Investors Are Changing the Housing Market
Investors Are Changing the Housing Market
What Retirees Need to Know
Investors now account for nearly one-third of all home purchases nationwide. Roughly 85,000 homes are being acquired each month in 2025, nearly identical to last year but still below the 2022 peak of 120,000. While a return to those highs seems unlikely without another surge in prices, the investor share of the market remains firmly elevated.
Traditional buyers have pulled back due to affordability pressures, while investors often bring different risk tolerances and, importantly, cash. That makes them less sensitive to higher interest rates and more willing to step in when owner-occupants retreat. Medium-sized investors — those holding between 10 and 99 homes — have grown their market share from 6 percent to 10 percent in just a year, while small investors continue to make up the largest slice at 14 percent. The most intense activity remains concentrated in metro areas like Dallas, Houston, Atlanta, Phoenix, and Los Angeles.
As someone who has worked with retirees since the mid-1980s, I view these numbers through a very specific lens. When I first entered the financial services industry, about 75 percent of my clients were retired. Today, that number is closer to 98 percent. Over the decades, one constant remains: real estate decisions for retirees are often driven by necessity, not desire. Health conditions, the death of a spouse, or a sudden reduction in income can force a sale. Add to that the family pressures of children who want cash now, and you begin to see how distressed sales can depress values in entire neighborhoods, particularly in 55-plus communities.
There is another uncomfortable reality: people move because of neighbors. I know from personal experience. On at least two occasions, I sold property below potential market value simply to preserve peace of mind. Sometimes, sanity is worth more than equity. And in those moments, investors step in, buying homes at a discount — just as they did during the 2008 mortgage collapse when millions lost money and yet no one went to jail.
Today’s market is not identical to 2008, but the dynamic is familiar. Investors with cash and patience are reshaping housing in America. For retirees, this underscores the need to integrate real estate into your overall wealth management plan. It is not just about stocks, bonds, and annuities. Your home is both a place to live and a financial asset. Mismanaging that asset — or being forced to sell under pressure — can ripple through your retirement lifestyle.
If you are younger, understand that real estate investing has rules. You need to know when to hold, when to fold, and how the game is played. If you are retired, recognize that real estate is part of your broader asset allocation, and it should be considered alongside income, risk management, and health-related planning.
At Truesdell Wealth, we specialize in helping retirees think through these issues with a perspective gained from decades of firsthand experience. Real planning requires thought, structure, and the willingness to act with logic, compassion, and creativity.
Join us in September for our Casual Cocktail Conversations at the Stonewater Club in Stone Creek, Ocala. These events provide a relaxed setting to discuss essential estate planning and retirement strategies with your neighbors and peers. Space is limited, so be sure to text or call 352-612-1000 before we all available seats are taken. Visit Truesdell Wealth dot com / events for more information.