Investors Reach 5-Year High in Homebuying, Private Equity Owns 20% of Single-Family Homes

In Q2 2025, investors purchased one-third of all single-family homes, the highest share in five years, with small investors dominating the market. While overall home sales declined, investor activity provided liquidity and increased rental inventory, especially in populous states like Texas, California, and Florida. Institutional investors are now selling more homes than they buy, shifting focus to build-to-rent projects, which reduces competition for traditional buyers and boosts rental supply.