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Real Estate Investors Dominate Home Purchases

According to the latest Investor Pulse™ Report from BatchData, real estate investors are making significant waves in the housing market. In the third quarter of 2025, these investors accounted for over 34% of all single-family residential property purchases. This marks the highest percentage observed in five years, encompassing an increase from 33% in the previous quarter and an impressive rise from 25.5% in Q3 2024. Currently, investors hold approximately 18% of the nation's total of 86 million single-family homes.

Market Dynamics and Trends

A deeper look reveals some intriguing insights regarding the dynamics of home purchases. Despite the uptick in the percentage of homes bought by investors, the actual number of properties acquired fell short by 23,000 compared to a year ago. BatchData Co-Founder and President, Ivo Draginov, noted, “While the percentage of homes purchased by investors rose, the actual volume decline indicates that traditional homeowners may be stepping back, rather than investors actively expanding.” This trend hints at a potential shift in market conditions where traditional factors influencing homeowner participation might be at play.

The Profile of Investors

Investor activity continues to be led by small-scale entities. Nearly 92% of the inventory of investor-owned single-family homes belongs to those owning between one and five properties. In stark contrast, institutional investors, who own over 1,000 properties, comprise a mere 2% of the market. Furthermore, this segment is demonstrating a retreat, having sold more properties (5,798) than they have purchased (4,663) for the seventh consecutive quarter. This ongoing trend raises questions about the viability of institutional investments in the current real estate climate.

Regional Concentrations

A geographical breakdown of investor-owned properties reveals that five states—Texas, California, Florida, North Carolina, and Georgia—number among those with the highest concentrations of investor-owned homes, accounting for about one-third of the total market. Texas holds the top spot with approximately 1.4 million investor-owned homes, followed closely by California with 1.2 million and Florida with 1 million. Interestingly, while these states boast larger populations, investor ownership in traditionally favorable regions like North Carolina (25%), Georgia (19%), and Texas (18.2%) has outperformed the national average.
Additionally, tourist-heavy locales such as Wyoming (30.9%), Maine (29.76%), and Montana (26.78%) have also shown substantial investor interest.

Insights from Metro Markets

Among the top 100 U.S. metropolitan areas, it’s reported that investors own at least 18% of single-family homes, with the Southeastern U.S. emerging as a primary target region. Cities like Asheville, NC lead in investor concentration with 30%, followed by Las Vegas and Memphis, each at 26%. Furthermore, institutional investors are notably active in Jacksonville and Atlanta, registering 2.67% and 2.63% ownership, respectively.

Conclusion

As the landscape of real estate investment continues to evolve, these developments prompt further examination of market strategies and investor behaviors. The shifts observed suggest that traditional homeowners may need to reassess their approaches in light of the heightened investor presence. Understanding these trends not only provides valuable insights for policymakers but also equips real estate professionals with the knowledge needed to navigate an increasingly competitive market.

By leveraging comprehensive data, such as that provided by BatchData, stakeholders across the spectrum—from investors to lenders—are empowered to make informed decisions in this dynamic environment. Founded in 2018, BatchData has emerged as a key player in the realm of property data, offering predictive intelligence that transforms public records into actionable insights, driving success for various entities across the nation.