Flipped Home Profits Shrink as Mortgage Rates Climb

Reuters12-18 19:00
Flipped Home Profits Shrink as Mortgage Rates Climb

News Corporation subsidiary Realtor.com has released a new analysis indicating that while renovated and flipped homes continue to attract more online interest and sell faster than other older homes, their pricing power and returns have diminished significantly in the current market environment. The report highlights that the historic advantage of fix-and-flip properties has weakened as higher mortgage rates reshape buyer demand and affordability. Sellers of recently renovated homes are finding it necessary to adjust their expectations, as rising rates limit what buyers can pay. The study used strict criteria to define flipped homes, focusing on properties purchased within the past two years, listed at least 20% higher than their previous sale price, and confirmed as recently renovated. Data from several major metro areas, including Phoenix, Los Angeles, San Francisco, and San Diego, was analyzed to assess performance trends.

Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. News Corporation published the original content used to generate this news brief via PR Newswire (Ref. ID: LA50283) on December 18, 2025, and is solely responsible for the information contained therein.
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