America’s first-time homebuyer is now 40 years old. A shocking new report explains why

The typical first-time homebuyer in the United States is now 40 years old, a significant increase from the historical norm of around 30 years old observed from the early 1980s through 2021, according to a report by Realtor.com released on Thursday. This delay in homeownership is attributed to a lack of affordable housing, which is pricing young adults out of both rental and purchase markets. In 2025, a record 25.2 million adults under 35 were living with their parents, exceeding the pandemic-era peak. Approximately 70% of these individuals, aged 25 to 34, are employed but remain unable to afford independent housing. Hannah Jones, senior economist at Realtor.com, stated that first-time buyers are entering the market later, in smaller numbers, and facing greater challenges than previous generations. The report highlights that over a decade of underproduction in housing has exacerbated these issues. Since 2019, the median listing price for a home has risen by 34% to $430,000 nationwide, while the median asking rent has increased by nearly 18% to $1,673 in the same period. Jones suggests that while some young adults may be living with parents as a strategy to save for a down payment, for many, it serves as a necessary fallback rather than a proactive financial plan.