Sullivan (IN) Investor Pulse Report (2025-Q4)

Investors hold a significant 27.8% of all single-family residential properties in Sullivan County, totaling 1,502 homes.

The market is overwhelmingly controlled by individual investors, who own 1,282 properties (85.4%), compared to just 234 properties (15.6%) owned by companies.

This individual dominance extends to the entity level, where 1,759 of the 1,944 total landlords (90.5%) are individuals.

Investor portfolios in the region are built on a foundation of low leverage, with a remarkable 92.1% of properties (1,383) owned outright with cash versus just 7.9% (119) that are financed.

The portfolio's primary purpose is clear, as 1,481 of the 1,502 properties (98.6%) are operated as rentals, signaling a strong focus on generating rental income.

In Q4 2025, landlords demonstrated a distinct pricing advantage, acquiring properties for an average of $175,207—a 7.9% discount that saved them $15,087 per property compared to the $190,294 paid by traditional homeowners.

This marks a return to a discount after a period of extreme volatility earlier in the year, which included paying a massive 35.1% premium in Q2 and securing a deep 28.3% discount in Q3.

The fluctuating price gap suggests that landlord purchasing in Sullivan County is highly opportunistic, capitalizing on specific deals rather than following a consistent market-wide pricing strategy.

Property values have appreciated significantly for investors. The average Q4 2025 acquisition price of $175,207 is 36.9% higher than the average price of $128,005 paid during the 2020-2023 period.

Comparing full-year data, the average landlord purchase price rose from $156,775 in 2024 to $191,413 in 2025, a 22.1% year-over-year increase.

Investor activity surged in Q4 2025, with landlords acquiring 26 of the 69 homes sold, capturing a significant 37.7% share of the total market.

The engine of this activity is the small-scale investor, as mom-and-pop landlords (Tiers 01-04) were responsible for 23 of those purchases, or 88.5% of all landlord acquisitions.

The market continues to attract new entrants, with 28 new single-property landlords making their first purchase in Q4, accounting for 69.2% of all investor-bought properties.

In stark contrast, institutional investors (Tier 09) had a minimal impact on the acquisitions market, purchasing only a single property during the quarter.

This 23-to-1 purchase ratio between mom-and-pop and institutional investors underscores that market growth is a grassroots phenomenon, not a corporate one.

The investor landscape in Sullivan County is unequivocally dominated by small landlords, with those owning 1-10 properties controlling 96.5% of all investor-held SFRs.

Single-property landlords form the bedrock of this market, alone owning 1,296 properties, which represents 84.2% of the entire investor portfolio.

Conversely, the institutional investor presence is virtually nonexistent, with the 1000+ property tier accounting for just a single home, or 0.1% of the market share.

The data dispels any notion of a corporate takeover, highlighting a highly fragmented market composed almost entirely of small-scale, local investors.

Mid-size landlords (11-1000 properties) also hold a very small portion of the market, collectively owning just 3.4% of investor-owned properties, further cementing the dominance of the mom-and-pop segment.

A distinct pattern emerges in ownership structure based on portfolio size: while individual investors are the foundation of the market, a corporate structure becomes the preferred vehicle for scaling.

Individuals overwhelmingly own smaller portfolios, accounting for 89.4% of single-property holdings and 83.8% of 3-5 property portfolios.

The transition to corporate ownership happens decisively at the 6-10 property tier, where companies cross the threshold to become the majority owners with a 51.4% share of properties.

This trend accelerates in larger portfolios. In the 101-1000 property tier, company ownership is nearly absolute, controlling 33 of the 34 properties (97.1%).

This suggests that while the barrier to entry is low for individuals, growing a portfolio beyond five properties in Sullivan County often involves incorporation for liability, financing, or operational reasons.

Investor activity in Sullivan County is geographically concentrated, with the 47882 zip code serving as the hub for total investor holdings with 491 properties.

However, the highest market penetration occurs elsewhere. The 47865 zip code has an extraordinary investor ownership rate of 75.0%, making it the most landlord-dominated area by percentage.

This divergence highlights two distinct investment strategies: a volume-based approach in larger residential areas like 47882 (19.5% rate) and a high-concentration approach in smaller zip codes like 47865 and 47855 (62.1% rate).

The 47850 zip code is a notable market, exhibiting both high volume (233 properties) and a high concentration (40.2% investor ownership rate).

Another area of significant investor focus is 47848, with 175 investor-owned properties and a 36.4% ownership rate.

Landlords in Sullivan County are in a strong accumulation phase, ending Q4 2025 as decisive net buyers with 36 acquisitions versus only 7 sales.

This aggressive 5.14-to-1 buy-to-sell ratio in Q4 is consistent with the trend for the entire year, where landlords purchased 107 properties and sold just 14, a ratio of 7.64-to-1.

While still accumulating, the pace of acquisitions has moderated slightly, down from 123 properties purchased in 2024 to 107 in 2025.

In contrast to the broader market, institutional investors (1000+ tier) were neutral in Q4, with their activity balanced at one purchase and one sale.

The data indicates that investors are primarily acquiring properties from the traditional homeowner market, as inter-landlord transactions made up a very small fraction of Q4 purchases.

Landlords were a driving force in the Q4 2025 market, participating in 36 of the 99 total SFR transactions for a 36.4% market share.

A dramatic pricing disparity reveals different acquisition strategies among investors. The institutional buyer in Q4 paid an average of $90,170, a remarkable 52.8% less than the $190,995 average paid by new single-property landlords.

This price difference of over $100,000 per property suggests institutions are targeting distressed assets or off-market deals unavailable to new entrants.

Transaction activity was dominated by mom-and-pop investors (Tiers 01-04), who conducted 33 of the 36 landlord transactions.

Smaller, established landlords (3-5 properties) were the most active in trading among peers, sourcing 33.3% of their purchases from other investors, compared to just 3.6% for first-time buyers.