Dive Brief:

• A years-long decline in home purchases by first-time buyers is keeping the housing recovery from “reaching its full potential,” the National Association of Realtors said this week.

• First-time buyers accounted for 33% of home sales, according to the group's 2014 Profile of Home Buyers and Sellers. That’s 5% lower than a year ago, and the lowest share since 1987.

• The survey also revealed that “an overwhelming majority” of house hunters search for homes online before enlisting the help of a real estate agent.

Dive Insight:

Young, would-be first-time homebuyers are staying out of the market because high rents, student loan payments and poor job prospects make it difficult for them to save a down payment. Still, NAR's chief economist said stronger job growth, higher wages and an easier mortgage-approval process would lead to more home sales to first timers.