A new study reveals the best states in the U.S. for house flippers. This has been derived at by calculatingthe most important expensesfor flipping houses. By ‘flippers’, this is a U.S. colloquialism for individuals who purchase and renovate properties before putting them back on the market to make a profit.
The outcomes show that Arizona is the best state for house flippers, considering its remodelling prices, high sales rate, and a return of investment of 20 percent.
Following this, Colorado and Florida are both the second best states with Colorado offering less sales for more money, and Florida more sales for less money.
The company Highland Cabinetry conducted research and revealed the best states for flipping houses. The remodelling prices(including the most expensive, the cheapest and average remodelling price),sales rate and price was taken into account for each state. Then, these numbers were analysed and put into a scoring system.
Highland Cabinetry conducted research on all the 50 states, by finding out the most common expenses when it comes to house flipping. After getting a price range for remodelling, an average was calculated. Along with those numbers, the sales rate and the sales price was put in a formula to create a composite score system.
The output shows:
| State | Most expensive price for remodeling | Cheapest price for remodeling | Average remodeling price | House sales per capita | Average house sale price | Score |
| Arizona | $67,412 | $60,975 | $64,194 | 76.8 | $429,787 | 72.0 |
| Florida | $62,377 | $55,531 | $58,954 | 73.6 | $396,318 | 69.6 |
| Colorado | $66,771 | $61,879 | $64,325 | 58.5 | $548,602 | 69.6 |
| Hawaii | $84,997 | $79,934 | $82,466 | 26.2 | $856,327 | 69.0 |
| Idaho | $60,531 | $59,584 | $60,058 | 64.5 | $449,952 | 68.3 |
| North Carolina | $63,059 | $58,396 | $60,728 | 75.7 | $328,181 | 68.0 |
| California | $93,196 | $73,567 | $83,382 | 30.1 | $782,695 | 67.8 |
| South Carolina | $63,132 | $61,789 | $62,461 | 77.3 | $292,948 | 67.3 |
| Washington | $75,144 | $68,962 | $72,053 | 46.5 | $588,986 | 66.8 |
| Tennessee | $62,913 | $58,596 | $60,755 | 72.5 | $316,473 | 66.4 |
| National Average | $71,777 | $63,806 | $67,791 | 46.9 | $360,643 | 58.7 |
Arizona gains a composite score of 72. Its affordable remodelling price of $64,194 is over $3000 less than the national average. Its sales rate of 76.8 per capitais among the top 2 states, and offers a good potential return on investment, with a sales priceof around $429,000.
Florida and Colorado share second place, with a composite score of 69.6. Florida’s remodelling price is around $5,300 lower than Colorado, although Colorado has a lower sales rate of 58.5, compared to Florida’s 73.6.
Hawaii takes third place, with a composite score of 69. It has the highest average house sale price of $856,327 out of all the 50 states. Considering its average remodelling price of $82,466, there is a high potential for return on investment. It offers a sales rate of 26.2, but its high sale price compensates for the profit.
