According to ATTOM’s recently released Q1 2021 U.S. Home Flipping Report, both the home flipping rate and gross profits declined nationwide in the first quarter of 2021. With home flips representing just 2.7 percent of all home sales in Q1 2021, the home flipping rate fell to the lowest level since 2000.
ATTOM’s latest home flipping market analysis found that the gross profit on the typical U.S. home flip declined in Q1 2021 to $63,500, translating into a 37.8 percent ROI compared to the original acquisition price. The gross flipping ROI reached its lowest point since the second quarter of 2011.
The report noted that the home flipping rate decreased from Q4 2020 to Q1 2021 in 76 of the 108 metro areas analyzed, commonly dropping from about 5 percent to 3 percent. Metro areas were included in the analysis if they had at a population of 200,000 or more and at least 50 home flips in Q1 2021.
ATTOM’s Q1 2021 home flipping report named those metro areas with the largest quarterly decreases in the home flipping rate. Those markets included Memphis, TN (rate down 80 percent); Lakeland, FL (down 75 percent); San Francisco, CA (down 74 percent); Columbia, SC (down 73 percent) and Palm Bay, FL (down 73 percent).
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