Join us on LinkedIn Follow us on Twitter Like us on Facebook Follow us on Instagram
 
  OCTOBER RESEARCH STORE Already a subscriber? LOG IN
AddControlToContainer_DynamicNavigation4

Market Watch

ATTOM: Home flipping, investor profits stumble in Q3

Email A Friend Printer Friendly Version
0 comments
Market Watch
Tuesday, December 31, 2024

Property data curator ATTOM released its third-quarter 2024 U.S. Home Flipping Report, showing 74,618 single-family homes and condominiums nationwide were flipped in the third quarter.

Those transactions represented 7.2 percent, or one of every 14 home sales, nationwide during the months running from July through September of 2024.

The latest portion of flipped properties was down from 7.6 percent of all sales during the second quarter of 2024, extending a common pattern seen during annual spring and summer buying seasons when other types of home sales spike. The flipping rate returned to the 7.2 percent level recorded in the third quarter of last year.

However, while the flipping rate followed historical trends, profits turned downward for investors who buy, renovate and quickly resell homes following a period when their fortunes had been improving.

“Home flippers just can’t seem to shake the doldrums. After more than a year when things were getting better, they turned notably worse again over the summer,” ATTOM CEO Rob Barber  said in a release. “One quarter’s worth of numbers isn’t enough to make any grand statements about another downturn. The next six months should speak more to that, especially amid an ongoing tight housing market that should work in their favor. But as interest rates remain double what they were a few years ago and inflation keeps raising renovation costs, investors continue to have a tough time making the kind of profits that would lure more into the game.”

Latest data showed home flipping nationwide generated just a 28.7 percent return on investment before expenses on homes re-sold during the third quarter of this year. That was down from 31.2 percent in the second quarter of 2024 after six straight quarterly increases that had signaled a marked improvement for the flipping industry.

The typical profit margin on homes flipped during the third quarter of 2024 – based on the difference between the median purchase and median resale price for home flips – slid down to only half of the mid-50 percent peak hit in 2016. It also stayed within a range that could easily be wiped out by carrying costs that include renovation expenses, mortgage payments and property taxes, exposing again the struggles U.S. home flippers are having in turning healthy profits.

Gross profits on typical flips around the country, meanwhile, decreased to about $70,000. That was down roughly $5,000 from the prior quarter and $10,000 from highs reached two years ago, although still up slightly from the third quarter of 2023, according to ATTOM.

Today's other top stories
Montana revises its appraiser licensing regulations
Industry leaders take the stage at NS3 in Pittsburgh
C&W appoints senior leader
Fannie Mae projects home sales to rise, mortgage rates to fall starting this year
Podcast: The Regulators Are In: Debunking Myths and Building Trust


COMMENT BOX DISCLAIMER:
October Research is not responsible for the comments posted on its websites by readers. We will do our best to remove comments that include profanity or personal attacks or other inappropriate comments.
Comments:

Be the first to leave a comment.

Leave your comment
CAPTCHA Validation
CAPTCHA
Code:
: 
: 
Your Email is for reporting purposes only. It will NOT be displayed.
Popularity:
This article has been viewed 486 times.

Print Edition - June 9, 2025

News by Topic   In-depth Reports   Events   Subscribe
Conference Coverage
Appraiser News
Commercial Corner
Legal News
Market Watch
Technology Corner
 
 
Expanding Your Appraisal Business
2025 State of the Industry
2024 Voice of the Appraiser
2024 Appraisal Technology
Marketing Your Business
Appraisal Bias
Archives
 
National Settlement Services Summit (NS3)
Women's Leadership Summit (WLS)
Webinars
 
Subscriptions
Free Email Updates
Try a Free Edition
News by Edition   About   Other Publications    
May 12, 2025
May 26, 2025
June 9, 2025
Archives
 
Valuation Review
Contact / Editors
Social Media
Advertise
Request a Media Kit
Are You An Expert?
Subscriber Agreement
 
Dodd Frank Update
RESPA News
The Title Report
The Legal Description
   
Copyright © 2002-2025 Valuation Review
An October Research, LLC publication
3046 Brecksville Road, Suite D, Richfield, OH 44286
(330) 659-6101, All Rights Reserved
www.valuationreview.com | Privacy Policy
VISIT OUR OTHER WEBSITES
> Dodd Frank Update
> RESPA News
> The Title Report
> The Legal Description
> NS3 The Summit
> Women's Leadership Summit
> October Research, LLC
> The October Store
Loading... Loading...
Featuring:
  • Delivery 3X a week plus breaking news as it happens
  • Comprehensive title insurance industry news
  • Recent acquisitions, mergers, real estate stats
  • Exclusive in-depth coverage of the industry's hottest stories
Featuring:
  • Delivery 2X a week plus breaking news as it happens
  • Comprehensive Dodd-Frank coverage
  • The latest information from the CFPB
  • Full coverage of Congressional hearings
  • Updates on all agency actions
  • Analysis of controversial provisions
  • Release of newest studies and reports
Sign up today and...
  • Be one of the first to know where NS3 is being held
  • Learn about NS3 speakers and sessions
  • Save on registration with Super-Early Bird rates
  • Discover the networking opportunities NS3 offers
  • Find out if CE credits will be offered for your area
  • And much more
Featuring:
  • Delivery 2X a week plus breaking news as it happens
  • Preview the latest RESPAnews.com Top Story
  • RESPA related headline news
  • Quote of the Week
Featuring:
  • Delivery 2X a week plus breaking news as it happens
  • Legal, regulatory and legislative information impacting the settlement services industry
  • News from HUD, Congress, state legislatures and other regulatory agencies
  • Follow the lobbying efforts of all the major national real estate services organizations.
Featuring:
  • Delivery 2X a week plus breaking news as it happens
  • The industry's only full-time newsroom
  • Relevant, up-to-date appraisal industry news
  • Covering the hottest stories and industry trends
NEWS BY TOPIC
NEWS BY EDITION
IN-DEPTH REPORTS
EVENTS
RESOURCES
FREE EMAIL UPDATES
ABOUT
SUBSCRIBE
Conference Coverage
Appraiser News
Commercial Corner
Legal News
Market Watch
Technology Corner
Sponsored Content
Current Edition
May 26, 2025
May 12, 2025
April 28, 2025
April 14, 2025
Archives
Expanding Your Appraisal Business
2024 Voice of the Appraiser
2025 State of the Industry
2024 Appraisal Technology
Marketing Your Business
Real Estate Compliance Outlook
Appraisal Bias
Finding & Training the Next Gen
Archives
National Settlement
Services Summit (NS3)
Women's Leadership
Summit (WLS)
Webinars
CFPB's Shake-Up & Its Impact
Technology Series
2025 Economic Outlook Series
Securing Your Cyber Network
Appraising Office Space Today
Compliance Series
Manufactured Housing
Eminent Domain
Keys For Operational Efficiency
Drones Do's and Don'ts
How to be an Expert Witness
Webinar Archives
Keys to Real Estate Podcast
Blog - Tuesdays with Mary
Executive Interview Series
Social Media
Valuation Review
Contact Us
Advertise
Request a Media Kit
Are You An Expert
Subscriber Agreement