2024 Saw Lowest Percentage of Cash Purchases in Three Years, Redfin Finds

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Redfin, Seattle, reported that the percentage of U.S. home purchases made in cash fell to 32.6% in 2024, a three-year low.

In 2023, 35.1% of U.S. home purchases were made in cash.

However, all-cash sales still make up a bigger chunk of sales than pre-pandemic, when they tended to range from 25-30%.

Investors, who make up a significant portion of all-cash sales, bought fewer homes than they did during the past few years.

“The rate of all-cash sales remains high because when housing is expensive–like it is now–wealthier Americans who can afford to pay cash are more likely than lower-income Americans to be buying homes,” said Redfin Senior Economist Sheharyar Bokhari. “We are unlikely to see the share of all-cash purchases fall much lower in 2025, unless mortgage rates drop enough to drive a significant increase in sales.”

West Palm Beach, Fla., saw the highest share of cash homebuyers out of the metro areas Redfin analyzed, at 49.6%. No. 2 was Jacksonville, Fla., at 40.6%, followed by Cleveland, at 40%, Fort Lauderdale, Fla., at 38.9%, and Miami, at 38.1%.

The metro areas with lowest percentage of all-cash buyers were San Jose, Calif., at 18.1%, Oakland, Calif., at 18.6%, Seattle at 20.6%, Virginia Beach, Va., at 21.9% and Los Angeles at 22.2%.