Warren Buffett Doubles Down On US Housing Market With Triple-Digit Increase In Homebuilder And Building Supply Firms Holdings.

Warren Buffett's Berkshire Hathaway has doubled down on the US housing market, increasing its holdings in homebuilders and building supply firms by triple digits. Berkshire has established new positions in Pool Corp., DR Horton, Lennar Corp., Nucor Corp., and Allegion PLC. Buffett's conviction in the sector is strong, with the spread between US home sellers and buyers at its largest in a decade and mortgage rates at their lowest in 10 months.

Warren Buffett's Berkshire Hathaway Inc. (BRK.B) has significantly increased its investments in the U.S. housing market, as revealed in its second-quarter 13F filing for 2025. The legendary investor has established new positions and dramatically increased stakes in several home construction and building supply companies, signaling a strong conviction in the sector.

Berkshire Hathaway's key housing-related moves in the second quarter include:

- Pool Corp. (POOL): Berkshire increased its holding by 136%, growing from 1,464,000 shares in the first quarter to 3,458,885 shares by June 30, 2025. The position is now valued at $1.008 billion [1].
- Lennar Corp. (LEN): Berkshire added a new stake of 7,048,993 Class A shares worth $779.69 million. Additionally, it increased its Class B LEN shares by 19%, from 152,572 to 180,930 shares. The total value of Berkshire's Lennar holdings is now approximately $799 million [1].
- DR Horton Inc. (DHI): Berkshire initiated a new position of 1,485,350 shares, valued at $191.49 million [1].
- Nucor Corp. (NUE): Berkshire added a new position of 6,614,112 shares, valued at $856.79 million [1].
- Allegion PLC (ALLE): Berkshire placed a new stake of 780,133 shares, valued at $112.43 million [1].

These investments come at a time when the spread between U.S. home sellers and buyers is the largest it has been in a decade. According to a Redfin analysis, there were 1,922,546 sellers and 1,413,331 buyers in the market as of June 2025. Additionally, mortgage rates have fallen to their lowest level in 10 months and the lowest of 2025 [1].

Berkshire Hathaway's strategic shift into real assets, such as housing and infrastructure, is perceived as a response to the current economic climate. This move could potentially be among Buffett's last as CEO before he retires at the end of the year. Despite Berkshire Hathaway being a net seller for the 11th consecutive quarter, these investments suggest the company's strategy to tackle economic uncertainty [2].

References:

[1] https://www.benzinga.com/real-estate/25/08/47174809/warren-buffett-doubles-down-on-americas-housing-boom-upping-berkshires-holdings-in-homebuilders-and-building-supply-firms-by-triple-digits
[2] https://www.aol.com/warren-buffetts-berkshire-hathaway-discloses-205107064.html