Home flips represented just 2.7% of all sales in Q1 2021. Home flipping gross ROI hit lowest level since Q2 2011.
Home Flipping Has Seen Better Days
According to the recently released ATTOM Data Solutions’ Q1 2021 US Home Flipping Report, both the home flipping rate and its gross profits nationwide dropped during the first quarter of 2021.
Home flips accounted for just 2.7% of all sales during Q1 2021, the lowest level since 2000. Likewise, the gross profit on a typical home flip dropped to $63,500. This gross profit translated into a 37.8% ROI compared to the home’s original acquisition price. This 37.8% flipping gross ROI was the lowest level since Q1 2011.
Home Flipping Rate Dropped from Q4 2020 to Q1 2021 in 76 of 108 Metros Analyzed by ATTOM.
Metros with the largest quarterly drops in the rate of home flipping included:
- Memphis TN – -80%
- Lakeland FL –75%
- San Francisco – =74%
- Columbia SC – -73%
- Palm Bay FL – -73%
Metros with the largest quarterly upticks in the rate of home flipping included:
- Springfield MA – +114%
- Albuquerque NM -+103%
- Springfield IL – +95%
- South Bend IN – +86^&
- Boston MA – +79%
Home Flipping Profit Margins from Q1 2020 to Q1 2021 Dropped in 67 of 106 Metros
Metro markets with the biggest quarterly declines in home flipping profit margins ROI included:
- Savannah GA – -80%
- Tuscaloosa AL – -76%
- Salisbury MD – -73%
- Evansville IN – -71%
- Davenport IA – -68%
Metro markets with the biggest quarterly increases in home flipping profit margins ROI included:
- Springfield MO – +120%
- Provo UT – +118%
- Omaha NB – +101%
- Lynchburg VA – +101%
- Pittsburgh PA – +88%
Markets with Fastest Flip Times in Q1 2021
According to ATTOM’s latest home flipping report, the nationwide average in Q1 2021 to buy and sell a flipped house was 159 days. This is the lowest level of turnaround time since Q3 2013. 159days to complete a transaction on a flipped house is also down from an average of 175 days in both Q4 and Q1 2020.
Metro markets with the fastest flip times in Q1 2021 included:
- Nashville-Davidson-Murfreesboro-Franklin TN – 107 days
- Atlanta-Sandy Springs-Roswell GA – 115 days
- Boise City ID – 116 days
- Las Vegas-Henderson-Paradise NV – 117 days
- Barnstable Town MA – 123 days
- Fayetteville NC – 126 days
- Detroit-Warren-Dearborn MI- 128 days
- Raleigh NC – 129 days
- Greenville-Anderson, Maudlin SC – 129 days
- Sacramento-Roseville-Arden-Arcade CA – 130 day
Metro markets with the slowest flip times in Q1 2021 included:
- Myrtle Beach-Conway-North Myrtle Beach SC-NC – 221 days
- Provo-Orem UT – 208 days
- Port St. Lucie FL – 200 days
- New York-Newark-Jersey City NY-NJ-PA – 200 days
- Worcester MA-CT – 199 days
- New Haven-Milford CT – 193 days
- Rochester NY – 192 days
- Cape Coral-Fort Myers FL – 192 days
- Winston-Salem NC – 192 days
- Pensacola-Ferry Pass-Brent FL – 191 days
Thanks to ATTOM Data Solutions.
