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First-Time Buyers Reach Age 40 as Share Falls to Record Low, Fueling Housing Policy Clash

Analysts warn ultra‑long mortgages raise total costs even if monthly payments fall.

Overview

  • NAR’s 2025 profile reports the median first-time buyer is now 40 and first-timers account for about 21% of purchases, the lowest share on record.
  • National sale prices sit in the low‑to‑mid $400,000s this year, and multiple reports say wages have not kept pace, worsening affordability for younger households.
  • President Trump has endorsed exploring a 50‑year mortgage, but Realtor.com estimates a typical borrower would save roughly $250 a month yet pay nearly twice as much total interest compared with a 30‑year loan.
  • Coverage highlights supply‑side fixes and targeted aid—more building, zoning changes, and down‑payment programs—with local reports noting investor ownership and higher insurance and tax costs also squeezing buyers.
  • Methodology matters: NAR’s survey includes cash purchases, while New York Fed credit‑panel data yields lower average ages, leading researchers to caution against overreliance on any single series.