 2026 Home Buyers and Sellers Generational Trends report for the National Association of Realtors (NAR).

The report is based on a survey sent out to more than 6,100 buyers who purchased a primary home between July 2024 and June 2025.

Just 21% of buyers purchased their first home, down from 24% from last year’s report and marking the lowest share since NAR began tracking the data in 1981. That shift underscores a growing gap in today’s housing market.

“The housing market remains sharply divided between homeowners with equity and first-time buyers trying to break in, many of whom are younger millennials,” said Jessica Lautz, deputy chief economist at NAR in a statement.

Baby boomers are still calling the shots in the housing market

Baby Boomers made up 42% of all homebuyers in the NAR report’s timeframe, far outpacing younger generations. Millennials, once the dominant force, slipped to 26% of buyers, down from 29% from the previous period.

Gen X held relatively steady year-over-year at 25%, while Gen Z and the Silent Generation each accounted for just 4% of buyers.

The reason why Boomers continue to lead in market share is straightforward: The generation, born between 1946 and 1955, often have greater financial stability.

“Baby Boomers are at a point in life when they have the flexibility to move, often with housing equity to help purchase their next home,” said Lautz.

That equity gives them a major edge, especially in a market where overall affordability remains tight.

First-time homebuyers are getting squeezed out of the housing market

The drop in first-time buyers is one of the clearest signs of how challenging it has become to enter the housing market.

Younger millennials, born between 1990 and 1996, traditionally the largest group of first-time buyers, are feeling the pressure the most. About 60% were first-time buyers this year, down sharply from 71% last year.

Older millennials, born between 1981 and 1988, are also shifting away from first-time purchases. Just 33% bought their first home.

“For many younger households, affordability challenges and limited inventory are still making homeownership difficult to achieve,” said Lautz.

Older millennials are moving up, not starting out as first-time homebuyers

While younger buyers struggle to get into the housing market, older millennials are increasingly trading up.

This group had the highest median household income of any generation at $132,700 and bought the largest homes, with a median size of 2,100 square feet. They are also far less likely to be first-time buyers.

“Older millennial buyers are now entering middle age, and with that comes a shift,” said Lautz. “This cohort is now the highest-earning generation of homebuyers, buys the largest homes and is most likely to have children living with them.”

In other words, they are behaving more like Gen X buyers once did.

Multigenerational living is easing

Multigenerational homebuying dipped slightly, with 14% of buyers purchasing homes to accommodate multiple generations, down from 17% last year.

The reasons remain familiar: caring for aging parents, cutting costs, or making room for adult children moving back home.

Gen X buyers were the most likely to go this route, with 19% purchasing multigenerational homes, though that share also declined from last year.

Gen Z is small, but already changing the homebuying rules

The youngest buyers are still a small slice of the market, making up just 4% of homebuyers. But they are already standing out.

Among Gen Z buyers, 35% were single women, the highest share of any generation, and 17% were unmarried couples, also the highest.

“What stands out about Gen Z is how confidently they’re beginning to define homeownership for themselves,” said Lautz.

For many, buying a home is no longer tied to traditional milestones like marriage or starting a family.

Baby boomers are also dominating the home selling side

Baby Boomers are leading on the home selling side as well.

They made up 55% of all sellers, often leveraging years of home equity to make their next move.

Sellers across all generations typically stayed in their homes for about 11 years before listing, though timelines varied widely. Younger millennials tended to sell sooner, after about five years, while older Boomers stayed put for closer to 15 years.