By Will Heaton

Real Estate investors are profiting once again from house flipping and the Seattle area is no exception.

Currently Seattle ranks Number 3 in the nation for buy-and turn profits with an average of approximately $97,000 per property. Most of the profits come from a growth in high end flips of homes $750,000 or more, a report from RealtryTrac reponed.

Real estate investors across the country earned an average gross profit of $54,927 on single-family home sales during the third quarter, according to the report. The average gross profit on each high-end flip equals more than four times the average gross profit on each flipped home in the lower price ranges.

Increasing real estate prices over the past year combined with decreasing foreclosures have created a market less favorable to the high quantity of middle – to low-end flips. There is still good money to be made for investors willing and able to take on buying, rehabbing, and selling more expensive homes.

Most investors do not have the cash to purchase an investment property. A hard money loan provides borrowers the opportunity to present all-cash offers with quick closing dates, allowing investors to secure the best properties at a discount from the market.

The sharp rise in high-end flipping indicates there is still good money to be made for flippers willing and able to take on the additional risk of buying and rehabbing more expensive homes. With that higher risk also comes the potential for higher reward.

According to the report, the following are the top housing markets for flipping houses in 2017:

  1. Ventura, California – Average gross profit: $143,578
  2. Los Angeles, California – Average gross profit: $127,634
  3. Seattle, Washington – Average gross profit: $97,002
  4. Chicago, Illinois – Average gross profit: $85,81
  5. Portland, Oregon – Average gross profit: $84,063
  6. New York, New York – Average gross profit: $72,722
  7. Pittsburgh, Pennsylvania – Average gross profit: $59,342
  8. Las Vegas, Nevada – Average gross profit: $53,503

Are you seeking a hard money loan for an investment property? Contact Carolyn Gossett at [email protected] or 425.999.5203 to inquire about our loan programs. Let Intrust Funding be your opportunity partner to achieve your investment funding needs. Intrust Funding will be your opportunity partner to achieve your investment goals.

Please join us every other Monday for our free Investor 101 Class to meet our team and learn about the investment process. Visit our website for more information.

About the author …

Will Heaton is a co-founder and managing partner at Intrust Funding. As the fund manager, he is responsible for investor relations, underwriting, and new business development. Will has over 10 years of experience in multifamily and residential real estate. Drawing on his comprehensive knowledge of renovation financing and construction management, \Vill uses a value-add approach to complete his multifamily and residential real estate projects. He regularly gives educational lectures to real estate investors and has been quoted on numerous occasions in well-respected publications. Will has been recognized by the Master Builders Association and Built Green for his work with LimeLite Development and Infinity Land Management. He is an enthusiastic member of the community and enjoys participating in various non-profit groups throughout King County. In his free time, Will enjoys adventures with his wife and their two children, classic cars, and fishing.

REAPS is the oldest – and largest – Professional Association for the real estate investor this side of the Mississippi.” We provide education and networking resources for real estate investors, those who want to be investors and anyone who provides value to our members. Our goals are to motivate and support our members and guests through education, discussion, legislative action and networking. We host over 40 live events a year around Puget Sound and they are all open to the public. If you’ve never attended one of our meetings, just email our office at [email protected] and be our guest for free.”

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