First Time Buyers: 27 Percent of Residential Buyers

Approximately 27 percent of REALTOR® respondents reported that their last sale in December was by a first time home buyer [1] (28 percent in November). REALTORS® continued to report about the difficulty of home buyers in accessing credit and that first time buyers who generally use mortgage financing are finding it hard to compete against investors who typically pay cash. About 21 percent of respondents reported a sale to an investor. See the December REALTORS® Confidence Index Survey report for more information..

[1] First time buyers account for about 40 percent of all homebuyers based on data from NAR’s Profile of Home Buyers and Sellers.

Jed Smith, Managing Director, Quantitative Research

Jed Smith is Managing Director, Quantitative Research with the National Association of Realtors®. He has worked on real estate issues for the past 20 years, providing input on a variety of housing, commercial real estate, tax, and planning issues. Recently he has been involved in several international studies.

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