Interesting article on Inman News (read it quick; articles are free for a day or so but then available only to paying subscribers) about how flipping has turned into a dangerous game in California. The real story is in the accompanying table, where it shows the median gain — or loss — suffered by flippers in various counties. Look at Marin County, where median loss was $86,000. Wow! I’m sure that’s off a small sample, but that’s still real losses. For the life of me, I can’t fathom why anyone is still trying to flip at this late hour. I also suspect there are going to be a lot of flippers who end up renting out their homes.
BusinessWeek editors Chris Palmeri, Prashant Gopal and Peter Coy chronicle the highs and lows of the housing and mortgage markets on their Hot Property blog. In print and online, the Hot Property team first wrote about the potential downside of lenders pushing riskier, "option ARM" mortgages and the rise in mortgage fraud back in 2005—well ahead of many other media outlets. In 2008, Hot Property bloggers finished #1 in a ranking of the world's top 100 "most powerful property people" by the British real estate website Global edge. Hot Property was named among the 25 most influential real estate blogs of 2007 by Inman News.