2 Triangle cities among top 50 to flip houses
Raleigh and Durham rank in the top 50 best cities to flip houses, according to a WalletHub report.
Out of a list of 150 cities, Raleigh and Durham rank 38th and 48th, respectively. The cities were compared across three key dimensions: house-flipping market potential, renovating and remodeling costs, and quality of life.
Raleigh ranked 53rd for house-flipping market potential rank, 43rd for renovation and remodeling costs and 23rd for quality of life, receiving a total score of 60.45 out of 100. “Raleigh has been voted year after year as one of the best places to live and work, therefore, it is one of the fastest growing cities in America,” said Linda Craft of Craft Team Realtors. “When there is high demand for housing there is also high appreciation causing homes to go up in value fast.”
Durham ranked No. 53 for house-flipping market potential rank, No. 69 for renovation and remodeling costs and No. 52 for quality of life. It received a total score of 58.07. Craft said although residential real estate is not as popular as Raleigh, commercial real estate in downtown Durham is “red hot,” with the vacancy rate 1 percent. “It does not have the same draw as Raleigh and the moment, but is definitely growing in popularity,” she said. Other North Carolina cities that made the list include Greensboro (35th), Charlotte (47th), Winston-Salem (72nd) and Fayetteville (74th).
The goal of a house flipper is to buy a distressed property at a low price, make improvements quickly and resale it as quickly as possible. “Doing this in a city where there is high demand for housing reduces days on the market and when there is appreciation at the same time it means their investment is going up in value as they make improvements to it,” Craft said. For houses $400,000 and below, where most house flippers target, she said appreciation rates are in double digits – “an ideal climate for a flipper.”
WalletHub compared the 150 most populated cities, evaluating 19 metrics for the three categories.