The Changing Face of Home Buyers and Sellers in 2025

Each year, the National Association of REALTORS® (NAR) releases its Profile of Home Buyers and Sellers, one of the most comprehensive looks at how Americans move, buy, and sell homes.

The latest report, reflecting data through mid-2025, tells a clear story: the landscape of real estate is shifting. Buyers and sellers today look a little different than they did just a few years ago—older, more financially prepared, and driven by new motivations.

Here are ten insights from this year’s study that shed light on what’s changing—and what that means for you if you’re planning to buy or sell in the year ahead.

1. Fewer First-Time Buyers

Only 21% of buyers were first-timers—the lowest share in the report’s history. Rising prices and limited inventory continue to challenge new entrants, making preparation and creative financing strategies more important than ever.

2. Buyers Are Older Than Ever

The median age of first-time buyers rose to 40, while repeat buyers now average 62. Life milestones are happening later, and many people are purchasing homes when they’re more established and financially secure.

3. Smaller Households, Different Priorities

Just 24% of buyers have children under 18, signaling a growing number of smaller or child-free households. Lifestyle, walkability, and proximity to friends and family are increasingly driving purchase decisions.

4. Cash Is King

Roughly one in four home purchases were made with all cash, the highest share on record. For sellers, that can mean faster, smoother closings. For buyers, it’s a reminder to strengthen financing early to stay competitive.

5. Down Payments Are Larger

Buyers across the board are putting more money down. This reflects years of savings, built-up equity, and a focus on securing better mortgage terms in a higher-rate environment.

6. Sellers Are Staying Put Longer

Homeowners are living in their homes for a median of 11 years before selling—up from just six to seven years a decade ago. Many are waiting for the right market moment or a major lifestyle change before making their next move.

7. Equity Is Power

With long-term ownership and steady appreciation, many sellers are entering the market with significant equity. That gives them more flexibility to downsize, relocate, or purchase investment property.

8. Expert Guidance Still Matters

Nearly nine in ten buyers worked with a real estate agent this year. Despite an abundance of online tools, professional guidance continues to be essential for navigating today’s complex, competitive market.

9. Sellers Value Full-Service Support

More than 90% of sellers used an agent to market and sell their home. Strategic pricing, staging, and targeted marketing remain key to achieving the strongest results.

10. Real Estate Is Still Deeply Personal

Behind every number is a story—of timing, opportunity, and change. Whether you’re entering the market for the first time or preparing to sell after years of ownership, understanding these trends helps you make decisions with confidence.

What This Means for Washington, DC

The national data of the changing face of home buyers and sellers echoes what we’re seeing locally: buyers and sellers are more intentional, more financially prepared, and more focused on lifestyle fit than ever before. The rise in age of the first time buyer also means a smaller pool of buyers, especially for entry homes and condos. Whether you’re planning to list your home or looking for your next one, understanding how these national shifts play out in our DC neighborhoods can give you a strategic edge.

If you’re curious how these trends align with your goals—or what they mean for your next move—let's schedule a time to talk about your specific situation.

Schedule a time to talk with me here.