Flipping Luxury Homes
Investors are taking on bigger projects and finding an increasing appetite for flipped high-end homes.
over $1 million were flipped, compared to 2.2 percent in 2017, according to data from realtor.com®. Realtor.com® analyzed markets where at least 20 flipped homes sold for more than $1 million from January to October 2018. They defined flip as a home that sold twice for a profit within a year.
The markets seeing some of the largest number of luxury housing flips are in California, particularly the Los Angeles, Long Beach, and Anaheim areas, with the percentage of luxury home flips increasing from 3.4 percent in 2017 to 4 percent in 2018.
“It was one of the fastest-growing luxury markets last year overall, so it’s a function of sales being higher and growing at a healthy pace, which can result in flips growing at a healthy pace,” Javier Vivas, director of economic research at realtor.com®, told Mansion Global. “The share of inventory above $1 million in Los Angeles is large, too, and above most other markets.”