Buying Age Climbs to 40 as Rent-to-Own Stalls
First-time U.S. homebuyers now average age 40, up from 29 in 1986, making the move from renting to owning slower for many households.
Updated on Nov. 2, 2026 in Residential
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Opendoor Technologies CEO Kaz Nejatian publicly challenged billionaire investor Mark Cuban's view on housing affordability, replying to a post in which Cuban compared 1980s rent with today's home prices. Nejatian acknowledged the rent comparison but argued that the path from renting to owning has become harder for many U.S. households.
Why it matters
Nejatian's argument centers on the rising age of first-time buyers, which has climbed from 29 in 1986 to 40 today, meaning many Americans are staying in rental housing far longer before they can buy. Pending U.S. home sales have also fallen to a record low, below levels seen in April 2020, signaling how constrained the purchase market has become for buyers.
The average age of first-time U.S. homebuyers has risen from 29 in 1986 to 40 today, an 11-year increase. Pending U.S. home sales have fallen to a record low, below levels seen in April 2020, when the pandemic first disrupted the market.
The players
Opendoor Technologies
An online home-buying and selling company that offers sellers a quick, cash-based alternative to traditional listings, with its stock (OPEN) trading below $2.
Kaz Nejatian
The chief executive of Opendoor Technologies, who argued that rising first-time buyer age makes the move from renting to owning harder for many households.
Mark Cuban
A billionaire investor and co-founder of Cost Plus Drugs, whose post compared decades-old rent with current home prices to make a point about affordability.
The details
Cuban's post compared a 1980s-era unit at the Village Apartments, shared six ways, with a 2026 price, placing each person's share at $400 on a time-adjusted basis for a $2,388 monthly rent. Nejatian's reply accepted the time-adjusted comparison but argued that the step from renting to owning now requires a larger down payment and savings runway, which is harder to accumulate when housing costs absorb more of a paycheck. Because buyers are entering the market at an older average age, the gap between renting and owning can widen over a working lifetime, affecting long-term wealth building for households that delay purchase.
Timeline
1986: Average first-time U.S. homebuyer age was 29.
April 2020: Pending U.S. home sales were at a level now surpassed by the current record low.
Monday, Nov. 2, 2026: OPEN stock traded up more than 1% overnight ahead of earnings.
Nov. 5, 2026: Opendoor reports its third-quarter earnings.
Money Landscape
The average first-time homebuyer age has climbed from 29 in 1986 to 40 today, marking a long-run shift in when Americans enter homeownership. The record-low pending sales figure places the current debate in a market where purchase activity has contracted well below pre-pandemic levels.
If you are renting and weighing a purchase, the age and affordability trends in this debate suggest that building a down payment fund may take longer than in past decades. Review your monthly rent against your savings rate, and consider speaking with a qualified financial professional about how your own timeline and budget fit a buying decision.
The takeaway
The key money insight is that the time it takes households to move from renting to owning has lengthened, which compounds the wealth-building gap over a career. Track upcoming housing and earnings releases, and weigh your own down-payment timeline with a qualified financial professional before making a decision.
What happens next
Opendoor reports its third-quarter earnings on Nov. 5, 2026, which may offer further commentary on its outlook and the housing market it serves.
Further reading
For more on the buying side of this debate, explore our Residential coverage.
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