Institutional investors have significantly increased their presence in the U.S. housing market, now owning more than 35% of rental housing stock. In the first quarter of 2024, investors purchased nearly 15% of homes sold, the highest share on record. This trend is contributing to rising home prices and a lack of supply, exacerbating affordability issues. In some neighborhoods, such as one in Charlotte, North Carolina, Wall Street-backed investors bought half of the homes, converting them into rentals. A natural zoning experiment in Denver showed that zoning changes can impact housing costs, with homes in duplex zoning converting into more affordable units. The debate over housing affordability continues, with some arguing that building more housing is essential to reduce costs, while others believe that addressing income levels and price controls is necessary.