More Homes Are Owned by Corporations Than You Think
Many homes for rent are now owned by corporations, and it’s quietly changing how the housing market works.
The Big Story
Large investment firms have been buying single-family homes across the United States and renting them out.
Research estimates institutional investors owned about 574,000 rental houses in 2022. During the pandemic housing boom, investors bought up to one in five homes sold, especially in cities like Atlanta, Phoenix, Charlotte, Tampa, and Dallas.
The Two Spins
From the Left
Companies buying homes as investments add another type of buyer competing with families trying to purchase houses.
Housing is primarily a place for families to build stability and long-term wealth.
From the Right
Large investors bring capital into housing markets and expand the supply of rental homes.
Investors buy homes to generate steady rental income, similar to other long-term real estate investments.
What This Means for Us
For many families, buying a home has been one of the main ways they build wealth over time.
When more homes are owned by investors, rent payments become income for companies instead. Over time, that can affect how people build savings and who benefits financially from homeownership in local communities.
How They Make Money
Invitation Homes
Partners with builders to create built-to-rent communities, where new homes are added directly to its rental portfolio instead of being sold.
Owns about 80,000 single-family rental homes, mainly in fast-growing regions like the Southeast, Texas, and the West.
Takeaway
When homes are owned at scale, housing can start to function like a steady-income business, shaping rent prices and the path to buying a home.
The Number That Stuck With Me
20%
During the pandemic housing boom, investors bought 20% of homes sold (that’s about 1 in 5 homes purchased).