House flipping market may be flopping, officials say
NATIONAL (KAIT/NBC) - A simple matter of supply and demand for new houses may be causing problems with the housing market, with so-called house flippers wanting to get out of the business.
Mark Bethanis has worked to flip houses in Los Angeles for nearly three decades. He typically flips several houses a year, but the numbers have dropped due to cost of fixing houses.
“It’s not only becoming more expensive on the purchase side of flipping, but it’s becoming more expensive on the fix up side of flipping,” Bethanis said.
Bethanis said he is also having trouble finding people to make the flips happen.
Small-scale house flippers are also competing against their larger counterparts, officials say, noting the larger groups have continued to sell large numbers of houses.
However, the prices of homes have seen a mixed bag. Prices are high while the demand is dropping due to increased mortgage rates.
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