Are current or first-time buyers responsible for summer's strong housing market?

  • The strong housing market we experienced this summer may have been driven more by current homeowners buying additional properties than first-time homebuyers.
  • The market share for current homebuyers surged in the summer while the first-time homebuyer share declined.
  • In addition, the investor share of home purchases has also fallen from 18.7 percent in March to 14.4 percent in August.

The strong housing market we experienced this summer may have been driven more by current homeowners buying additional properties than first-time homebuyers, the latest Campbell/Inside Mortgage Finance HousingPulse Tracking Survey suggests. But a recent report from the American Enterprise Institute (AEI) offers the conflicting view that first-time buyers have been gaining market share for several months.