Published in mid- 2023 and updated in Q2 2025, Alpaca Real Estate’s research on the Build-to-Rent (BTR) sector reveals significant opportunities in this rapidly growing housing segment driven by demographic shifts and housing affordability challenges.

Key Findings:

• BTR investments offer yield and IRR premiums compared to similar multifamily business plans, with 50-100 basis points higher untrended yields and stronger risk-adjusted returns
• Single-family rental assets have demonstrated recession resilience with positive rent growth since 1985 (except a minor 0.1% dip during the 2008 GFC)
• BTR addresses a critical market need as rising home prices and mortgage rates have eliminated nearly 26 million households from qualifying for mortgages
• Institutional investors are rapidly entering the space, yet less than 5% of single-family rental assets are institutionally owned today
• Strategic joint ventures with homebuilders and forward purchase structures can minimize development risk while maximizing returns

Alpaca Real Estate’s robust sourcing relationships and disciplined underwriting approach enable access to high-quality BTR opportunities across the Southeast and Southwest markets with the strongest growth fundamentals.

Download the full research report ➡️