Investor purchases hit their lowest level since 2020, per Redfin Q1 data

Sharing a data point worth discussing here. Redfin reported that U.S. investor home purchases fell about 6% year over year in the first quarter, the lowest level since 2020. Their stated drivers: higher financing costs, slower price growth, and rising construction costs giving both investors and individual buyers pause.

Source: Redfin, via https://x.com/Redfin/status/2060100591934996955

For the investors here, a few honest discussion questions rather than a take:

When investor demand cools on the entry tier, owner-occupant buyers face less competition on exactly the properties that used to get bid up. Does that change your acquisition math this year, or does the financing-cost side cancel out the reduced competition?

I am not calling where any of this goes. This is descriptive, last-quarter national data. I would rather hear how the working investors here are reading it in their own markets.

Jon Hegreness, Associate Broker, RE/MAX Premier