Sectors & IndustriesReal EstateReal Estate - Development

Best Real Estate Development Stocks to Buy Now (2025)

Top real estate development stocks in 2025 ranked by overall Zen Rating. "A" Rated stocks have returned an average of +32.52% per year, and are the best real estate development stocks to buy now. Learn More.

According to Zen Ratings, our proprietary rating system that evaluates 115 factors proven to drive growth in stocks and assigns each stock in our system an overall letter grade as well as 7 individual Component Grades for Value, Growth, Momentum, Sentiment, Safety, Financials, and proprietary AI algorithms, the 3 best real estate development stocks to buy right now are:

Forestar Group (NYSE:FOR) is the #1 top real estate development stock out of 13 with a Zen Rating of C. Stocks with a rating of C have had an average return of +7.53% per year. Learn more.

The Component Grade breakdown for Forestar Group (NYSE:FOR) is: Value: B, Growth: C, Momentum: C, Sentiment: C, Safety: C, Financials: C, and AI: C.

Forestar Group (NYSE:FOR) has a Due Diligence Score of 38, which is 13 points higher than the real estate development industry average of 25.

FOR passed 12 out of 33 due diligence checks and has average fundamentals. Forestar Group has seen its stock lose -17.61% over the past year, underperforming other real estate development stocks by -3 percentage points.

Forestar Group has an average 1 year price target of $35.50, an upside of 36.49% from Forestar Group's current stock price of $26.01.

Forestar Group stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 2 analysts covering Forestar Group, 50% have issued a Strong Buy rating, 50% have issued a Buy, 0% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Vesta Real Estate Corporation Sab De CV (NYSE:VTMX) is the #2 top real estate development stock out of 13 with a Zen Rating of C. Stocks with a rating of C have had an average return of +7.53% per year. Learn more.

The Component Grade breakdown for Vesta Real Estate Corporation Sab De CV (NYSE:VTMX) is: Value: C, Growth: B, Momentum: C, Sentiment: D, Safety: C, Financials: C, and AI: C.

Vesta Real Estate Corporation Sab De CV (NYSE:VTMX) has a Due Diligence Score of 22, which is -3 points lower than the real estate development industry average of 25.

VTMX passed 7 out of 33 due diligence checks and has weak fundamentals. Vesta Real Estate Corporation Sab De CV has seen its stock return 16.54% over the past year, overperforming other real estate development stocks by 31 percentage points.

Vesta Real Estate Corporation Sab De CV has an average 1 year price target of $38.00, an upside of 25.12% from Vesta Real Estate Corporation Sab De CV's current stock price of $30.37.

Vesta Real Estate Corporation Sab De CV stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 1 analyst covering Vesta Real Estate Corporation Sab De CV, 100% have issued a Strong Buy rating, 0% have issued a Buy, 0% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Five Point Holdings (NYSE:FPH) is the #3 top real estate development stock out of 13 with a Zen Rating of C. Stocks with a rating of C have had an average return of +7.53% per year. Learn more.

The Component Grade breakdown for Five Point Holdings (NYSE:FPH) is: Value: C, Growth: F, Momentum: C, Sentiment: C, Safety: C, Financials: C, and AI: C.

Five Point Holdings (NYSE:FPH) has a Due Diligence Score of 39, which is 14 points higher than the real estate development industry average of 25.

FPH passed 12 out of 33 due diligence checks and has average fundamentals. Five Point Holdings has seen its stock return 45.52% over the past year, overperforming other real estate development stocks by 60 percentage points.

66.67% of real estate development stocks rated by analysts are a strong buy right now. On average, analysts expect real estate development stocks to rise by 21.87% over the next year.

0% of real estate development stocks have a Zen Rating of A (Strong Buy), 0% of real estate development stocks are rated B (Buy), 50% are rated C (Hold), 50% are rated D (Sell), and 0% are rated F (Strong Sell).

Based on the Valuation rating, one of the 7 components of a stocks overall Zen Ratings grade, which evaluates factors including estimated earnings yield, earnings before interest and taxes/enterprise value, cash flow yield, free cash flow to price, and price-to-earnings growth (PEG ratio), the 3 most undervalued real estate development stocks right now are:

Forestar Group (NYSE:FOR) is the most undervalued real estate development stock based on its Valuation Rating of B. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Forestar Group has a valuation score of 71, which is 39 points higher than the real estate development industry average of 32. It passed 5 out of 7 valuation due diligence checks.

Forestar Group's stock has dropped -17.61% in the past year. It has underperformed other stocks in the real estate development industry by -3 percentage points.

Five Point Holdings (NYSE:FPH) is the second most undervalued real estate development stock based on its Valuation Rating of C. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Five Point Holdings has a valuation score of 57, which is 25 points higher than the real estate development industry average of 32. It passed 4 out of 7 valuation due diligence checks.

Five Point Holdings's stock has gained 45.52% in the past year. It has overperformed other stocks in the real estate development industry by 60 percentage points.

Vesta Real Estate Corporation Sab De CV (NYSE:VTMX) is the third most undervalued real estate development stock based on its Valuation Rating of C. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Vesta Real Estate Corporation Sab De CV has a valuation score of 14, which is -18 points higher than the real estate development industry average of 32. It passed 1 out of 7 valuation due diligence checks.

Vesta Real Estate Corporation Sab De CV's stock has gained 16.54% in the past year. It has overperformed other stocks in the real estate development industry by 31 percentage points.

Real estate development stocks were down -0.07% in the last day, and up 2.3% over the last week.

We couldn't find a catalyst for why real estate development stocks are down.