Key Discussion Points:

Generational Shift in Home Buying:In 2025, Baby Boomers (ages 60-78) constitute the largest cohort of U.S. home buyers at 42%, surpassing Millennials whose share dropped to 29% (from 38% the previous year). Generation X remained steady at 24%.

Younger boomers (60-69) represented 26% of recent buyers, and older boomers (70-78) 16%.

Reasons for Boomer purchases include the desire to be closer to friends and family, retirement, and the desire for a smaller home.

Younger boomers are more likely to buy in small towns, while older boomers prefer suburbs.

Baby Boomers also make up the largest share of home sellers at 53%. They are selling to move closer to loved ones or because their homes are too large.

Housing Market Trends in 2025:Supply is increasing, with total unsold inventory up significantly compared to the previous year. New listings are also higher.

Pending home sales are slightly above last year's pace.

Home price pressures are weakening, and the trend suggests prices could turn negative soon. The national average price increase is minimal, and some markets are already seeing price declines.

Rents on single-family houses have also turned negative year-over-year, aligning with the downward pressure on home prices.

The median price of pending home sales was around $395,000.

Monthly housing payments hit a record high in 2025, with the median monthly mortgage payment reaching $2,802 at a 6.65% mortgage rate for the four weeks ending March 30, 2025.

Mortgage rate stability around 6.6% may be helping to ease buyer concerns and support sales volume. However, significant decreases are not imminent.

Pending home sales saw a 2.0% uptick in February 2025, but regional performance varied. All four regions reported year-over-year declines in contract signings.

Impact of Economic Factors:President Trump's "Liberation Day" tariffs have the potential to impact the U.S. housing and mortgage markets. Following their commencement, mortgage rates saw a slight decrease, potentially increasing homebuyers' purchasing power while also amplifying economic uncertainty.

A slowing economy and potential consumer fears about recession, tariffs, and job security could offset any positive impact of lower mortgage rates on buyer demand.

March job growth came in stronger than expected, but this was before the full impact of the new tariffs and federal government layoffs.

Other Relevant Factors:The belief in "forever homes" is dwindling.

Brokerages are facing uncertainty following the Clear Cooperation decision.

New data suggests private listings offer "no benefits to sellers".

The US needs an estimated 40 million more low-cost homes, indicating a significant affordability issue.

The share of condos selling below list price hit a 5-year high in February 2025.

Real estate agents and brokers remain the top resource for home buyers and sellers across all generations.

Next Steps for Further Analysis:

Investigate the regional differences in home buying trends, particularly focusing on markets with significant shifts in generational activity.

Analyze the potential long-term effects of the tariffs on housing affordability and buyer sentiment.

Examine the relationship between mortgage rate stability and sales volume in the current economic climate.

Consider the implications of the growing housing supply and weakening price pressures for different segments of the market.

Research the reasons behind the decline in "forever home" beliefs and its potential impact on housing demand.

Evaluate the impact of the Clear Cooperation Policy changes on market dynamics.

This episode provides a crucial snapshot of the evolving real estate landscape in 2025, highlighting significant shifts and potential challenges for both buyers and sellers.