Warren Buffett’s Berkshire pours $8.5B on US homebuilder — a big bold bet on America’s housing comeback. Build wealth from the rebound now

And Buffett appears impressed.

“Greg did that faster than I could have done it, smoother than I could have done it, and I never talked to the CEO,” Buffett told CNBC’s Becky Quick. “He has launched.”

That is a powerful endorsement from the Oracle of Omaha — and a clear signal that Berkshire is not backing away from big deals in the post-Buffett era. If anything, Buffett seems confident that Abel may take the company to new heights.

Under the agreement, Berkshire will pay $72.50 per share in cash for Taylor Morrison, valuing homebuilder’s equity at about $6.8 billion and represents a 24% premium to its May 29 closing price of $58.50.

Investors noticed. Taylor Morrison shares surged more than 22% after the deal was announced.

The timing is what makes the move so interesting.

Berkshire doubles down

The housing market has been under heavy pressure. Mortgage rates remain elevated. Affordability is stretched. Many would-be buyers have been priced out. Existing homeowners with low mortgage rates have been reluctant to sell, choking off supply. And homebuilders have had to navigate a difficult mix of higher costs, cautious buyers and economic uncertainty.

But Berkshire is not known for chasing hot trends. It is known for buying durable businesses when the long-term math looks attractive.

And housing is one of the most essential industries in America. No matter what happens in the economy, people still need a place to live.

For Berkshire, Taylor Morrison adds to an already sizable housing footprint.

Berkshire owns Clayton Homes, a major manufactured housing company. It owns housing-related businesses such as Benjamin Moore paint, Johns Manville insulation and Acme Brick. The company also has exposure to real estate brokerage through Berkshire Hathaway HomeServices.

In other words, this is not Berkshire suddenly discovering housing.

It is doubling down.

In the deal announcement, Abel said that Berkshire expects to unify its site-built homebuilding operations over time into a combined platform “enabling us to deliver the dream of homeownership to more Americans.”

But that American dream has become increasingly difficult for many families to reach.

Home prices have trended higher for decades. In just the last 10 years, the S&P Cotality Case-Shiller U.S. National Home Price NSA Index has jumped 88%, reflecting strong demand, limited supply and years of underbuilding.

Former Federal Reserve Chair Jerome Powell has pointed to the root cause: America simply does not have enough homes.

“The real issue with housing is that we have had and are on track to continue to have, not enough housing,” he said.

According to Realtor.com, the housing supply gap in America has now exceeded four million homes.

That helps explain why Berkshire may be willing to look past today’s pain and towards tomorrow’s gains.

The company is not buying Taylor Morrison for next quarter. It is buying into the idea that, come what may, Americans will still need homes.

That leaves regular investors with an obvious question: if Taylor Morrison is being taken private, how can they still ride a potential housing rebound?

Here are three ways to get in the game.

Earn rental income without becoming a landlord

If America remains short on homes, rental housing could stay in demand.

That is one reason rental real estate has long been a popular way to build wealth. When you own a rental property, and tenants pay rent, you can generate a steady stream of monthly income.

Rental properties can also serve as a hedge against inflation. Over time, property values and rents often rise alongside the cost of living, helping owners preserve purchasing power.

Of course, being a landlord is not always passive. Properties require maintenance. Tenants can move out. Repairs can be expensive. And that’s if you can save enough for a down payment and qualify for a mortgage in the first place.

The good news? You don’t need to buy a property outright — or deal with leaky faucets — to invest in real estate today. Mogul is a crowdfunding platform that offers an easier way to get exposure to this income-generating asset class.

As a real estate investment option offering fractional ownership in blue-chip rental properties, it gives investors monthly rental income, real-time appreciation and tax benefits — without the need for a hefty down payment or 3 a.m. tenant calls.

Founded by former Goldman Sachs real estate investors, the team hand-picks the top 1% of single-family rental homes nationwide for you. In other words, you gain access to institutional-quality offerings for a fraction of the usual cost.

Each property undergoes a rigorous vetting process, requiring a minimum 12% return even in downside scenarios. Across the board, the platform features an average annual IRR of 18.8%. Offerings often sell out in under three hours, with investments typically ranging between $15,000 and $40,000 per property.

Sign up for an account and browse available properties here to start investing today.

Tap into multifamily real estate

The housing shortage does not only affect single-family homes.

When home prices remain elevated, and mortgage rates keep monthly payments high, many Americans stay in the rental market longer. That can support demand for multifamily properties — including apartment communities that house dozens, hundreds or even thousands of residents under one roof.

For investors, multifamily real estate can offer exposure to a large and essential corner of the housing market without relying on one house or one tenant.