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Flipping

Flipping Definition

Flipping is the buying and reselling of real estate property for a higher price, thus making a profit. Experts blame the U.S. real estate bubble in 2004 and 2005 on investor speculation and flipping. However, the practice of flipping existed long before the recent real estate bubble.


One type of flip is called wholesaling. In wholesaling, an investor re-sells a property to another investor at a below market value. This second purchaser then could re-sell at a retail value after some improvements and repairs are done.

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