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Research · intermediate

How many home purchases are made by investors?

The share of home-purchase loans reported under HMDA that were for investment properties, 2018 to 2025, by property size and state, from federal loan records.
By Logan Piper, Aptoria's founder, who has managed residential rental property since age 13 and has owned since 21 · 8 min read · Updated 2026-10-24 · Last reviewed 2026-10-24
Technical content review: Claude technical editorial review. Every number re-fetched or recomputed against the cited source; derived figures recomputed independently; wording checked for overstatement, copying and fair-housing safety. Findings and resolutions are in the evidence file.
This is a technical review, not independent human or professional review.
Aptoria
In this resource
The short answer
The key numbers
What counts as an investor purchase in these figures?
Is investor buying rising?
Which properties do investors finance?
Where is the investor share highest?
Sources and references
9
Revision history
1
Investor home purchases
In this resource
Research
1. The key numbers
These counts cover home purchases financed with a mortgage that lenders reported under the Home Mortgage Disclosure Act (HMDA). The shares are our calculations from the public loan-level records.
2. What counts as an investor purchase in these figures?
Lenders report each loan's occupancy as one of three types: principal residence, second residence or investment property. Under the Regulation C commentary, a property is an investment property when the borrower does not or will not occupy it. That includes a home bought to rent out and one bought to resell, and it includes a company buying a home it will not occupy.
3. Is investor buying rising?
As a share of financed purchases, yes. The investment-property share was 7.6% in 2018 and 7.4% in 2019, fell to 6.2% in 2020, then rose to 8.4% in 2021 and 9.7% in 2022. After 9.0% in 2023 it reached 9.7% in 2024 and 10.1% in 2025, the highest in the 2018 to 2025 data used here.
4. Which properties do investors finance?
Most financed purchases are of 1-unit properties, and 8.3% of loans on 1-unit properties were for investment properties in 2025. Two- to four-unit buildings are different: 52.1% of the 98,597 purchase loans on these buildings were for investment properties, and 47.4% were for a principal residence.
5. Where is the investor share highest?
In 2025 the investment-property share was highest in Hawaii (17.1%), Arkansas (15.9%) and Oklahoma (14.9%), and lowest in Alaska (5.7%). The median across the 50 states and DC was 9.8%.
6. How does this compare with NAR's investor figure?
The National Association of Realtors reports that individual investors and second-home buyers accounted for 20% of existing-home transactions in September 2026, and that cash sales were 27%. NAR derives these shares from its monthly Realtors Confidence Index survey.
7. What this means for landlords
These are considerations to weigh against your own market, not financial, lending or legal advice.
Investor home purchases
Format
Research
Difficulty
intermediate
Reading time
8 min read
Updated
2026-10-24
Last reviewed
2026-10-24
Sources and references
9
In this resource
1. The key numbers
These counts cover home purchases financed with a mortgage that lenders reported under the Home Mortgage Disclosure Act (HMDA). The shares are our calculations from the public loan-level records.
Key takeaways
10.1% of 2025 first-lien purchase loans (347,452 loans) were for investment properties, the highest share in 2018 to 2025 data.
The count peaked in 2021 at 442,547; the share rose as total purchase lending fell faster.
Investment share by size in 2025: 8.3% for 1-unit homes, 52.1% for 2–4 units, 99.6% for 5+ units.
The short answer
About one in ten home-purchase loans. In 2025, 10.1% of the 3.44 million first-lien home-purchase loans reported under the Home Mortgage Disclosure Act were for investment properties the borrower would not live in, up from 7.6% in 2018. Cash purchases are not counted. For 2–4 unit buildings the share was 52.1%.

Key takeaways

  • 10.1% of 2025 first-lien purchase loans (347,452 loans) were for investment properties, the highest share in 2018 to 2025 data.
  • The count peaked in 2021 at 442,547; the share rose as total purchase lending fell faster.
  • Investment share by size in 2025: 8.3% for 1-unit homes, 52.1% for 2–4 units, 99.6% for 5+ units.
  • Highest state shares: Hawaii 17.1%, Arkansas 15.9%, Oklahoma 14.9%. Cash purchases are not included.

The key numbers

These counts cover home purchases financed with a mortgage that lenders reported under the Home Mortgage Disclosure Act (HMDA). The shares are our calculations from the public loan-level records.
Originated first-lien home-purchase loans reported under HMDA, 2018 and 2025 (our tabulation)
Measure20252018Source
Home-purchase loans (first lien)3,444,9924,223,833HMDA
Loans for investment properties347,452321,765HMDA
Investment-property share of all purchase loans10.1%7.6%HMDA
Second-home share of all purchase loans2.7%4.2%HMDA
Investment share, 1-unit homes8.3%6.0%HMDA
Investment share, 2–4 unit buildings52.1%50.9%HMDA
Investment share, 5+ unit buildings99.6%99.4%HMDA

What counts as an investor purchase in these figures?

Lenders report each loan's occupancy as one of three types: principal residence, second residence or investment property. Under the Regulation C commentary, a property is an investment property when the borrower does not or will not occupy it. That includes a home bought to rent out and one bought to resell, and it includes a company buying a home it will not occupy.
A second residence is a home the borrower occupies for part of the year that is not their principal residence. The commentary says a home the buyer lives in for part of the year and rents out for the rest is a second residence, so some part-time rentals fall outside the investment category.
We count only first-lien loans, so a purchase financed with a first mortgage and a second piggyback loan counts once. Loans reported as reverse mortgages are excluded; loans where lenders reported that field as exempt are kept.

Is investor buying rising?

As a share of financed purchases, yes. The investment-property share was 7.6% in 2018 and 7.4% in 2019, fell to 6.2% in 2020, then rose to 8.4% in 2021 and 9.7% in 2022. After 9.0% in 2023 it reached 9.7% in 2024 and 10.1% in 2025, the highest in the 2018 to 2025 data used here.
The number of investment-property purchase loans peaked in 2021 at 442,547. In 2025 there were 347,452, up 5.2% from 2024. From 2021 to 2025, total first-lien purchase loans fell 34.6% while investment-property loans fell 21.5%, so the investor share rose even as the count fell.
Over the same years the second-home share moved the other way, from a high of 5.0% in 2021 to 2.7% in 2025. We did not find a primary source that explains the shift, so this page does not attribute a cause to either trend.
First-lien home-purchase loans by year and occupancy (our tabulation of HMDA data)
YearPurchase loansInvestment-property loansInvestment shareSecond-home share
20184,223,833321,7657.6%4.2%
20194,382,915326,3587.4%4.2%
20204,786,873298,0136.2%4.9%
20215,267,707442,5478.4%5.0%
20224,257,542412,8929.7%3.6%
20233,334,891300,5199.0%2.8%
20243,396,852330,1409.7%2.6%
20253,444,992347,45210.1%2.7%

Which properties do investors finance?

Most financed purchases are of 1-unit properties, and 8.3% of loans on 1-unit properties were for investment properties in 2025. Two- to four-unit buildings are different: 52.1% of the 98,597 purchase loans on these buildings were for investment properties, and 47.4% were for a principal residence.
Because the definition turns on whether the borrower occupies the property, our reading is that a buyer who lives in one unit of a duplex or fourplex and rents the others would be reported as a principal residence, not an investment property.
Nearly all purchase loans on buildings with 5 or more units, 99.6%, were for investment properties. There were 18,936 such loans in 2025. Each loan is secured by a whole property, which can include more than one building, so the count is of loans, not units.

Where is the investor share highest?

In 2025 the investment-property share was highest in Hawaii (17.1%), Arkansas (15.9%) and Oklahoma (14.9%), and lowest in Alaska (5.7%). The median across the 50 states and DC was 9.8%.
The share was higher in 2025 than in 2018 in 49 of the 51; Colorado and Oregon were the exceptions. These are shares of mortgage-financed purchases only. Cash purchases are not included and may be more common in some states than others, so the figures are not a full count of investor buying in each state.
Investment-property share of first-lien home-purchase loans, highest 10 and lowest 5 of the 50 states and DC, 2025 (our tabulation)
State2025 share2025 purchase loans2018 share
Hawaii17.1%9,76412.8%
Arkansas15.9%36,85413.8%
Oklahoma14.9%46,04213.2%
New Jersey13.7%78,5817.8%
Missouri13.3%76,73110.8%
New York12.1%117,6447.9%
California12.1%248,60310.2%
Kansas12.1%32,5319.9%
Nebraska12.0%22,6829.6%
Pennsylvania12.0%118,9378.0%
Michigan7.0%104,2734.3%
Minnesota7.0%65,2636.4%
Colorado6.8%76,6127.6%
New Mexico6.2%19,6615.8%
Alaska5.7%7,4414.4%

How does this compare with NAR's investor figure?

The National Association of Realtors reports that individual investors and second-home buyers accounted for 20% of existing-home transactions in September 2026, and that cash sales were 27%. NAR derives these shares from its monthly Realtors Confidence Index survey.
The HMDA figures on this page are a different measure: lender-reported loans for a full year, covering new and existing homes but only purchases financed with a mortgage. Investment properties and second homes together were 12.8% of 2025 first-lien purchase loans. The two sources should not be read as estimates of the same number.

What this means for landlords

These are considerations to weigh against your own market, not financial, lending or legal advice.
  • If you are buying single-family rentals, other financed investors were behind about one in twelve 1-unit purchase loans in 2025 nationally, and the share varies a lot by state. Local data will tell you more than the national figure.
  • If you own a 2–4 unit building, nearly half of the financed purchases of these buildings in 2025 were reported as the buyer's principal residence. When you sell, the buyer pool may include owner-occupants as well as investors.
  • If you are weighing a purchase, the DSCR and cap rate calculators can help you test whether the rent covers the debt and expenses at today's prices.
  • The HMDA Data Browser lets you filter the same public data by state, metro area or county if you want a closer look at your own market.
  • A rising investor share describes the market as a whole. It does not say whether any particular property is a good purchase.

Methodology

We streamed every originated home-purchase loan for 2018 to 2025 from the HMDA Data Browser API's nationwide CSV endpoint and tallied the records by year, state, occupancy type, total units, lien status and reverse-mortgage flag. The raw records were not stored; only the tally was kept. No applicant demographic field was used or kept.
For every year, the number of records we tallied matches the API's own aggregation count, and for 2018 and 2025 the count for each of the 50 states and DC also matches. Shares are investment-property loans divided by all first-lien purchase loans, excluding loans reported as reverse mortgages and including loans on manufactured homes. National figures include the small number of records for U.S. territories or without a state code; excluding them changes the 2025 share by less than 0.1 percentage point. Figures are rounded once, at display.
The Data Browser uses the latest frozen dataset for each year: the three-year dataset for 2018 to 2022, the one-year dataset for 2023 and 2024, and the snapshot dataset for 2025 (frozen June 2, 2026). We retrieved all years on 2026-10-24.

Limitations

Keep these limits in mind.
  • HMDA covers loans, not purchases. Cash purchases are missing, and the investor share of all purchases could be higher or lower than the share of financed purchases.
  • Only lenders that meet HMDA's reporting thresholds file data, and the closed-end threshold changed during this period: a 2020 rule raised it from 25 to 100 loans, effective July 1, 2020, and a federal court vacated that increase in 2022, restoring 25. Year-to-year counts therefore do not come from an identical set of lenders.
  • Lenders can resubmit data for about three years (2025 data until December 31, 2028). The 2023 to 2025 figures here come from earlier frozen datasets and may change slightly when later versions are published.
  • Occupancy is what the lender reported for the loan. HMDA does not record what the buyer later did with the property.
  • This page does not separate individual investors from companies, and it does not measure rentals bought without a mortgage.
  • This page does not forecast investor buying.
Line chart of the share of originated first-lien home-purchase mortgages reported under HMDA for investment properties and second homes, 2018 to 2025. The investment share was 7.6% in 2018, fell to 6.2% in 2020 and rose to 10.1% in 2025. The second-home share peaked at 5.0% in 2021 and was 2.7% in 2025.
Share of originated first-lien home-purchase loans for investment properties and second homes, 2018 to 2025. Source: HMDA Data Browser, our tabulation.
Bar chart of the share of 2025 originated first-lien home-purchase mortgages reported under HMDA that were for investment properties: all purchase loans 10.1%; 1-unit homes 8.3%; 2–4 unit buildings 52.1%; 5+ unit buildings 99.6%.
Share of 2025 originated first-lien home-purchase loans for investment properties, by number of units. Source: HMDA Data Browser, our tabulation.

Questions that come up

Do these figures include cash purchases?

No. HMDA records mortgage loans, so a home bought without a mortgage does not appear. NAR's survey found cash sales were 27% of existing-home transactions in September 2026.

Is a buyer who lives in one unit of a duplex counted as an investor?

Probably not. The official interpretation of Regulation C defines an investment property as one the borrower does not or will not occupy. It does not address multi-unit buildings directly, but in our reading a buyer who lives in one unit would be reported as a principal residence. In 2025, 47.4% of purchase loans on 2–4 unit buildings were for a principal residence.

Does this page show how much large institutional investors buy?

No. The figures cover all borrowers buying investment properties with a mortgage, from individuals to companies, and this page does not split them by type or size.

When will 2026 figures be available?

Lenders file 2026 data from January 1 to March 1, 2027. For 2025, institution-level files were published on March 31, 2026, and the national snapshot used by the Data Browser was frozen on June 2, 2026. If the schedule repeats, 2026 figures would be available around mid-2027.

Sources and references

Follow each source to check the underlying claim. Access checks and professional review are different steps.
1. Primary source · Federal Financial Institutions Examination Council (FFIEC) and Consumer Financial Protection Bureau
HMDA Data Browser
Loan-level Home Mortgage Disclosure Act records for 2018 to 2025: originated home-purchase loans with occupancy type, total units, lien status and state, tabulated by us.
Source checked 2026-10-24
Automated source-access check: 2026-10-24.
2. Primary source · Federal Financial Institutions Examination Council (FFIEC) and Consumer Financial Protection Bureau
Data Browser API
The nationwide CSV and aggregation endpoints, the years available (2018 to 2025) and the filters used.
Source checked 2026-10-24
Automated source-access check: 2026-10-24.
3. Primary source · Federal Financial Institutions Examination Council (FFIEC) and Consumer Financial Protection Bureau
Public HMDA LAR data fields
Field definitions: occupancy type (principal residence, second residence, investment property), total units, lien status and reverse mortgage.
Source checked 2026-10-24
Automated source-access check: 2026-10-24.
4. Primary source · Consumer Financial Protection Bureau
Official interpretation of 12 CFR 1003.4, comments 4(a)(6)-2 to -4
Regulation C definitions of principal residence, second residence and investment property for HMDA reporting.
Source checked 2026-10-24
Automated source-access check: 2026-10-24.
5. Primary source · Consumer Financial Protection Bureau
2025 HMDA Data on Mortgage Lending Now Available
The 2025 HMDA Modified LAR (institution-level loan data) became available on March 31, 2026, for about 4,768 filers.
Published 2026-03-31 · Source checked 2026-10-24
Automated source-access check: 2026-10-24.
6. Primary source · Federal Financial Institutions Examination Council (FFIEC) and Consumer Financial Protection Bureau
Static Datasets FAQ
The Data Browser uses the latest static dataset for each year: three-year datasets for 2018 to 2022, one-year datasets for 2023 and 2024, and the 2025 snapshot frozen June 2, 2026; the three-year dataset is final.
Source checked 2026-10-24
Automated source-access check: 2026-10-24.
7. Primary source · Federal Financial Institutions Examination Council (FFIEC) and Consumer Financial Protection Bureau
Data collection timelines
Annual filing runs January 1 to March 1, and lenders can resubmit 2025 data until December 31, 2028.
Source checked 2026-10-24
Automated source-access check: 2026-10-24.
8. Primary source · Consumer Financial Protection Bureau
Home Mortgage Disclosure (Regulation C); Judicial Vacatur of Coverage Threshold for Closed-End Mortgage Loans
The 2020 rule raised the closed-end loan reporting threshold from 25 to 100 loans, effective July 1, 2020; a federal court vacated that increase on September 23, 2022, restoring the threshold of 25 loans.
Published 2022-12-21 · Source checked 2026-10-24
Automated source-access check: 2026-10-24.
9. Primary source · National Association of REALTORS®
Existing-Home Sales Increased 1.5% in September, According to NAR Report
Survey-based shares of September 2026 existing-home transactions: individual investors and second-home buyers 20%, cash sales 27%.
Published 2026-10-13 · Source checked 2026-10-24
Automated source-access check: 2026-10-24.

Revision history

2026-10-24
First publication with HMDA data for 2018 to 2025.
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