First-time homebuyers accounted for 21% of all home purchases in Texas in 2025, holding near the all-time low of 20% recorded a year earlier, according to the 2026 Texas Homebuyers and Sellers Report released by Texas Realtors.
The report also shows that Texas buyers are getting older. The median age of homebuyers remained at 58 in 2025, matching the all-time high set in 2024 and approaching the national record of 59. By comparison, the median age of U.S. buyers was 31 in 1981.
“Today’s first-time buyers were not in the housing market during the pandemic years of low mortgage rates and quick home value increases, which may leave some of them feeling a step behind,” said Jennifer Wauhob, chairman of Texas Realtors. “Meanwhile, homeowners who built up some equity may be able to sell and make a substantial down payment on another home.”
Cash purchases reached a record share of the market. In 2025, 30% of homes in Texas were bought entirely with cash, more than double the 14% recorded in 2017.
On the selling side, pricing adjustments were common. Nearly three-quarters of sellers (74%) reduced their asking price two or more times before closing, a 53-percentage-point increase from the previous year. Another 18% of sellers lowered their price once.
Wauhob noted that market expectations may be out of sync as conditions shift. Nationally, homeowners are staying in their homes longer before selling, with the average tenure reaching 11 years, even as listings have increased in recent periods.
Despite these dynamics, satisfaction levels remained high. Among Texas respondents, 93% of buyers and 91% of sellers reported being satisfied with the transaction process. Agent loyalty was also strong, with 90% of buyers and 87% of sellers saying they would likely work with the same agent again.
The report is based on Texas-specific responses to the National Association of Realtors’ Profile of Homebuyers and Sellers survey, covering transactions completed between July 2024 and June 2025. Texas Realtors represents more than 145,000 members across the state’s real estate industry.
What It Means For LOs
The report underscores a continued squeeze on traditional, financed purchase volume, particularly among first-time buyers. With entry-level borrowers making up a shrinking share of the market and cash purchases reaching record levels, competition for financeable deals remains intense. At the same time, the rise in repeat buyers with accumulated equity suggests greater opportunity in move-up transactions, where larger down payments and stronger borrower profiles may help get deals done despite higher rates.
