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Return of house flipping eases housing crunch in some states

Posted on November 11, 2016 by Community Real Estate

Source: Chicago Tribune

While house flipping helped fuel the housing crisis a decade ago, industry experts say a current wave of house flipping is helping to ease a shortage of affordable housing in some parts of the country. The resurgence of flipping, or selling a house less than a year after buying it, comes as the construction of affordable single-family houses fails to keep up with demand, as builders concentrate on multi-family housing.

In some states like Florida and Nevada, which have large stocks of cheap, foreclosed houses, flipping is boosting the housing supply for homeowners and for investors who want to rent out the properties. The renovated homes are helping to bring downtrodden neighborhoods back to life, while making homeownership possible for some first-time and low-income buyers.

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