Self-Employed Investors Capture 34% of Home Purchases as Non-QM Lending Tops $239 Billion
Updated
Updated · Quad City Herald · Jun 23
Self-Employed Investors Capture 34% of Home Purchases as Non-QM Lending Tops $239 Billion
3 articles · Updated · Quad City Herald · Jun 23
Summary
Q3 2025 data show investors bought 34% of U.S. single-family homes, up from 25.5% a year earlier and the highest level in five years, with self-employed buyers a key force behind the surge.
16.9 million Americans were self-employed in May 2026, a record, while nearly 524,000 new business applications were filed that month, expanding the pool of freelancers seeking steadier rental income.
DSCR and other non-QM loans are helping drive that shift by underwriting properties on rental cash flow rather than W-2 income or tax-return consistency, making financing easier for borrowers with uneven earnings.
Non-QM lending now exceeds $239 billion—about 10% of the mortgage market—and the buying wave is concentrated in Texas, California and Florida, where rental yields and carrying costs can better support approvals.
Small landlords dominate the trend: 92% of investors own fewer than five properties, while firms with 1,000-plus homes account for just 2%, suggesting the rental market is being reshaped more by freelancers than institutions.