Updated over 10 years ago on . Most recent reply
Where is flipping hot right now?
I'm from Sacramento and the flips have dried up here. I've been buying rentals in the Midwest and am getting eager to find where a hot market for flipping is at the moment. Anyone having success flipping anywhere right now?
Most Popular Reply
To me the best flip markets are areas that are also appreciating at a high rate. However, in those areas you will normally deal with two things:
1. Lot of competition (low inventory)
2. Normally you will see higher prices on flip as an entry point. Meaning, a flip may cost 150k to purchase plus rehab or even higher.
There are some markets that are appreciating that you can still get in at a lower entry, but inventory is still very tight.
I love the midwest flips, not a ton of competition, they are bread and butter 3/2 for small families, and a lot of inventory. Now the downside is Midwest areas is that appreciation is minute at best. So in 6 months after you flip the house it will still be at the same ARV. Positive is if the market crashes those houses will also not really go down in value either, and turn into great landlord friendly states for rentals.
Just my two cents....
Also, please notice I do not live in the Midwest I live in ATL however I flip a lot in the Midwest because of what I mentioned above.