A few weeks ago, the LA Times broke down the numbers on how the flip trend is affecting the market in the neighborhood. Now the Land Advisors Organization has put together a flip analysis for some up and coming areas that could be "the next Highland Park," including Mid-City and southeast Hollywood (as well as some already up and came neighborhoods, like Silver Lake). Here's the reasoning: "In completing each Flip Analysis, the Team is able to draw conclusions and provide concrete information regarding the values that new home buyers place on turnkey homes in a specific neighborhood." This chart shows the average prices flips are pulling in--Glassell Park saw the biggest increase in average sale price, but Silver Lake also shows a pretty high return. There's also a pretty big variance in how much a flip increases value: "Homes with minimal improvements, such as new sod and paint may command a 10-20% increase in value. Completely gutted and remodeled homes regularly command 50-100% increases in value and more than double in value in some instances."
· Flipping Over L.A.: Out With the Old, In With the New [Landed]
· The State of the Highland Park Flip Market, By the Numbers [Curbed LA]