Home Flipping Profits Reach 17-Year Low, ATTOM Finds

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Profits for home flippers have been steadily falling for more than a decade, according to ATTOM, Irvine, Calif.

In the fall of 2012, the typical flipped home netted a 62.9% return on investment (before expenses). In the second quarter of 2025, the typical return was 25.1%–the lowest home flipping profit margin ATTOM has seen since 2008–the firm’s second quarter 2025 U.S. Home Flipping Report said.

Gross profits, the difference between what a flipper paid for a property and what they sold it for, were also down. The typical flipped home netted $65,300 in the second quarter, about 4% less than the previous quarter and 13.6% less than the same time last year.

The median purchase price, what an investor paid for a home, was $259,700 in the second quarter, the highest since ATTOM began tracking the data in 2000. The median sales price of flipped homes, which refers to the price investors sold them for, was $325,000, the same as in the previous quarter.

“We’re seeing very low profit margins from home flipping because of the historically high cost of homes,” ATTOM CEO Rob Barber noted. “The initial buy-in for properties that are ideal for flipping, often lower priced homes that may need some work, keeps going up.”

“As prospective homeowners get priced out of the middle and high end of the market, they’re more likely to be competing with flippers over the same homes,” Barber added.

The report said flipped homes accounted for 8.3% of all home sales in the quarter, slightly lower than the 7.5% of sales posted in the second quarter of 2024.

Flipped homes purchased by investors for between $100,000 and $200,000 had the highest typical profit margin: 37%. That was followed by homes initially purchased for between $200,000 and $300,000, at 27%, and homes initially purchased for between $300,000 and $400,000, at 22%, ATTOM reported.

Nearly two-thirds of flipped homes were bought with all cash, the report said. Nationwide in the second quarter of 2025, 62.6% of flipped homes were purchased with cash, up slightly from 62.3% in the first quarter of 2025.