Make us your home page
Instagram

Tampa Bay No. 4 in profits from home flipping

With its cheap homes and growing prices, Tampa Bay is a paradise for flippers, whose profits last year made local neighborhoods a top market for flipping homes, a RealtyTrac report said.

More than 3,000 Tampa Bay homes were bought and resold within six months last year, with average gross profits of about $34,000, the real estate research firm said.

The average flipped home was bought for $80,000 and resold for nearly $114,000, netting flippers a 43 percent gross profit, the report said.

By percentage of profit, Tampa Bay was beaten only by Phoenix, Las Vegas and the flip capital of Orlando, where profits averaged about 60 percent.

The housing boom was fueled by amateur speculators who bought homes with big loans and quickly sold them for ballooning prices, often having made few improvements.

That helped lead to the housing bust, which made the "f-word" an anathema. Now, flippers are once again reaping profits from homes climbing in value from their price bottom.

The RealtyTrac report only lists average gross profits, so it's hard to say how much money was poured into each home to spin it into a sale.

But many investors, including massive private-equity firms like the Blackstone Group, are buying homes around that price to rent out, in hopes of profiting off weakened levels of home ownership and soaring rental rates.

Drew Harwell can be reached at (727) 893-8252 or dharwell@tampabay.com.

Top markets for flipping homes

CityHome flips in 2012Gross buy-to-resale profitGross profit percent
1. Orlando1,912$64,97663 percent
2. Las Vegas4,341$70,74653 percent
3. Phoenix10,589$63,76244 percent
4. Tampa3,033$34,13843 percent
5. Memphis1,331$28,55242 percent
6. Miami4,299$51,22737 percent
7. Lakeland660$25,27137 percent
8. Nashville1,230$38,02035 percent
9. Sarasota999$40,20034 percent
10. Tucson1,071$39,34734 percent

Source: RealtyTrac

Tampa Bay No. 4 in profits from home flipping 05/02/13 [Last modified: Thursday, May 2, 2013 8:25pm]
Photo reprints | Article reprints

© 2017 Tampa Bay Times

    

Join the discussion: Click to view comments, add yours

Loading...
  1. Strategic Property Partners launches website for Water Street Tampa

    Business

    Strategic Property Partners has launched its official website for Water Street Tampa, its 53-acre redevelopment project in downtown Tampa Tuesday.

    Strategic Property Partners on Tuesday announced the name of its new development: Water Street Tampa. [Photos courtesy of SPP]
  2. ReliaQuest CEO Brian Murphy named sole Tampa Bay winner in EY state entrepreneur contest

    Business

    ReliaQuest founder and CEO Brian Murphy was named one of nine winners statewide and the only one from the Tampa Bay area in the Ernst and Young Entrepreneur Of The Year 2017 Florida Awards program. Murphy won in the IT security division after starting ReliaQuest in 2007. Five of the nine winners were from the Miami …

    Tampa's ReliaQuest founder and CEO Brian Murphy was named one of nine winners statewide and the only one from the Tampa Bay area in the Ernst and Young Entrepreneur Of The Year 2017 Florida Awards program. Murphy won in the IT security division after starting ReliaQuest in 2007.
  3. U.S. Rep. Charlie Crist and estranged wife Carole put Beach Drive condo on the market

    Real Estate

    ST. PETERSBURG — U.S. Rep. Charlie Crist and his estranged wife, Carole, have put their Beach Drive condo on the market for $1.5 million.

    Former Florida Gov. and current U.S. Rep. Charlie Crist and his estranged wife, Carole, have put their condo in downtown St. Petersburg on the market for $1.5 million. [Courtesy of Rhonda Sanderford]
  4. First WannaCry, now cyberattack Petya spreads from Russia to Britain

    Business

    Computer systems from Russia to Britain were victims of an international cyberattack Tuesday in a hack that bore similarities to a recent one that crippled tens of thousands of machines worldwide.

    A computer screen cyberattack warning notice reportedly holding computer files to ransom, as part of a massive international cyberattack, at an office in Kiev, Ukraine, on Tuesday.  A new and highly virulent outbreak of malicious data-scrambling software appears to be causing mass disruption across Europe.
[Oleg Reshetnyak via AP]