Orlando, Tampa, Lakeland among best for flipping homes
The Associated Press The Associated Press
Published: May 2, 2013
Updated: May 2, 2013 at 02:23 PM
ORLANDO — A new report says metro Orlando leads the nation as the best place to make a profit flipping homes, with Tampa and Lakeland close behind.
The report released today by RealtyTrac says Orlando last year was best in the nation in terms of the rate of return for purchasing a house and then selling it within six months.
Metro areas that ranked behind Orlando were: Las Vegas; Phoenix; Tampa; Memphis, Tenn.; Miami; Lakeland; Nashville; Sarasota; and Tucson, Ariz.
The report says the average purchase price for a home in Orlando was $103,701, and the average price it sold for was $168,677. The deal makes the seller a 62 percent return.
In Tampa, the average price for a preflipped house is listed as $79,538, and then it is sold for an average price of $113,676. This transaction would give the seller a 42 percent return.
In Polk County, Lakeland houses were popular with the average purchase price of $68,444, and a resale average price of $93,715, yielding a return of 37 percent. Another popular area near Tampa was Sarasota, where the preflipped homes sell for an average of $116,783, and then they are resold for an average of $156,983. In that case it would yield a 34 percent return, according to RealtyTrac.
RealtyTrac looked at more than 600 metro areas nationwide that had flips of single-family homes in 2012. A flip was cited where a sale of home occurred within six months or less of the previous sale of the same home. The reviewers then narrowed it to metros with at least 500 flips, and then to areas with at least a 9 percent annual increase in home values between the first quarter of 2012 and the first quarter of 2013.