Real estate investors throw in the towel on hopes for lower 2025 mortgage rates

Want more housing market stories from Lance Lambert’s ResiClub in your inbox? Subscribe to the ResiClub newsletter. Real estate investors no longer think a material drop in mortgage rates is on the near-term horizon. That’s one of the main takeaways from the latest survey conducted by ResiClub and LendingOne, among the fastest-growing private real estate lenders in the country. To participate in the Q2 2025 LendingOne-ResiClub SFR Investor Survey, investors had to own at least one single-family investment property. The survey was fielded between May 29 and June 13. In total, 222 single-family landlords completed the survey. Topline findings: 79% of single-family investors say they are “somewhat likely” or “very likely” to buy at least one property in the next 12 months. That’s up from 76% in Q4 2024 and 61% in Q2 2024. 32% of single-family investors say they’re likely to sell at least one property in the next 12 months. That’s down from 33% in Q4 2024 and 37% in Q2 2024. 57% of single-family investors believe mortgage rates will remain above 6.5% over the next 12 months—up sharply from 29% in Q4 2024 who expected the average 30-year fixed rate to stay above that level. 59% of landlords say higher insurance premiums have moderately (42%) or significantly (17%) reduced their cash flow over the past year. 30% of investors said property taxes were their largest expense increase last year, followed closely by 29% who cited home insurance. In the West, 19% of landlords report insurance premiums have risen more than 50% over the past five years. 83% of landlords plan to raise rents in the next 12 months—but only 10% of landlords expect rent hikes of more than 7%. Below are the full results. [Chart: ResiClub] [Chart: ResiClub] [Chart: ResiClub] [Chart: ResiClub] [Chart: ResiClub] [Chart: ResiClub] [Chart: ResiClub] [Chart: ResiClub] [Chart: ResiClub] [Chart: ResiClub] [Chart: ResiClub] [Chart: ResiClub] [Chart: ResiClub]