Home flipping activity slows nationwide as profits tighten
By: Jonathan Delozier | Published: 2025-06-19 16:44:00 | Source: www.housingwire.com
Margins shrink, investors cautious
According to the report, the typical gross profit on a flipped home in the first quarter was $65,000, down from $70,000 in the previous quarter. This equated to a 25% return on investment (ROI) before expenses — down from 28% in Q4 2024 and far below the 48.8% ROI seen in late 2020. The average investor paid $260,000 for a property and resold it for $325,000.
“The competitive home market means high prices, which is good for short-term investors on the selling end,” Rob Barber, CEO of ATTOM, said in a statement. “But that dynamic is also making it harder to find under-priced homes to buy up and it’s ultimately squeezing profit margins for the industry.
“It’s tricky to balance at times when the market looks like it could take…
