The number of homes flipped by investors in 2024 declined for the second straight year, dropping 7.7% from 2023 and a whopping 32.4% from a recent peak in 2022, according to Attom’s 2024 Home Flipping Report.
Last year, 297,885 single-family homes and condominiums were flipped in the U.S., a steep decline from the nearly 441,000 flipped in 2022. That drop was mirrored by a decline in flips as a portion of all sales, as well: Flips represented 8.1% of all sales in 2023, but just 7.6% in 2024.
The decline in overall flips is likely attributable to declines in the profitability of flipping homes over the past decade. After hitting a peak of 54.2% return on investment (before accounting for mortgage interest, property taxes, renovation expenses and other holding costs) in 2016, flipping has seen tighter profit margins ever since, as home prices have increased but the inventory of foreclosures and other distressed properties has declined…