Here we go again!...Does anyone learn from history??
Home flipping - buying and reselling a home to make a quick buck - has risen in some hot U.S. housing markets, prompting concerns that local housing bubbles could be developing, according to a report published on Thursday.
Profits generated by home flipping also hit a 10-year high, with home flippers netting an average $55,000 per sale before renovation and transaction costs. Profits topped $100,000 in expensive markets such as New York and Los Angeles.
"When home flipping numbers go up, it is usually an indication that the housing market is in trouble," said Matthew Gardner, chief economist at Windermere Real Estate, who was quoted in the report.
"These sales artificially inflate home prices, making housing even less affordable for buyers and increasing the risk of a bubble," said Gardener.
DYI
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