Genworth Mortgage Insurance has released its 2018 first-quarter report regarding first-time home purchasing patterns, comprising a review of the year’s beginning and including a perspective on the coming months.

Genworth’s chief economist Tian Liu concluded that the documented decline of 2 percent year over year in single-family purchases along with related statistics represents “a slowdown in cyclical momentum,” citing a shortage of homes at or below the median first-time $250,000 price point.

“We believe that the housing market is becoming overheated … It is becoming increasingly common to see multiple offers submitted on a property,” Liu said. He added, however, that the first quarter decline is little cause for doubt, stating that first-time homebuyers are expected to continue to represent the bulk of the mortgage market.

The report revealed that all-cash transactions increased 3 percent year over year; compared statistics for low vs. high down payments; and divulged that new single-family homes priced between $250,000 and $300,000 (higher than the median price) increased 17 percent year over year.

“To address the housing supply inadequacies, we call on policymakers to encourage production of new homes at lower price points by abstaining from regulations that restrict affordable housing (zoning), access to low-cost building supplies (tariffs and quotas), and labor supply (immigration)," Liu said.

Genworth Mortgage Insurance is a Richmond, Virginia-based operating segment of Genworth Financial Inc.