Investor Demand Fuels Rise of Off-Market Deals in U.S. Residential Real Estate – Monday, February 16, 2026

Off-market deals are gaining traction in the residential real estate sector, driven by heightened investor demand. This emerging trend is reshaping traditional buying and selling processes, with significant implications for market dynamics and property values.

Who should care: city planners, smart city program managers, real estate technology leaders, mobility operations teams, and urban infrastructure decision-makers.

What happened?

Off-market deals—transactions conducted without public listings—are becoming increasingly prevalent in the residential real estate market. This shift is primarily driven by investors aiming to secure properties before they reach the open market, often negotiating more favorable terms. Traditionally, residential properties have been listed publicly, fostering broad competition and transparency. However, the rise of off-market transactions is disrupting this model by limiting public access and concentrating opportunities among select buyers. This trend is especially pronounced in regions with intense investor activity, where it is influencing property values and altering market dynamics. As a result, traditional real estate agents face challenges, as investors and technology platforms that facilitate these private deals gain prominence, potentially sidelining conventional brokerage roles. The growing reliance on off-market deals is fundamentally changing how residential real estate is bought and sold, raising concerns about affordability and accessibility for individual homebuyers who may find themselves at a disadvantage in an increasingly opaque market environment.

Why now?

The surge in off-market deals coincides with a broader wave of digital transformation and data-driven decision-making reshaping the real estate industry. Over the past 18 months, technology platforms have advanced significantly, enabling investors to identify and secure properties more efficiently and discreetly. This technological progress, combined with a highly competitive market where investors seek an edge, has accelerated the shift toward off-market transactions. Additionally, economic factors such as historically low interest rates and strong demand for rental properties have further intensified investor activity in the residential sector. Together, these elements have created an environment ripe for off-market deals to flourish, fundamentally altering traditional market behaviors.

So what?

The growing prevalence of off-market deals signals a major transformation in the residential real estate market, carrying strategic and operational consequences for various stakeholders. For real estate professionals, adapting to this evolving landscape will likely require embracing innovative technologies and revising traditional sales strategies to remain competitive. Investors stand to benefit from earlier access to properties and potentially better purchase terms, which could translate into higher returns. Conversely, individual homebuyers may face reduced market transparency and fewer opportunities, potentially exacerbating challenges related to housing affordability and accessibility. This shift underscores the need for stakeholders to carefully consider how off-market transactions impact the broader housing ecosystem.

What this means for you:

• For city planners: Evaluate how increased investor-driven off-market activity might affect housing affordability and long-term community development goals.
• For real estate technology leaders: Identify opportunities to create platforms that facilitate off-market transactions while promoting transparency and equitable access.
• For mobility operations teams: Consider how evolving residential real estate patterns could influence urban mobility demands and infrastructure planning.

Quick Hits

• Impact / Risk: The rise of off-market deals may reduce transparency and accessibility in the housing market, potentially limiting affordability for individual buyers.
• Operational Implication: Real estate agents must adapt by integrating technology and new strategies to remain competitive amid a market increasingly dominated by off-market transactions.
• Action This Week: Review and update real estate strategies to include off-market opportunities; brief teams on investor-driven market shifts; assess technology solutions that enhance deal transparency and accessibility.