The number of homes that were flipped was actually down 8% from the previous year to a three-year low. And the number of investors engaging in home flipping has dropped 11% over the past year. — Marketwatch.com
Life is hard for a home-flipper these days. As real estate prices have ballooned across the country, profit margins for renovated and re-sold homes have narrowed. As a result, the number of homes being flipped has fallen markedly in recent years. What does it mean?
Todd Teta, chief product officer at real estate data firm Attom Data Solutions told MarketWatch, “While the home flipping rate is increasing, gross profits and ROI are starting to weaken. If investors are seeing profit margins drop, they may be acting now and selling before price increases drop even more.”
What this means is that the economy is souring. I got a sales call today from a major regional metal supplier trying to drum up business. Last year I did maybe $800 with them. Things must be looking dim when they call me for business.
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Good. To hell with profiteers cashing in on trends and using lesser materials to make a quick buck. Leave houses to people who live in them.
You are wrong again. Going for a record? Investors buy mostly foreclosures, short sales, and distressed properties. All of which usually require cash and or a conventional loan. most people don’t have the cash to do that. They allow dis properties to recirculate into the market available to homeowners, and yes, make money doing it.
*to be available to homeowners at market value via fha loan or with limited cash deposit money
The two homes in that pic could be flipped, or sit there and rot...
Let's just chalk it up to: jlax is right about everything, and if we just listen to jlax, we'll all be better off.
No, leftists are just usually wrong about most stuff.
Yep, you're absolutely right as rain.
In my neck of the woods, the price to buy a dilapidated house to fix up and flip has become too high. The sellers of the old houses have become too greedy.
What this means is that the economy is souring. I got a sales call today from a major regional metal supplier trying to drum up business. Last year I did maybe $800 with them. Things must be looking dim when they call me for business.
I'm seeing the same thing. A bunch of the big, "prestige" architecture firms in my town showed up at a recent RFP meeting for a very modest municipal project. Such a job would have been beneath them a year or two ago.
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