House-flip profits edge up in Orlando
The gross profit from flipping a house in the four-county Orlando metropolitan area edged up to an average of $37,615 in 2013 from $36,518 in 2012, a new report shows.
Investors purchasing houses and reselling them within six months realized the increase in profits during a year in which home prices increased about 20 percent in the Orlando metro market, according to real estate research group RealtyTrac. The profits do not reflect the improvements and repairs investors made.
“Strong home price appreciation in many markets boosted profits for flippers in 2013 despite a shrinking inventory of lower-priced foreclosure homes to purchase,” said Daren Blomquist, vice president of RealtyTrac.
In the Orlando market during 2013, flipped houses were sold within six months for an average price of $153,849.
The number of Orlando-area houses trading hands within six months increased in from 924 homes in 2011, to 1,831 properties in 2012, to 2,219 homes last year. Flipped sales have become a greater share of the houses trading hands in Metropolitan Orlando, increasing from 3.41 percent of all single-family sales in 2011 to 6 percent of sales last year.