According to ATTOM’s Q2 2024 U.S. Home Flipping Report, in the second quarter of 2024, 79,540 single-family homes and condominiums were flipped in the United States. These transactions accounted for 7.5 percent, or about one in every 13 home sales, during the period from April to June.
As highlighted in the report, the percentage of flipped properties dropped to 7.5 percent in the second quarter of 2024, down from 8.7 percent in the first quarter—a typical trend during the busy spring buying season when other types of home sales increase. The flipping rate also saw a slight decline from 7.9 percent compared to the same period last year.
ATTOM’s latest home flipping analysis revealed that despite the decline in flipping rates, profits continued to rise for investors involved in buying, renovating, and quickly reselling homes. The latest data shows that investors typically earned a 30.4 percent profit nationwide, before expenses, on homes sold in the second quarter of this year. This marks the fourth increase in profit margins over the last five quarters, following nearly six years of consistent declines.
The report stated that the typical profit margin on homes flipped in the second quarter of 2024—calculated from the difference between the median purchase and resale prices—remained roughly 25 percentage points below the highs of 2016. These margins also stayed within a range that could be quickly offset by carrying costs like renovation expenses, mortgage payments, and property taxes, highlighting the ongoing challenges home flippers face in maintaining strong profits.
The latest home flipping report also stated that in the second quarter of 2024, the median resale price of flipped homes nationwide was $315,000, generating a gross profit of $73,492 above the median purchase price of $241,508. This resulted in a typical gross profit margin of 30.4 percent before expenses, up from 29.2 percent in the first quarter of 2024 and 27.8 percent in the same period last year. However, this margin remains significantly lower than the 56.3 percent peak in mid-2016 and the more recent high of 48.8 percent in 2020.
The analysis stated that in the second quarter of 2024, typical gross profit margins reached at least 30 percent in 105 metro areas—nearly six out of every ten metros with sufficient data for analysis. Among metro areas with populations of at least 1 million, the largest annual increases in profit margins occurred in Buffalo, NY (ROI up from 66.7 percent in the second quarter of 2023 to 95.7 percent in the second quarter of 2024); Cleveland, OH (up from 40 percent to 66.7 percent); Memphis, TN (up from 52.6 percent to 73.5 percent); Tulsa, OK (up from 39.7 percent to 59.2 percent) and Cincinnati, OH (up from 40.6 percent to 58 percent).
In this post, we take a more granular look at the data behind ATTOM’s latest U.S. Home Flipping Report to reveal the top 10 U.S. Metropolitan Statistical Areas with the highest annual percentage increases in home flipping returns in Q2 2024. Among those MSA’s with a population greater than 200,000 and 50 or more home flips in Q2, 2024, those with the highest annual percentage increases in home flipping returns include:
#10 – Lakeland-Winter Haven, FL
- 5 percent ROI in Q2 2024
- 5 percent ROI in Q2 2023
#9 – Flint, MI
- 1 percent ROI in Q2 2024
- 6 percent ROI in Q2 2023
#8 – Buffalo-Cheektowaga-Niagara Falls, NY
- 7 percent ROI in Q2 2024
- 7 percent ROI in Q2 2023
#7 – Peoria, IL
- 79 percent ROI in Q2 2024
- 4 percent ROI in Q2 2023
#6 – Hilo, HI
- 1 percent ROI in Q2 2024
- 2 percent ROI in Q2 2023
#5 – Spokane-Spokane Valley, WA
- 4 percent ROI in Q2 2024
- 6 percent ROI in Q2 2023
#4 – Gainesville, FL
- 3 percent ROI in Q2 2024
- 2 percent ROI in Q2 2023
#3 – Springfield, IL
- 75 percent ROI in Q2 2024
- 5 percent ROI in Q2 2023
#2 – Cape Coral-Fort Myers, FL
- 4 percent ROI in Q2 2024
- 8 percent ROI in Q2 2023
#1 – Akron, OH
- 1 percent ROI in Q2 2024
- 9 percent ROI in Q2 2023
Want to learn more about home flipping trends in your area? Contact us to find out how!
