Multi-generational homebuying nears an all-time high: NAR

Why buyers are purchasing multi-generational homes 

There are a number of reasons for the uptick in multi-generational home purchases, according to the report, including caring for aging parents or relatives, adult children or relatives moving back home, and to save on costs.

Cost-saving was a priority in particular for first-time buyers (28%), per the report. NAR attributed this, in large part, to needing multiple incomes to afford a home. About 26% of first-time homebuyers said saving for a downpayment was the most difficult step in their homebuying process.

Per the data in the report, 30% of first-time and repeat multi-generational homebuyers stated that the purchase decision was made in order to take care of or spend more time with aging family members.

The report also found that 78% of recent buyers financed their home purchases, a drop of about 9% from 2021, when 87% of buyers financed their homes. First-time home buyers also put down significantly less money on their home purchases, with an average of a 6% downpayment compared to 17% for repeat buyers.