I
n the US, small-time investors are outpacing new home builders in delivering renovated homes to the market. According to a New Western report, local mom-and-pop flippers have fixed and flipped 30,852 single-family homes so far this year, compared to just 18,973 new homes delivered by builders in major metro markets.

    This trend is part of a larger shift in the housing market, where investors are helping alleviate inventory crunches and fill affordability gaps. In fact, local investors generated over $900 million in real estate agent commissions through investor resales in the first quarter of this year alone.

    The report also challenges the notion that corporate investors dominate the market. Instead, researchers found that smaller, independent investors make up over 93% of all investment purchases, while institutional buyers account for just 6.6%. This shift is driven by a surge of women, younger generations, and first-time real estate investors entering the market.

    Flippers are also becoming increasingly local, with nearly 70% of respondents planning to invest in properties within 30 miles of where they live. In many major cities, flippers outpaced new builders by wide margins, including Boston (307%), Philadelphia (355%), and Los Angeles (658%). However, some markets like Dallas/Fort Worth and Denver saw closer deliveries between flippers and new home builders.

    With over 2.8 million vacant homes in major metro markets, there is still plenty of inventory left for home flippers to tap into. Many flips start off-market, with buyers only seeing the property after it has been renovated. This presents opportunities for agents who can help identify prospective projects and sell completed ones for investors.