The National Association of REALTORS released its Generational Trends Report on Apr. 1, revealing that baby boomers now make up the largest share of home buyers, while first-time buyers are at a historic low.
This shift in the housing market is significant because it highlights growing barriers for younger and first-time buyers, which could have long-term effects on access to homeownership and wealth-building opportunities.
According to the report, baby boomers account for 42% of all home purchases, maintaining their position as the top generational group among buyers. In contrast, only 21% of purchases were made by first-time buyers—the lowest figure since tracking began in 1981. The report describes a market “sharply divided between homeowners with equity and first-time buyers trying to break in.”
Millennials now represent just 26% of all buyers. Within this group, older millennials tend to have higher incomes—around $132,000—and are more likely to purchase larger homes or move up in the market. Younger millennials remain the largest share among first-time buyers but are participating less each year.
First-time purchasers face limited housing inventory, rising prices, difficulties saving for down payments, and competition from cash-rich repeat buyers. As a result, new homeowners are entering the market later than before.
Baby boomers’ continued dominance is not due to income but rather accumulated equity and flexibility after years of owning homes. Many use this advantage to downsize or relocate closer to family or healthcare services.
These trends point toward a constrained housing market where supply shortages and affordability challenges limit entry points for new owners rather than reduced demand.
Despite these obstacles, consumers continue turning to real estate agents: “88% of buyers used a real estate agent; 91% would use their agent again or recommend them,” according to the report.
The Cincinnati Area Board of Realtors operates as a professional trade organization for real estate professionals according to its official website. The organization provides advocacy on legislative matters according to its official website, offers education and networking opportunities according to its official website, extends operations across Greater Cincinnati and Northern Kentucky according to its official website, engages in community initiatives according to its official website, and delivers professional development through courses along with legal resources according to its official website.
The report concludes that expanding homeownership opportunities will require policy changes addressing supply constraints and affordability issues at local levels.