According to a 2016 report by ATTOM Data Solutions, house flipping is once again proliferating among property managers following its sharp decline after the 2008 financial crisis.
In fact, the report showed that from 2015 to 2016 alone, the number of houses flipped (i.e. sold for the second time in a 12-month period, usually with no-one actually moving in to the residence) rose by 3.1%; that means it’s at its highest level since 2006, with 193,000 homes and condos being flipped.
So, you might be wondering about how to get started with house flipping yourself and – while it is an extensively intricate topic to really cover in a comprehensive sense – we thought we’d take a look at a few of the states providing the most lucrative flipping opportunities in today’s post.
San Jose, California
San Jose is an amazing city to live in, and the rich are shelling out significant sums of cash to get on to the property ladder in the area. This has provided a lot of eating for house flippers, who managed to receive an average of $145,000 for all of their flips in 2015/6.
In fact, out of 110 metro areas studied, it was ranked as the joint number one place to make a profit for those looking to flip a home.
The capital of Ma is a great place for families to move to. Highly regarded for its schools and culture, it has been recognised over the years for its lauded intellectual reputation. In fact, Mark Twain once said of the city:
“In New York, they ask, ‘How much money does he have?’ In Philadelphia, they ask, ‘Who were his parents?’ In Boston they ask, ‘How much does he know?”
Such is the desire to live in the city that, like San Jose, it has become a great place for house flippers to buy and sell property; flippers there made an average of $140,000 in profit in 2016.
San Francisco, California
It may often be dull, dreary, and wet, but San Francisco still manages to lure millions of visitors both domestically and internationally every year. In fact, just like its fellow California county, San Jose, San Francisco flips averaged $145,000 over the one year period.
Daren Blomquist, the senior Vice President over at RealtyTrac (a company devoted to providing information which puts together analytics for house-flipping transactions across the states), discussed this during an interview. “That’s a big one”, he said when talking about San Fran. He noted that it’s particularly “hard to flip in those [Bay Area] markets”, but also that – for those who manage to make it work – “you get a big bang for your buck”.
Avoid Like the Plague
For those of you who were wondering, the bottom of the list was occupied by many of the states you’d expect; the worst place to flip a home, though? Detroit.
“You’d have to do about seven flips in Detroit to equal one flip in the Bay Area”, said Blomquist during the same interview.
Nevertheless, there are countless opportunities in any state to start growing your income using house flipping. Equipped with the necessary knowledge and funds for investment, you can start to see massive returns, and we definitely recommend it to anyone out there who’s interested in trading.