One purpose dwelling costs have skyrocketed this decade is there’s a lot competitors for a restricted provide of accessible houses. That is very true in markets the place on a regular basis home hunters must compete in opposition to buyers trying to revenue from their purchases.
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The variety of buyers gobbling up houses stays at “traditionally excessive ranges” in 2025, and is predicted to remain that method for the foreseeable future, in line with a brand new report from Cotality, a California-based supplier of actual property and different monetary information.
Traders accounted for 29% of all U.S. single-family homebuyers through the second quarter, the report famous. That was up from 25% a yr prior, and represents a serious improve from 5 years in the past when buyers accounted for lower than 15% of all purchases.
Which cities rank the very best for investor exercise? About half are scattered throughout the Sunbelt states, as these areas proceed to attract extra residents. However you’ll additionally discover high-ranking cities in all elements of the nation.
For its report, Cotality analyzed housing patterns throughout the nation to find out which houses have been acquired by buyers and which have been acquired by non-investors. Traders have been damaged down into the next classes:
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Small: Fewer than 10 properties
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Medium: From 10 to 99 properties
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Giant: From 100 to 999 properties
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Mega: From 1,000+ properties
Not surprisingly, main metro areas dominate the record of locations the place buyers are most lively. These have been the 20 highest-ranked cities for investor purchases from January by June 2025, in line with Cotality:
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Dallas: 21,842 (houses purchased)
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Houston: 18,324
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Atlanta: 15,536
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Phoenix: 12,640
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Los Angeles: 11,130
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Chicago: 10,423
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New York: 9,395
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Tampa, Florida: 7,400
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San Antonio: 7,337
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Philadelphia: 7,239
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Washington, D.C.: 6,750
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Riverside, California: 6,749
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Kansas Metropolis, Missouri.: 6,334
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St. Louis, Missiouri: 6,076
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Seattle: 5,930
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Las Vegas: 5,803
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Denver: 5,772
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Detroit: 5,240
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Charlotte, North Carolina: 5,102
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Indianapolis: 4,983
Medium-sized buyers have pushed the latest improve in investor exercise, as their market share rose to 10% in June 2025 from 10% in June 2024. Small buyers symbolize the most typical investor sort, at a 14% share.
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Traders are “stepping in” to fulfill sturdy demand for rental housing in an atmosphere the place first-time homebuyers are being sidelined by excessive dwelling costs and elevated mortgage charges, Cotality famous.
