First-time homebuyers remain scarce, but a record share of them pay all cash
NPR · Jennifer Ludden ·
A new report finds generational wealth is widening the divide between homebuyers and those priced out. The median age of first-time buyers also remains at a record high.
The share of first-time homebuyers remains at a near-record low of 22% as a housing shortage and high prices sideline many, according to a new report by the National Association of Realtors. But those who are managing to buy are older and wealthier than in the past, and 1 in 10 paid all cash, a record high since such data was collected starting in 2003.
"Inheritances are really driving this," said Jessica Lautz, deputy chief economist at the NAR.
First-time buyers who paid all-cash were more likely than those who financed a house to use an inheritance (28%) or proceeds from the sale of an inherited property (21%). They were also older.