What New Homeowners Really Want in 2025

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Published Date 3/10/2025

When it comes to buying your first home, it’s only logical to hope for a good-sized list of must-haves — things like spacious layouts, modern amenities, and decent-sized backyards. But when Realtor.com’s Allaire Conte spoke with both agents and house hunters, she found the responses were far simpler. “They just want a place to call their own,” she reports.

Eschewing their parents' basements or expensive rentals that offer no real amenities and no equity, they want a real home. “While affordability may be their top concern, first-time homebuyers are looking for more than a cheap price tag. They want a house that will save them money in the short and long term,” says Conte.

According to the National Association of Realtors, only 24% of homebuyers in 2024 purchased their first home — the lowest percentage on record. Having been stuck in a corner for much too long now, faced with higher and higher prices, higher and higher mortgage rates, and limited inventory, affordability is the primary concern of first-timers in 2025, according to Conte.

First-time homebuyers are prioritizing turnkey properties in 2025 because after spending their savings on down payments and closing costs, many simply can't afford renovations. Modern kitchens, updated bathrooms, and fresh finishes have become essential selling points for new buyers.

As millennials and Gen Z enter the market, energy-efficient features are increasingly important, according to Conte. They look for energy-efficient features like smart thermostats, LED lighting, and even solar panels to lower utility bills, in keeping with their eco-conscious mindset. Throw in high-efficiency windows, Energy Star appliances, and improved insulation, and you’ve got the idea.

Some of today’s first-timers are partnering with family members to purchase homes that accommodate multiple generations. In 2024, 17% of home sales were for multigenerational houses according to NAR data. As mortgage rates remain high and inventory tight, this trend is expected to continue, with first-time buyers joining forces with equity-rich relatives.

Conte suggests that while affordability remains the primary concern, first-time buyers need to look beyond the purchase price. "They'll look at the roof, but they do not always think to check the age of the AC unit, to go into the attic to check if the wood is good," warns a Nashville-based agent Conte spoke to. Thorough home inspections, understanding natural disaster risks, checking flood zones, and researching HOA obligations are essential steps before purchasing.

Realtor, TBWS

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