If you’ve been wondering how today’s real estate market is shaping up for home buyers and sellers, the National Association of REALTORS® 2025 Profile of Home Buyers and Sellers offers some fascinating insights. This annual report takes a deep dive into who’s buying homes, who’s selling them, and what motivates each side of the transaction. The findings paint a picture of a housing market still grappling with tight inventory, higher mortgage rates, and shifting priorities that are changing the way Americans move.

For both buyers and sellers in today’s market—especially here in coastal North Carolina—understanding these national trends can help you make more confident, informed decisions.

Home Buyers Are Older, More Experienced, and Less Likely to Be First-Timers

The share of first-time home buyers dropped to just 21%—the lowest level ever recorded in the survey’s history. That means nearly four out of five recent home buyers already owned a home before purchasing again. Rising home prices, limited inventory, and mortgage rates hovering near 7% made it tougher for younger buyers to break in, while older buyers with more equity had an easier time competing.

The median age of a first-time buyer is now 40, a big jump from the mid-30s just a decade ago. Meanwhile, the typical repeat buyer is 62, highlighting how much older generations dominate today’s housing market. Repeat buyers often come armed with substantial home equity, allowing many to make large down payments—or even pay all cash. In fact, about 30% of repeat buyers paid cash for their home, up from 24% the year before.

For home sellers, this is an important trend to keep in mind. The buyer touring your home today is less likely to be a young couple starting out and more likely to be an older homeowner looking to downsize, relocate for lifestyle reasons, or move closer to family. That shift changes what features and marketing messages resonate most strongly.

Fewer Buyers Have Children at Home

The percentage of buyers with children under 18 dropped to 24%, the lowest ever recorded. This means family-oriented features like school proximity and large play areas are becoming less of a universal selling point than they once were.

Instead, many buyers today are seeking homes that fit changing household structures—multi-generational living, home offices, and flexible spaces. Nearly one in five buyers purchased a multi-generational home, often to care for aging parents, save money, or accommodate adult children returning home. Homes with separate suites, first-floor bedrooms, or accessory dwelling units are increasingly in demand.

For sellers, this can be a big advantage if your property has adaptable spaces or private guest areas. Highlighting those features can help your home stand out in a market where buyers’ needs have evolved.

Buyers Are Choosing Neighborhoods for Lifestyle, Not Commute

Once upon a time, a short drive to work was a top priority. But according to the NAR report, convenience to friends and family now ranks higher than proximity to jobs. Nearly half of buyers said being close to loved ones was a key factor when choosing where to live. Quality of the neighborhood, access to amenities, and community feel also ranked high.

That’s good news for homeowners in areas like coastal North Carolina, where lifestyle often leads the decision. Whether it’s proximity to the beach, golf courses, or local restaurants, many buyers are prioritizing a sense of belonging and quality of life over commute times. Sellers who can tell a story about their neighborhood’s atmosphere—morning walks by the water, Friday night food trucks, or friendly neighbors—can connect emotionally with today’s lifestyle-driven buyers.

Down Payments and Financing: Cash Is King

With high home prices and mortgage rates, down payments have grown larger across the board. First-time buyers put down a median of 10%—the highest since the late 1980s—while repeat buyers put down about 23%. Personal savings were the top funding source, followed by sales of stocks, 401(k) withdrawals, or gifts from family members.

One of the most telling trends is the growing number of cash transactions. Roughly 30% of repeat buyers used cash, while some downsizing homeowners used proceeds from their previous sale to eliminate a mortgage altogether. In competitive markets, these buyers often have an edge over those requiring financing.

For sellers, this means a strong offer may not always be the highest one—it may be the one that offers certainty and a faster closing. Understanding the financial makeup of today’s buyers can help you weigh offers wisely.

Sellers Are Staying Put Longer

The median seller owned their home for 11 years before moving—also a record high. That’s up from just 6 years back in 2010. Higher mortgage rates have encouraged many homeowners to “lock in” their existing low rates rather than move, contributing to the nation’s inventory shortage.

Those who are selling are often doing so for major life reasons: retirement, relocation, or the desire to be near family. The typical seller is now 60 years old, and many have accumulated substantial equity. This gives them flexibility when shopping for their next home—whether that means downsizing, relocating to a new region, or buying a second property.

If you’re thinking about selling, this is a great reminder that you’re not alone in waiting for the “right moment.” As rates eventually ease, more long-time homeowners are expected to reenter the market, which could increase competition. Preparing early—by updating your home, consulting a real estate professional, and strategizing your pricing—can help you stand out when that happens.

Real Estate Agents Remain Essential

Despite the rise of online platforms, the vast majority of buyers and sellers still turn to real estate agents for help. A full 88% of buyers and 91% of sellers used a professional, the highest levels ever recorded. Only 5% of sellers went the For Sale By Owner route.

Buyers said their agents were most helpful in finding the right home, negotiating terms, and handling paperwork. Sellers praised their agents for pricing guidance, marketing expertise, and negotiating offers. In a market with fewer homes and more competition, having an experienced agent has become even more valuable—someone who can navigate complex conditions, price strategically, and market properties effectively.

What These Findings Mean for Today’s Buyers

If you’re hoping to buy in the current market, these numbers confirm what you probably already sense: competition is tight, and affordability remains a challenge. But knowledge is power. Working with a local agent who understands your area’s inventory and financing options can help you move quickly and make smart decisions. Be prepared for larger down payments, and don’t overlook the long-term benefits of buying—equity growth, stability, and the freedom to personalize your space.

What These Findings Mean for Today’s Sellers

For homeowners ready to sell, the data points to opportunity. Inventory remains tight nationwide, meaning well-priced and well-presented homes are still drawing strong interest. Older buyers and cash purchasers make up a larger share of the market, so targeting marketing toward lifestyle, convenience, and low-maintenance living can be a smart move.

And since most sellers have been in their homes for over a decade, equity levels are often substantial. That means more flexibility to cover closing costs, make pre-listing updates, or reinvest in a new property.

The Bottom Line

The 2025 NAR Profile of Home Buyers and Sellers reveals a market defined by experience, equity, and evolving priorities. Buyers are older, more financially established, and motivated by lifestyle over commute. Sellers are staying put longer but entering the market with strong equity positions. And across the board, real estate professionals remain the bridge between aspiration and achievement.

Whether you’re buying your first home or preparing to list a property you’ve loved for years, today’s housing market rewards those who plan ahead and stay informed. Understanding who’s active in the market—and what they value most—can make all the difference in achieving your real estate goals.