Highlights in Buying, Selling Among the Generations
Here are some additional findings from NAR’s report, breaking down some age differences in the housing market:
- Gen Xers (ages 45 to 59) have the highest household incomes of any generation at $130,000 in 2023, followed by older millennials (ages 35 to 44) with a median household income of $127,500.
- Millennials make up the highest share of first-time home buyers, comprising 71% of younger millennials (26 to 34) and 36% of older millennials (35 to 44).
- Single females remain a force in the housing market: 20% of recent buyers were single females compared to just 8% of single males. The highest percentage of single female buyers were among Gen Z (ages 18 to 25) at 30%. “Gen Z is slowly entering the housing market with the lowest household income and they’re more likely to be single than other buyers,” Lautz says.
- Gen Xers were the most likely to purchase a multigenerational home. Twenty-one percent of Gen Xers purchased a home to accommodate multiple age groups under one roof. The most likely reasons cited: cost savings, to take care of and spend time with aging parents, and because children over the age of 18 are living in the home. “Gen Xers are today’s sandwich generation,” Lautz says. “While Gen X are purchasing at the highest household incomes, they may still feel the squeeze as they aim to find a home that serves everyone.”
- Baby boomers, at about 30%, were the most likely age group to purchase a newly built home, driven out of desires to avoid renovations and home repairs and the ability to choose and customize design features.
- Nearly 20% of buyers over the age of 60 purchased senior-related housing, most commonly a detached single-family home, followed by a duplex or condo in a two- to four-unit building or a townhouse or row house.
- Younger generations, ages 44 and below, were the most likely to make compromises on their home purchase, such as regarding the price of home they bought, the home’s condition or size.
- Twenty-seven percent of younger millennials (ages 26–34) and 13% of older millennials (ages 35–44) cited a gift from a relative or friend as one of the sources for their down payment.
- Buyers 60 and older were the most likely to purchase a home the furthest distance from their current residence, moving a median of 35 miles.
