economy
Housing investors say this is their worst market in at least 3 years
Mortgage rates hit a recent low at the end of February but rose sharply at the start of the war with Iran. They are now at their highest level in over a year.
TL;DR
- Investor sentiment in the single-family housing market has hit an all-time low due to rising interest rates, insurance, and home costs.
- Market conditions are perceived as worse than a year ago by 45% of respondents, the highest in the survey's history.
- High financing costs are a major problem, and three-quarters of investors do not expect rate relief.
- Real estate investors purchased 23% fewer homes in Q1 2026 compared to the previous quarter and Q1 2025.
- 32% of respondents plan to buy no properties this year, while only 9% plan to buy more than a year ago.
- Over 60% of respondents expect home prices to rise in the next six months.