Elevated home prices and mortgage rates, along with sluggish rents, have made low-priced homes increasingly attractive to investors. Investors bought 18% of all homes that sold in the fourth quarter, up slightly from a year earlier. Overall, investor home purchases dropped 11% from a year earlier, though that’s the smallest decline since they began falling […]
Nationwide, investor purchases fell 30% year over year to the lowest third-quarter level in seven years, as rising mortgage rates, high home prices and a lackluster rental market made investing less attractive. Investor purchases of U.S. homes dropped 29.7% year over year in the third quarter to 48,667—the lowest level of any third quarter since
Investor Home Purchases Are Down Over 40% in Sun Belt Pandemic Boomtowns
The drop in investor purchases outpaced the 31% decline in overall home sales. Investor market share is down to 16% after hitting an all-time high of 20% in the first quarter of 2022. Investors are also making up a smaller share of the home-selling pie, with 8% of new listings owned by investors, down from
Real Estate Investors Pull Back, Buying 45% Fewer Homes Than a Year Ago
That outpaced a 41% drop in overall home purchases. Investors retreated as rising interest rates and falling home values shrank potential profits. Still, investors bought up 18% of homes that sold. That’s down from a peak of 20% a year earlier but is higher than pre-pandemic levels. Investors gravitated toward low-priced homes and condos; starter
Investor Home Purchases Fell a Record 49% Year Over Year in the First Quarter
The share is more than twice that high in Phoenix and Las Vegas, both pandemic boomtowns. Investors are selling at a loss as elevated mortgage rates curtail homebuyer demand. Roughly one of every seven (13.5%) U.S. homes sold by an investor in March sold for less than the investor bought it for. That’s comparable with
Investors Lost Money on 14% of Homes They Sold in March—Nearly the Highest Share Since 2016
Investor home purchases fell a record 46% year over year in the fourth quarter. Investors bought 18% of homes that sold, down from 19% a year earlier. Pandemic boomtowns Las Vegas and Phoenix saw investor purchases fall over 60%—more than all of the other metros Redfin analyzed. Investors pulled back from single-family homes more than
Investors Are Buying Roughly Half as Many Homes as They Were a Year Ago
Investors are pumping the brakes—especially in pandemic boomtowns including Phoenix and Las Vegas—as economic uncertainty and the prospect of falling home prices raise the risk of real estate investing. Investor home purchases fell 30.2% year over year nationwide in the third quarter, the largest decline since the Great Recession aside from the second quarter of
Investors scooped up more homes in the second quarter than before the pandemic, but purchases leveled off from their 2021 peak as investors reacted to the slowing housing market in different ways. Some took advantage of cooling competition and elevated rental demand, while others pressed pause in hopes of lower prices and more economic certainty
Investor Home Purchases Plateau But Remain Well Above Pre-Pandemic Levels
Surging borrowing costs and home prices prompted real estate investors to pump the brakes in the first quarter. Many are hoping prices will drop so they can get better deals. Still, investors bought a record 20% of homes sold in metros tracked by Redfin as a slowdown in homebuying nationwide allowed them to continue growing
Investor Home Purchases Slump 17% From Pandemic Peak as Interest Rates Rise
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