Why First-Time Homebuyers Are Now 40 — Utah Real Estate Update 2025

 

According to the National Association of REALTORS® (NAR), the median age of first-time homebuyers in the United States is now 40 years old, the highest ever recorded. This shift is also shaping the Utah real estate market, where affordability challenges and limited starter-home inventory are pushing many buyers to wait longer before purchasing their first home.

Why buyers are older in 2025:

• Utah home prices remain elevated

• Mortgage rates in the mid–6% range

• Low housing turnover

• Limited entry-level homes across Utah

• Higher rent and living costs delaying savings

Impact on Utah buyers:

• More buyers turning to condos, townhomes, and outer-city Utah communities

• Down-payment assistance programs becoming essential

• Equity building starts later, making smart home choices even more important

Impact on Utah sellers:

• Fewer buyers in their 20s and early 30s

• Well-priced starter homes still sell quickly in Salt Lake County, Utah County, Davis County, and surrounding Utah areas

Bottom line: Utah remains one of the most in-demand housing markets in the West, but the path to first-time homeownership is shifting. With the median age rising to 40, Utah buyers and sellers in 2025 need to understand how this change affects demand, pricing, and opportunities across the Utah real estate market.