Six of the Top 10 ZIP codes for investors to buy a house or condo, renovate it and flip it to “hipster buyers” are in the Washington area.
RealtyTrac looked at neighborhoods most likely to be appealing to “hipsters,”or 25-to-34-year-old home buyers, including walkability and young population base. The report weighed locations against gross flip profits for investors who buy the property with intentions of improving and selling it.
Fairfax’s 22031 topped the list, with an average gross flip profit of $210,020, a gross profit of 46 percent.
Alexandria’s 22312 was second on the list, based on an average gross profit of $185,333, even though the gross flip profit was higher than 22031, at 68 percent.
In Rockville, ZIP code 20852 comes in fourth. Falls Church (22041) is sixth.
In Hyattsville’s 20784, the average gross flip profit is $117,084, ranking seventh on the list. RealtyTrac says flippers there are almost doubling their investment, with a gross profit of 99 percent.
Another Alexandria ZIP code, 22306, ranks ninth, with an average gross profit of $113,083 and a gross profit of 38 percent.
“We continue to see low housing inventory in the D.C. metropolitan area, making homes that have been flipped more attractive to potential home buyers,” said Charlie Bengel Jr., chief executive of RE/MAX Allegiance in the Washington region.
“By purchasing a flipped home, they are able to get into a home that feels new while still being in an established neighborhood,” Bengel said.