Home flipping rate hits 9-year high — and that could foretell troubles in the housing market

Home-flipping has rebounded by one key measure. But that’s doesn’t make it an easy path toward becoming rich.

But that’s not necessarily a positive indicator of the housing market’s strength, said Todd Teta, Attom’s chief product officer. The number of homes that were flipped was actually down 8% from the previous year to a three-year low. And the number of investors engaging in home flipping has dropped 11% over the past year.

Researchers previously described home-flipping activity as a “canary in the coal mine” that could presage a cooling housing market. Despite the seemingly turning tides in the home-flipping market, one bright spot is the renewed interest that so-called ‘iBuyers,” tech firms that use algorithms to make instant home offers, have taken in the businesses. Zillow Z, -1.27% in particular, has said it is investing more money into its home-buying and flipping operation, Zillow Offers, which launched last year. Analysts and stock investors have thus far been receptive of the strategy.

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Home flippers hire Uber and Lyft drivers to scout properties in a pricey housing marketCompetition is fierce among flippers, because the returns are falling, hitting the lowest point in eight years during the first quarter this year. And the same drivers may be paid to 'scout' or for that matter 'reccy' any manner of other things in a neighbourhood - cars to order, motorcycles, people going away on holiday This guy looks like he wants to kill someone. Why use this picture? Weird
Source: CNBC - 🏆 12. / 72 Read more »