KEY TAKEAWAYS:
Typical home flip returned 25.1% before expenses, lowest since 2008
Gross profits declined 13.6% year-over-year to $65,300
Median purchase price of flipped homes hit $259,700, a record high
Investors bought 33% of homes sold in Q2, highest in five years
It pays less and less to buy and flip a home these days.
From April through June, the typical home flipped by an investor resulted in a 25.1% return on investment, before expenses. That’s the lowest profit margin for such transactions since 2008, according to an analysis by Attom, a real estate data company.
Gross profits — the difference between what an investor paid for a property and what it sold for — fell 13.6% in the second quarter from a year earlier to $65,300, the firm said. Attom’s analysis defines a flipped