Investor Purchases of Condos Decline, Redfin Reports
A recent report from Redin reveals that investor purchases of condos have dropped by 3% year over year, marking the lowest level in a decade. This decline is primarily attributed to investors pulling back from the Florida market. The slowing condo market has raised concerns among buyers about potential loss of value, leading to fewer purchases. Redfin notes that nearly 68% of U.S. condos were sold below list price in early 2025, the lowest share in five years.
Florida’s stagnant condo market is one reason investor purchases of condos are down nationwide. Florida condos are struggling largely because HOA fees are surging and insurance costs are rising amid the increase in climate-driven natural disasters. Additionally, many of Florida’s condo buildings are oceanfront, making them particularly vulnerable to climate disasters.
Investor Purchases of U.S. Homes Rise
The report also highlights a 2% year-over-year increase in investor purchases of U.S. homes in Q1 2025. Investor activity has remained relatively stable over the past two years, following the volatile swings of the pandemic era. The data is sourced from county-level home purchase records across 39 of the most populous U.S. metropolitan areas.
Click here to read the full report at Redfin.