North Carolina has become increasingly popular with real estate investors in recent years. The Old North State is home to several cities that are known to attract house flippers. Charlotte, Raleigh and Greensboro are just some of the hot spots, but there are plenty of other charming areas that have much to offer discerning home buyers.
Now let’s take a more detailed look at how to flip houses in North Carolina.
North Carolina House Flipping Stats
Median Purchase Price
Median Resale Price
Price Per Square Foot
North Carolina Population
Median Household Income
High School Graduation
Travel Time To Work
Best Cities for Flipping Houses In North Carolina
Safest Areas In North Carolina
- Holly Springs – Safety Score: 89.19
- Cary – Safety Score: 86.86
- Cornelius – Safety Score: 86.39
- Huntersville – Safety Score: 83.58
- Wake Forest – Safety Score: 81.48
Please note – All the statistics in this article are based on 2020 data. You can view the data sources at the bottom of the article.
The Basics Of Flipping Houses In North Carolina
- Find a property in North Carolina that is undervalued
- Source funding from a reputable lender
- Buy the property for a price that makes it possible to generate profit when it is resold
- Complete renovations that will increase the after repair value
- Find buyers for the property and sell it for a healthy profit margin
How To Find Houses To Flip In North Carolina
1. Use FlipScout By New Silver
2. Leverage The Power of Wholesalers
Finding a good wholesaler can be very rewarding for a property flipper. Wholesalers tend to have access to all the most relevant property databases, and they often have unique personal networks. By using a wholesaler, you effectively gain inside access to their knowledge of properties in North Carolina.
3. Attend Bank Auctions
Bank auctions often present opportunities to purchase properties below their market value. This is mainly because banks hold these auctions in order to sell the properties as fast as possible. If you attend bank auctions with a clearly defined strategy, you can potentially walk away with a new property that fits in perfectly with your investment portfolio.
4. Use Direct Mail To Find Off-Market Properties
Although it is considered an old school technique, direct mail can still yield positive results for house flippers. Direct mail has been shown to have a higher response rate than email, and numerous studies have shown that people actually enjoy checking their mailboxes. More importantly, you might be surprised by how many people have considered selling their homes. Your letter could be the trigger that they have been waiting for.
5. Sign Up To The Multiple Listing Service (MLS)
Even though MLS listings can be competitive, it is still a good avenue for finding properties to flip. The MLS is literally a database created by real estate agents, and it is filled with property details and statistics that can help aid your research process. There is a fee involved, but one deal is all you need to comfortably cover the costs.
6. Find Foreclosures
When properties fall into foreclosure, the primary goal of the loan originator is to recoup any potential losses. This is good news for house flippers, because properties in foreclosure often sell for less than their market value. If you are able to locate foreclosure opportunities in North Carolina, there’s a good chance you will be able to purchase a property for less than its market value. This is why foreclosure can serve as a great platform for a potential flip.
North Carolina Housing Market Analysis
House Flippers Are Focusing On Mid-Range Houses: There is a small gap between the median home value in North Carolina ($223,066) and the median resale price for house flips in North Carolina ($209,790). This suggests that investors are generally focusing on poorly maintained properties in the middle to lower-end of the market.
Perhaps more importantly, property flippers are generating approximately $77,640 in revenue per flip. To achieve these impressive results, selecting the right location is key. Experienced investors know how to find run down houses in attractive locations. When a good area is combined with high value renovations, it can have a dramatic impact on the final sale price. It appears that investors are executing this recipe successfully in North Carolina.
Home Values Have Appreciated By 8.3%: According to Zillow, home values in North Carolina appreciated by 8.3% over the last year. Moreover, property prices have been steadily increasing since late 2012.
Despite taking a small dip when covid-19 first arrived in the US, the North Carolina real estate market has responded well since then. Historically low interest rates have increased demand, while the supply of homes hasn’t increased proportionally. This is a recipe for continued home appreciation, at least in the short term.
Unemployment Levels Are Recovering From the Covid-19 Spike: Between 2010 and the beginning of 2020, the unemployment rate in North Carolina dropped for 10 straight years, reaching a low of 3.3% in December 2019. However, the initial outbreak of Covid-19 derailed almost all of that progress, with the unemployment rate reaching 12.7% in May 2020.
Fortunately, the North Carolina job market has responded well since then, with unemployment dropping all the way back down to 6% in November 2020.
Homes In North Carolina Are Cheaper Than National Average: The average home value in North Carolina is $223,066. This is considerably less than the average home value in the United States, which is approximately $266,222.
The lower cost of homes in North Carolina is good news for first time flippers, because it reduces the amount of capital needed for a down payment and the total loan amount needed to purchase the property. In other words, the barrier to entry in North Carolina is quite low, and this bodes well for beginners.
Apply For An Investment Property Loan
If you’re ready to start your house flipping journey, New Silver Lending can provide the capital you need to fund your first flip. We offer ultra fast hard money loans with competitive interest rates and quick closing times. The entire application can be completed in less than 10 minutes.
If you’re committed to flipping houses in North Carolina, the next step is to invest time and energy into finding the best possible property. We have outlined a number of methods in this post, and all of them can potentially bear fruit.
Once you have identified a property, using a reputable Hard Money lender like New Silver can help accelerate the house flipping process. Our company is built on speed, efficiency and user-friendly technology. The online application can be completed in less than 10 minutes, and we offer instant proof of funds letters to all of our clients.