The median age of homes purchased in the U.S. reached a record 36 years last year, up from 27 years in 2012. The shift underscores a growing reliance on aging housing stock as new construction lags and the housing market lacks affordability, according to a new report from real estate brokerage Redfin.
The trend underscores the importance of understanding evolving homebuyer preferences and the financial implications of purchasing older homes: buyers may get a lower sticker with an older home, but face additional costs related to repairs, maintenance, and energy inefficiency, which could affect their borrowing capacity and loan terms.
At the same time, it creates a great opportunity for originators to focus on renovation products such as 203(k) loans.
Varies Across The U.S.
The older homes trend is particularly pronounced in certain regions. In Buffalo, N.Y., for instance, the median age of homes bought in 2024 was 69 years — the oldest among the 100 most populous metros Redfin analyzed. On the flipside, Provo, Utah had the youngest median at just six years.
Affordability, as noted, is a key driver here. Older homes (30+ years) sold for a median of $323,000 in 2024, 15% less than the overall median home price. However, the price gap between older and newer homes is narrowing. In 2012, newer homes less than five years old commanded a 77.9% premium over older ones; by 2024, that premium had shrunk to 31.6%.
That narrowing gap is attributed to several factors:
- Builders are focusing on smaller, more affordable homes such as townhouses, which now comprise nearly 20% of new housing — a record high;
- New construction is increasingly concentrated in traditionally affordable regions like the Sun Belt and Mountain West, where demand is softening; and
- Prices in older metros, particularly in the East Coast and Rust Belt, are rising due to strong demand for limited inventory.
"America’s housing stock is getting older by the year, and it’s not because buyers prefer vintage homes — it’s because we haven’t built enough new ones," Redfin Senior Economist Sheharyar Bokhari pointed out.
The trend toward older home purchases reflects larger, continuing challenges in the U.S. housing market, including a persistent shortage of new construction and affordability constraints that are driving buyer behavior.
