NEWS: Over 300,000 U.S. Homes Were Flipped in 2021, Highest Since 2006

As the Real Estate market has been booming, so did the house flipping business. According to a recent article on The World Property Journal, 323,000 homes were flipped just during 2021. 

The report reveals that the number of home flips in 2021 was up from 257,091 in 2020 to a total not seen since nearly 334,000 homes were flipped by investors in 2006. Last year's flips represented 5.5 percent of all home sales in the nation during 2021, down from 5.8 percent in 2020 and 6.1 percent in 2019.

Although the gross profits on flipping houses haven't been that high compared to other years, the numbers of houses flipped still remained high. 

"While gross profits were lower for fix-and-flip investors in 2021, there may have been offsets that protected net profits," said Rick Sharga, ATTOM's executive vice president of market intelligence. "Fewer flippers financed their purchases, so their cost of capital was lower. And it took less time to execute a flip, reducing holding costs, and suggesting that less extensive - and less expensive - repairs were needed to bring the properties to market. A lot of the mark-up on fix-and-flip properties historically has come from the value of those repairs, but so have a lot of the costs that reduce net profits."

Even though the past couple of pandemic years impacted the renovation costs, therefore the gross profits on flipping houses, the forecasted numbers for the upcoming years remain promising.