[IMGCAP(1)]
IRVINE, CA—RealtyTrac reports that 26,947 single-family homes wereflipped nationwide in the third quarter of this year, representing4% of US single-family home sales, down from 4.6%in the second quarter and down from 5.6% in the third quarter of2013 to the lowest level since the second quarter of 2009. Flippingis defined as a situation whereby a home is purchased andsubsequently sold again within 12 months.
Despite the decrease in home flips, profits from flipping arerising, according to RealtyTrac. Investors averaged a gross profitof $75,990 per flip on homes flipped in the third quarter, a 36%gross return on the initial investment—not including rehab costsand other expenses. The average gross return was up from 35% in thesecond quarter but down from 37% a year ago.
Continue Reading for Free
Register and gain access to:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
*May exclude premium content
Already have an account?
Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
Carrie Rossenfeld
Carrie Rossenfeld is a reporter for the San Diego and Orange County markets on GlobeSt.com and a contributor to Real Estate Forum. She was a trade-magazine and newsletter editor in New York City before moving to Southern California to become a freelance writer and editor for magazines, books and websites. Rossenfeld has written extensively on topics including commercial real estate, running a medical practice, intellectual-property licensing and giftware. She has edited books about profiting from real estate and has ghostwritten a book about starting a home-based business.
