Top 10 States Where Big Business is Inflating the Real Estate Market

By Staff Writer

It’s a well-known fact—now is not a good time to be a first-time home buyer. With record inflation worldwide and U.S. consumer prices rising at the fastest rate in decades, spending habits are changing. It’s hard enough to save enough money for a down payment on a house. It’s nearly impossible in today’s housing market. 

One major factor contributing to the impractical rates is iBuying. iBuyers are institutional house flippers—companies that use algorithms to estimate a home’s value and then buy it directly for cash. An analysis showed that some of the biggest iBuyers—Zillow, Opendoor Technologies, and Offerpad Solutions—are selling thousands of homes to landlords backed by large corporations, not families looking for a home. 

Big businesses are crowding out regular home buyers. Not only are they able and willing to pay more than the average home buyer, they then flip the house to sell for a profit, therefore driving up the housing market. Investors and corporations are turning many houses into rental properties. It’s a brutal market out there. Some regions are being affected much more than others. Here are the top ten states where big business is inflating the real estate market.