Not all potential homebuyers plan to live there after the deal.
These days, institutional buyers have been buying homes as investment properties to rent or flip. They may be corporations, shared equity ventures, rent-to-own programs, real estate owned/short-sale buyers, or instant buyers.
But whatever form they take, they love Texas. In 2021, institutional buyers accounted for 28% of Texas home sales, according to an NAR Research Group report from May, Impact of Institutional Buyers on Home Sales and Single-Family Rentals. That’s the highest percentage in the nation and more than double the 13% national average.
Institutional buyers made up even more of the buyer pool in some of Texas’s larger counties last year. They’re in big metros like Dallas-Fort Worth, Houston, and Austin; suburbs; and even smaller markets.
You, as a real estate professional, can benefit from knowing how to work with these unique buyers. Read about what you need to know to thrive in this environment.