The Rent Roll with Jay Parsons EP#67 Joshua Coven | Top 10 Myths About Institutional Investors In Housing
Jan 15, 2026
In this discussion, Joshua Coven, an assistant professor at Baruch College and former NYU PhD, dives into his award-winning research on institutional investors in housing. He debunks common myths, revealing that institutions only constitute 0.5% of single-family rental sales and often enhance neighborhood access for renters. Coven's findings indicate that larger institutional scales actually lower rents and improve maintenance, countering the belief that these investors drive prices up. His insights challenge perceptions about the influence of institutions on homeownership and rental markets.
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Focus Policy On Root Affordability Issues
- Remember that renters in SFR are real people with families making memories and needing space.
- Address root affordability issues (credit, down payments, rates) rather than blaming institutional buyers alone.
Investors Aren't The Main Driver Of Price Spikes
- Investor purchases are one factor among many driving prices; low rates and underbuilding mattered far more in 2020–22.
- Post-GFC institutional buying often stabilized markets and protected homeowner equity rather than solely inflating prices.
Investors Target Distressed, Lower-Price Homes
- Institutional buyers target undervalued, repair-needing homes rather than bidding up typical first-time buyer purchases.
- These homes often fall below first-time buyer price quartiles and require cash and repairs investors can supply.