Generational Wealth Fuels Record High Levels of Cash Sales Among First-Time Buyers

The share of first-time homebuyers paying all cash has climbed to record levels, fueled by generational wealth transfers, even as eroding affordability continues to push homeownership out of reach for many Americans.Between July 2025 and June 2026, 10% of rookie home shoppers paid all cash instead of relying on financing, marking the largest percentage on record, according to the annual Profile of Home Buyers and Sellers released by the National Association of Realtors® on Thursday.The data also reveals that all-cash buyers were roughly three times more likely than financed first-time buyers to have used an inheritance (28% vs. 9%).Across all first-time buyers—cash or financed—10% used an inheritance toward their home purchase, marking a new record and the fourth straight annual increase."The housing market is beginning to see a generational transfer of wealth. It’s not yet a tsunami, but it is changing who can buy a first home and when," says Jessica Lautz, NAR deputy chief economist and vice president of research. "Because people are living longer, the generation receiving that wealth isno longer young adults. Many are reaching middle age before they can buy their first home."In ...