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Report: Fewer Homes Being Flipped

  

Flipping, that's when someone buys a house and sells it again within six months. Daren Blomquist is with the research firm RealtyTrac which released its third-quarter statistics on flipping.

"It was interesting in Stockton where we'd seen a lot of flipping in the past, it's been a hot spot as the market recovers there, is that flipping is actually down quite a bit from a year ago."

Down 37%, one of the biggest drops in the country. Sacramento had a 13% year-over-year drop, and California as a whole saw a 9% drop.

Blomquist says it's because rising home prices and fewer foreclosures are making it harder to turn a quick profit on flipping a home.

Bucking the trend is Reno, where flipping increased by 9% from a year ago. 

"Part of the reason, the difference in Nevada versus California, is we that do have a market where foreclosures are rebounding."

The average house flip in Reno earned the seller a $52,000 profit in the third quarter.

Meanwhile, when it comes to high-end flips on U.S. homes that were sold for $750,000 or more, most of those took place in four coastal California markets: San Francisco, San Jose, Los Angeles and San Diego.

 

Steve Milne

Morning Edition Anchor & Reporter

Steve is the voice of Capital Public Radio News as anchor of Morning Edition and Insight. He covers stories on a wide range of topics including: business, education, real estate, agriculture and music. Steve also produced stories for CapRadio.org.   Read Full Bio 

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