Are Big Investors Really Buying Up All the Homes? 

If it feels harder to buy a home than it used to, you are not imagining it. Headlines have been loud about investors taking over the housing market, pushing everyday buyers aside, and snapping up everything in sight. It is a compelling narrative, but it is not the full story. When you step away from the headlines and look at national housing data reported across major real estate research platforms, a more balanced picture emerges. Investor purchases did increase during certain periods, especially when interest rates were low and rental demand surged, but they still represent a minority of total home sales. In most years, investor activity accounts for roughly fifteen to twenty percent of transactions, meaning the majority of homes are still purchased by people who plan to live in them. 

 What counts as an investor purchase? Investor activity includes individuals buying rental properties, small investment groups, and institutional buyers that tend to draw the most attention. These buyers often concentrate on entry-level homes, properties that need renovation, and areas with strong rental demand. That concentration creates pressure in specific price points, which is why it feels like investors are everywhere even when they are not dominating the market overall. 

Why does it feel worse than it is? Even when investors make up a smaller percentage of buyers, they tend to move quickly, often use cash, and target similar types of properties. That creates repeated competition for the same style of home. Buyers who lose out multiple times in those segments understandably feel discouraged and assume the deck is stacked against them. In Maryland, particularly outside dense urban areas, owner-occupant buyers continue to represent the majority of purchases. Suburban and rural counties experience far less institutional investor activity than national headlines suggest. 

GRAPH: This data helps explain why perception and reality do not always align. The challenge most buyers are facing is not investors alone but limited inventory, affordability pressure, and strong demand for well-located, well-priced homes. 

What does this mean for buyers? Buyers are not locked out of the market, but the approach matters more than it did a few years ago. Successful buyers today understand where competition is strongest, stay flexible on location and timing, and rely on local insight rather than national headlines. Knowing which neighborhoods attract investor attention and which ones still offer opportunity can make a meaningful difference. 

What does this mean for sellers? Investor interest can work for or against a seller depending on their goals. Some sellers value speed and simplicity and welcome as-is offers, while others want to maximize value and appeal to owner-occupant buyers. Understanding who is most likely to purchase your home helps guide pricing, preparation, and negotiation strategy. 

The bottom line: Investors are part of the housing market and always have been. They are not buying all the homes, but they are more visible in certain segments. The real advantage belongs to buyers and sellers who understand local conditions, recognize where opportunity still exists, and make decisions based on facts rather than fear. 

If you want a clear, local breakdown of buyer competition in your specific area and how to navigate it, I am happy to walk you through it. Tina Marie Biggs, Realtor® | eXp Realty