The number of first-time homebuyers in the United States reached a 20-year low in 2024, with only 1.1 million new buyers, nearly half the long-term average of 2.1 million annually from 2004 to 2024. This figure is also below the 1.9 million recorded in 2008. Factors contributing to this decline include high home prices, elevated borrowing costs, and limited housing supply. As a result, the number of American households renting has reached a record high of 46 million. Concurrently, real estate investors have increased their share of home purchases, acquiring nearly 27% of all homes sold in the first quarter of 2025. This trend reflects growing affordability challenges for traditional buyers, who are increasingly priced out of the market. The shift toward a renter-dominated housing market is especially pronounced in certain regions, including California, where financial barriers to homeownership remain particularly high.