Millennials Reclaim Position As Largest Group Of Home Buyers

It is the year of the millennial homebuyer! According to the National Association of Realtors’  Home Buyers and Sellers Generational Trends report, the combined share of millennials, both younger (ages 25-33) and older (ages 34-43), now make up a combined 38 percent of the home buying market. That’s up from 28 percent the year prior. 

Baby boomers, comprising both younger boomers (ages 59-68) and older boomers (ages 69-77), saw their share decrease from 39 percent to 31 percent, relinquishing their position as last year’s largest demographic of home buyers. Boomers, however, remain the largest generation of home sellers at 45 percent.

“The generational tug-of-war between millennials and baby boomers continued this year, with millennials rebounding to capture the largest share of home buyers,” said Dr. Jessica Lautz, NAR deputy chief economist and vice president of research. “This notable rise is attributed to both younger millennials stepping into homeownership for the first time and older millennials transitioning to larger homes that suit their evolving needs.”

The share of Generation Z buyers and sellers aged 18-24 made up just 3 percent of buyers and 2 percent of sellers, consistent with last year’s stats. This group is entering homeownership with the lowest household incomes, and its members are unlikely to be married yet, and are not likely to have children under the age of 18 in their home.

Generation X, ages 44-58 made up 4 percent of recent home buyers. This group remains one of the highest-earning home buyers, with a median income of $126,900 in 2023. With this extra income, buyers aged 44-58 purchased the second-largest homes at a median of 1,940 square feet.