Cash's share of US home sales dropped in early 2026 as improving inventory levels the playing field
Cash purchases accounted for 31.4% of US home sales during the first four months of 2026, down from 32.3% a year earlier. Easing prices and growing inventory gave mortgage-reliant buyers more room to compete, according to a new Realtor.com report.
Total home sales fell 8.5% year over year in the period, but cash transactions declined at a faster pace, down 11.2%, signaling a shrinking pool of all-cash buyers rather than a market-wide contraction alone.
Nationally, median sale prices rose just 0.2% year over year, well below the 1.8% gain recorded in 2025 and far off the 15.4% peak reached in 2021.
"Cash buyers aren't disappearing; they're simply becoming less dominant as the housing market finds its footing," said Hannah Jones, senior economist at Realtor.com.
"More inventory and moderating prices are giving financed buyers more opportunities to compete. Cash still matters, but today its biggest advantage isn't just winning bidding wars. It's also giving sellers confidence that a deal will close quickly and with fewer surprises."
Read more: Home sellers’ profits slide as rates bite and cash buyers retreat
Where cash is holding and where it isn't
Not every market is moving in the same direction. Pittsburgh posted the largest increase in cash share among major metros, up 6.8 percentage points year over year.
Austin and San Francisco bucked the national trend with both cash share and transaction counts rising.
San Francisco's all-cash purchases climbed 7.7% year over year in a market where the median sale price exceeds $1 million, reflecting the purchasing power of technology workers buoyed by AI-sector wealth creation and equity-based compensation.
At the state level, Mississippi (47.2%), Montana (45.9%), New Mexico (43.8%), Missouri (42%), and Florida (41.3%) posted the highest cash shares, reflecting a mix of retiree activity, lifestyle buyers, and limited financing access.
On the other hand, high-cost job centers including Seattle (16.4%), Washington, D.C. (18.2%), and Denver (18.8%) showed the lowest cash shares — markets where borrowers overwhelmingly rely on mortgage financing.
Cash buyer share by metro: highest and lowest
All-cash purchases as a % of total home sales — January–April 2026
| # | Metro area | State | Cash share | |
|---|---|---|---|---|
| ▲ Highest cash buyer share | ||||
| 1 | Miami | FL | 43.2% | |
| 2 | Kansas City | MO | 38.9% | |
| 3 | Houston | TX | 38.8% | |
| 4 | San Antonio | TX | 38.7% | |
| 5 | St. Louis | MO | 37.5% | |
| National average (Jan–Apr 2026) | 31.4% | |||
| ▼ Lowest cash buyer share | ||||
| 1 | Seattle | WA | 16.4% | |
| 2 | Washington, D.C. | DC | 18.2% | |
| 3 | Denver | CO | 18.8% | |
| 4 | San Jose | CA | 20.2% | |
Source: Realtor.com®, Cash Sales Report, January–April 2026. Bar lengths for highest cash share metros are scaled relative to Miami (43.2% = 100%). Bar lengths for lowest cash share metros are scaled relative to the national average (31.4%).
* The Realtor.com report named four metros with the lowest cash share. A fifth lowest-share metro was not explicitly ranked in the source data.
A U-shaped pattern at the price extremes
The pullback in cash activity has not disrupted one persistent structural pattern: cash purchases remain heavily concentrated at both ends of the price spectrum.
More than two-thirds of homes sold below $100,000 were purchased outright during the first four months of 2026, driven largely by investor activity and credit barriers to financing.
At the luxury end, more than 40% of homes priced above $1 million, and a majority of those above $2 million, closed without a mortgage.
With down payments trending to multi-year lows as buyers lean on FHA and VA products, and with existing home sales declining, a less cash-dominated market could expand the competitive window for mortgage-reliant purchasers in the months ahead.
"Cash will remain an important part of housing, particularly at the high and low ends of the market, but a more diverse buyer pool is a positive sign for market activity," Jones said.
"When more buyers can compete using different paths to purchase, the market has the potential to become healthier and more balanced."
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