House flipping data<\/h3>\n![\"quick](\"https:\/\/i0.wp.com\/www.nar.realtor\/sites\/default\/files\/2018-09-housing-indicators-infographic-2400w-2601h.png?resize=200%2C250&ssl=1\")
<\/a>House flipping is a significant portion of home sales (Home Stats infographic from nar.realtor)<\/figcaption><\/figure>\nATTOM Data Solutions<\/a> (attomdata.com), the data solutions behind Realtytrac, recently released its Home Flipping Report for Q1 2018.\u00a0 The report indicated that there were 48,457 U.S. homes that were flipped, which represented 6.9 percent of all home sales.\u00a0 Although the number of homes flipped decreased 3 percent from last year, the percentage of flipped homes in the home sale inventory increased!\u00a0 The number of flipped homes decreased to a two-year low, but the home flipping rate is the highest since 2012.\u00a0 The average gross profit of $69,500 is at the highest point since ATTOM started collecting the data in 2000.<\/p>\nGiven the stats and profits, it was just a matter of time for the mom and pop home flipping business to become corporatized.\u00a0 Using the power of the internet and corporate financing, companies such as Opendoor, Offerpad, and recently Zillow have become players in house flipping business.\u00a0 Whether corporate flippers are profitable or have a sustainable business model is for another column.\u00a0 But, there is no doubt that home sellers are seduced by one-click instant offers and promises of a quick closing.<\/p>\n
How real estate\u00a0 investors operate<\/h2>\n
House flippers are known to buy foreclosures and other financially distressed properties.\u00a0 However, these real estate investors also go after other properties too, as long as it\u2019s financially feasible (it\u2019s a business after all).\u00a0 Other types of targeted homes include estate sales, divorce sales, long-time rentals, and outdated or obsolete homes.\u00a0 So, if you haven\u2019t already received a letter offering you a quick offer and fast closing, it\u2019s just a matter of time.<\/p>\n
For some home sellers, a quick sale to an investor is fitting.\u00a0 The seller is disposing of a home that would otherwise continue to be a financial burden and deteriorate further.\u00a0 However, many realize they can sell for more<\/a> on the open market (MLS).<\/p>\nIs a quick sale to an investor all it’s cracked up to be?<\/h2>\n
If you\u2019re thinking of selling your home (or even currently selling), you might be fascinated by the idea of a quick sale.\u00a0 But for most, the dream of selling for a large sum and closing quickly is just a fantasy.\u00a0 You should realize that home flipping is risky business, and the investors build their costs into their offer.\u00a0 So, be prepared for a really low offer.\u00a0 A typical investor offer is about 70 percent of the home\u2019s value minus rehab, carrying, and marketing costs.<\/strong><\/p>\nBefore you sell to an investor, do your due diligence<\/a>.\u00a0 Compare multiple investor offers.\u00a0 Verify that the investor is legitimate.\u00a0 Be wary of investors who include extended contingencies.\u00a0 Be aware that \u201cwholesalers\u201d will tie up your home while looking to sell their purchase contract to other investors.\u00a0 Although most investors promise \u201ccash\u201d deals, the reality is that most investors actually borrow money.\u00a0 It is not uncommon for investors to back out or default on a deal because their financing doesn\u2019t come through.\u00a0 Most important, have your attorney review any contract before you sign.<\/p>\nAlso, talk to a Realtor<\/a>.\u00a0 You could possibly sell your home for more than the investor\u2019s \u201cinstant\u201d offer.\u00a0 Marketing your home on the MLS at a price appropriate for its condition could net you more.<\/p>\nOriginal is located at https:\/\/dankrell.com\/blog\/2018\/10\/11\/quick-sale-promises\/<\/p>\n
By Dan Krell<\/a>.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Copyright \u00a9 2018.<\/p>\nIf you like this post, do not copy; instead please:
\nlink to the article<\/a>,
\nlike it on facebook<\/a>
\nor re-tweet<\/a>.<\/p>\n![\"Protected](\"https:\/\/i0.wp.com\/banners.copyscape.com\/images\/cs-bk-3d-234x16.gif?resize=234%2C16\" "\\"Protected")
<\/a>
\nDisclaimer<\/a>. This article is not intended to provide nor should it be relied upon for legal and financial advice. Readers should not rely solely on the information contained herein, as it does not purport to be comprehensive or render specific advice. Readers should consult with an attorney regarding local real estate laws and customs as they vary by state and jurisdiction. Using this article without permission is a violation of copyright laws.<\/p>\n","protected":false},"excerpt":{"rendered":"Is a quick sale to a real estate investor worth it? House flipping is a misunderstood industry.\u00a0 Sure, these investors promise a quick sale, but legitimate home flipping is valuable to the real estate industry and the community.\u00a0 Home flippers revitalize run-down homes, and market appealing homes to home buyers.\u00a0 In a low inventory housing … <\/p>\n
<\/a>ATTOM Data Solutions<\/a> (attomdata.com), the data solutions behind Realtytrac, recently released its Home Flipping Report for Q1 2018.\u00a0 The report indicated that there were 48,457 U.S. homes that were flipped, which represented 6.9 percent of all home sales.\u00a0 Although the number of homes flipped decreased 3 percent from last year, the percentage of flipped homes in the home sale inventory increased!\u00a0 The number of flipped homes decreased to a two-year low, but the home flipping rate is the highest since 2012.\u00a0 The average gross profit of $69,500 is at the highest point since ATTOM started collecting the data in 2000.<\/p>\n Given the stats and profits, it was just a matter of time for the mom and pop home flipping business to become corporatized.\u00a0 Using the power of the internet and corporate financing, companies such as Opendoor, Offerpad, and recently Zillow have become players in house flipping business.\u00a0 Whether corporate flippers are profitable or have a sustainable business model is for another column.\u00a0 But, there is no doubt that home sellers are seduced by one-click instant offers and promises of a quick closing.<\/p>\n House flippers are known to buy foreclosures and other financially distressed properties.\u00a0 However, these real estate investors also go after other properties too, as long as it\u2019s financially feasible (it\u2019s a business after all).\u00a0 Other types of targeted homes include estate sales, divorce sales, long-time rentals, and outdated or obsolete homes.\u00a0 So, if you haven\u2019t already received a letter offering you a quick offer and fast closing, it\u2019s just a matter of time.<\/p>\n For some home sellers, a quick sale to an investor is fitting.\u00a0 The seller is disposing of a home that would otherwise continue to be a financial burden and deteriorate further.\u00a0 However, many realize they can sell for more<\/a> on the open market (MLS).<\/p>\n If you\u2019re thinking of selling your home (or even currently selling), you might be fascinated by the idea of a quick sale.\u00a0 But for most, the dream of selling for a large sum and closing quickly is just a fantasy.\u00a0 You should realize that home flipping is risky business, and the investors build their costs into their offer.\u00a0 So, be prepared for a really low offer.\u00a0 A typical investor offer is about 70 percent of the home\u2019s value minus rehab, carrying, and marketing costs.<\/strong><\/p>\n Before you sell to an investor, do your due diligence<\/a>.\u00a0 Compare multiple investor offers.\u00a0 Verify that the investor is legitimate.\u00a0 Be wary of investors who include extended contingencies.\u00a0 Be aware that \u201cwholesalers\u201d will tie up your home while looking to sell their purchase contract to other investors.\u00a0 Although most investors promise \u201ccash\u201d deals, the reality is that most investors actually borrow money.\u00a0 It is not uncommon for investors to back out or default on a deal because their financing doesn\u2019t come through.\u00a0 Most important, have your attorney review any contract before you sign.<\/p>\n Also, talk to a Realtor<\/a>.\u00a0 You could possibly sell your home for more than the investor\u2019s \u201cinstant\u201d offer.\u00a0 Marketing your home on the MLS at a price appropriate for its condition could net you more.<\/p>\n Original is located at https:\/\/dankrell.com\/blog\/2018\/10\/11\/quick-sale-promises\/<\/p>\n By Dan Krell<\/a>.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Copyright \u00a9 2018.<\/p>\n If you like this post, do not copy; instead please: Is a quick sale to a real estate investor worth it? House flipping is a misunderstood industry.\u00a0 Sure, these investors promise a quick sale, but legitimate home flipping is valuable to the real estate industry and the community.\u00a0 Home flippers revitalize run-down homes, and market appealing homes to home buyers.\u00a0 In a low inventory housing … <\/p>\nHow real estate\u00a0 investors operate<\/h2>\n
Is a quick sale to an investor all it’s cracked up to be?<\/h2>\n
\nlink to the article<\/a>,
\nlike it on facebook<\/a>
\nor re-tweet<\/a>.<\/p>\n<\/a>
\nDisclaimer<\/a>. This article is not intended to provide nor should it be relied upon for legal and financial advice. Readers should not rely solely on the information contained herein, as it does not purport to be comprehensive or render specific advice. Readers should consult with an attorney regarding local real estate laws and customs as they vary by state and jurisdiction. Using this article without permission is a violation of copyright laws.<\/p>\n","protected":false},"excerpt":{"rendered":"