H
ousing Watch: Investors Take the Lead in Central California Home Purchases

    A recent trend has emerged in the housing market, driven by high prices and mortgage rates making it difficult for homeowners to sell their properties. As a result, many are turning to alternative options, including converting their homes into rentals.

    According to data from Batch Data, 27% of home purchases in the first quarter were made by real estate investors, the highest percentage in at least five years. In Fresno County, 22% of homes are owned by investors, while Tulare and Merced counties have even higher rates at 25% and 26%, respectively.

    The trend is particularly pronounced in rural areas, with 46% of homes in Mariposa County being owned by landlords. This shift towards investor-owned properties is also seen statewide, where around 19-20% of homes are owned by investors.

    California ranks near the bottom in terms of investor-owned homes, coming in at 38th position. In contrast, states like Hawaii and Alaska have significantly higher rates, with over 40% of homes being owned by investors.