On the last month I've noticed a lot of new flips hitting the market. There seems to be a ton of money being made by these guys. The new flipper is a far cry from the ones we saw on TV a couple of years ago. Those guys would buy a wreck, fix it up and make a healthy profit. The new breed are not having to put nearly as much effort into it. They buy house that's a few years old at the trustee sale, replace the carpet, paint the walls and put down some sod and list the place for $100k to $200k more than they paid. It's quite a scheme.
16967 Hazelwood in Riverside. This house is only 2 years old. They paid $369k on Feb 4th. It gets paint and carpet and is listed Feb 10th for $462k! Will they get it? I dunno, the price seems a little high but I ca see this easily selling for $420k-$440k. Even at the low end that's a good paycheck for a few days work.
17229 Bluff Vista, Riverside. This house is 6 years old. It was picked up for $330k in Feb and listed 2 days before the sale even posted for $426k. This one doesn't even look like it got carpet or paint. It's looks like grass and a good cleaning was all this got and they are looking to make nearly $100k (before selling costs). Again the asking price is probably a wee bit high. These have been selling in the high $300s but they still stand to make a very healthy profit.
3241 Crestview in Norco. This one was picked up for $501k Feb 22nd. It's now listed for $570k. This one isn't a no brainer. At $570k this might be a tough sell. The house is nicer than most in this tract and that might save it but at $501k there isn't much room on tis one. I'm not totally confidnet these guys will make any money on this one. There's been a couple sell in the mid $500s but those were on the highest street in the tract and that's a serious lot premium. This one does not have a view it looks at the nieghbors house across the street. I'm thinking low $500s and at that price they lose money.
Here's another one that isn't looking good to me. 18410 Lakepoint Dr up in Lake Hills Riverside. This is right at the top of the hill so you better have stock in an auto repair shop because you will be going through brakes and gear boxes living up there. The big homes in Lake Hills have been selling for around $100 sq/ft give ro take $10 s/f. The really big ones are often selling in the high $90s s/f. This house is 4576 s/f and they bought it for $415k or about $90 s/f. That's a pretty good deal but not "flipping" good. They listed it a week later after slapping on some paint and laying down some sod for a mind numbing $675K! Now that's reaching for the moon. They've have several price reductions but are still WAY overpriced at $624k. There are two identical comp sales in the last 2 months of $450k and $500k. Are they going to make any money? That depends on them they could propbably sell this fairly quickly at $450k but that's a break even price or close to it. They might get $500k if they are lucky but every month it lingers it's eats at that profit. It's already been on the market 3 month, they are slow to reduce so they could lose some money on this deal if they don't snap out of their delusion of making $200k.
This is just a small sample of the many flips I'm running across. Most of them are going to make a very healthy profit for a few days work.