IRVINE, CA — RealtyTrac® (www.realtytrac.com), the nation’s
leading source for comprehensive housing data, today released its Q3 2014 U.S.
Home Flipping Report, which shows that 26,947 single family homes were flipped
nationwide in the third quarter of 2014 — where a home is purchased and
subsequently sold again within 12 months — representing 4.0 percent of all U.S.
single family home sales, down from 4.6 percent in the second quarter of 2014
and down from 5.6 percent in the third quarter of 2013 to the lowest level
since the second quarter of 2009.
Investors averaged a gross profit of $75,990 per flip on
homes flipped in the third quarter of 2014, a 36 percent gross return on the
initial investment — not including rehab costs and other expenses. The average
gross return was up from 35 percent in the second quarter but down from 37
percent a year ago.
“Flipping returned to its historic norm of 4 percent in the
third quarter as home price appreciation cooled in many of the hot flipping
markets across the country,” said Daren Blomquist, vice president at
RealtyTrac.
“Meanwhile, the record-high average profits per flip in the
quarter demonstrate that flippers are still filling an important niche in an
aging housing market with historically low levels of new homes being built.
"The
most successful flippers are buying older, outdated homes in established
neighborhoods and rehabbing them extensively to appeal to modern tastes.”
For a complete copy
of the company’s news release, please contact:
Jennifer von Pohlmann
949.502.8300949.502.8300, ext. 139
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