Sectors & IndustriesReal Estate

Best Real Estate Stocks to Buy Now (2025)

Top real estate stocks in 2025 ranked by overall Due Diligence Score. See the best real estate stocks to buy now, according to analyst forecasts for the real estate sector.

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 stocks to buy right now are:

Comstock Holding Companies (NASDAQ:CHCI) is the #1 top real estate stock out of 265 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

The Component Grade breakdown for Comstock Holding Companies (NASDAQ:CHCI) is: Value: B, Growth: B, Momentum: B, Sentiment: C, Safety: D, Financials: A, and AI: C.

Comstock Holding Companies (NASDAQ:CHCI) has a Due Diligence Score of 59, which is 32 points higher than the real estate sector average of 27. It passed 19 out of 33 due diligence checks and has strong fundamentals. Comstock Holding Companies has seen its stock return 26.83% over the past year, overperforming other real estate stocks by 52 percentage points.

Re/Max Holdings (NYSE:RMAX) is the #2 top real estate stock out of 265 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

The Component Grade breakdown for Re/Max Holdings (NYSE:RMAX) is: Value: B, Growth: C, Momentum: C, Sentiment: C, Safety: A, Financials: B, and AI: B.

Re/Max Holdings (NYSE:RMAX) has a Due Diligence Score of 31, which is 4 points higher than the real estate sector average of 27. It passed 12 out of 38 due diligence checks and has average fundamentals. Re/Max Holdings has seen its stock lose -1.12% over the past year, overperforming other real estate stocks by 24 percentage points.

Five Point Holdings (NYSE:FPH) is the #3 top real estate stock out of 265 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

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

Five Point Holdings (NYSE:FPH) has a Due Diligence Score of 36, which is 9 points higher than the real estate sector average of 27. It passed 11 out of 33 due diligence checks and has average fundamentals. Five Point Holdings has seen its stock return 62.33% over the past year, overperforming other real estate stocks by 87 percentage points.

Out of 180 real estate stocks that have issued dividends in the past year, the 3 real estate stocks with the highest dividend yields are:

Invesco Mortgage Capital (NYSE:IVR) has an annual dividend yield of 23.51%, which is 15 percentage points higher than the real estate sector average of 8.55%. Invesco Mortgage Capital's dividend payout is not stable, having dropped more than 10% five times in the last 10 years. Invesco Mortgage Capital's dividend has not shown consistent growth over the last 10 years.

Invesco Mortgage Capital's dividend payout ratio of 246.2% indicates that its high dividend yield might not be sustainable for the long-term.

Orchid Island Capital (NYSE:ORC) has an annual dividend yield of 20.4%, which is 12 percentage points higher than the real estate sector average of 8.55%. Orchid Island Capital's dividend payout is not stable, having dropped more than 10% nine times in the last 10 years. Orchid Island Capital's dividend has not shown consistent growth over the last 10 years.

Orchid Island Capital's dividend payout ratio of 252.6% indicates that its high dividend yield might not be sustainable for the long-term.

Ares Commercial Real Estate (NYSE:ACRE) has an annual dividend yield of 18.26%, which is 10 percentage points higher than the real estate sector average of 8.55%. Ares Commercial Real Estate's dividend payout is not stable, having dropped more than 10% two times in the last 10 years. Ares Commercial Real Estate's dividend has not shown consistent growth over the last 10 years.

Ares Commercial Real Estate's dividend payout ratio of -156.2% indicates that its high dividend yield might not be sustainable for the long-term.

Real estate stocks were down -1.8% in the last day, and down -0.52% over the last week.

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

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 stocks right now are:

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

Rithm Capital has a valuation score of 71, which is 44 points higher than the real estate sector average of 27. It passed 5 out of 7 valuation due diligence checks.

Rithm Capital's stock has dropped -8.87% in the past year. It has overperformed other stocks in the real estate sector by 16 percentage points.

Re/Max Holdings (NYSE:RMAX) is the second most undervalued real estate stock based on its Valuation Rating of B. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Re/Max Holdings has a valuation score of 71, which is 44 points higher than the real estate sector average of 27. It passed 5 out of 7 valuation due diligence checks.

Re/Max Holdings's stock has dropped -1.12% in the past year. It has overperformed other stocks in the real estate sector by 24 percentage points.

Invesco Mortgage Capital (NYSE:IVR) is the third most undervalued real estate stock based on its Valuation Rating of B. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Invesco Mortgage Capital has a valuation score of 57, which is 30 points higher than the real estate sector average of 27. It passed 4 out of 7 valuation due diligence checks.

Invesco Mortgage Capital's stock has dropped -21.74% in the past year. It has overperformed other stocks in the real estate sector by 3 percentage points.

44.89% of real estate stocks rated by analysts are a buy right now. On average, analysts expect real estate stocks to rise by 23.53% over the next year.

3.11% of real estate stocks have a Zen Rating of A (Strong Buy), 2.67% of real estate stocks are rated B (Buy), 67.56% are rated C (Hold), 21.78% are rated D (Sell), and 4.89% are rated F (Strong Sell).