14 Places Ripe for House-Flipping?

The view of Key West town beach next to the military base (Florida).
ShutterstockA stretch of beach in Monroe County, Florida, a county seen as one of the most promising prospects for house-flippers.
By Christine DiGangi

Credit.com For people who like a serious project, house flipping can be quite the money maker. In some parts of the country, flippers see hefty profits from their investments, selling their properties for well over 30% more than they paid for it, according to new data from real estate company RealtyTrac.

The best counties for flipping are concentrated along the East Coast, but it's a popular practice across the country. If you're interested in snagging an inexpensive home and selling it for

A higher foreclosure inventory increases investors' opportunities to flip.

significantly more than you paid for it, RealtyTrac came up with a list of counties with the best opportunities.

Where to Cash In: In order to be considered a good place to flip, the county had to have at least 100 single-family homes flipped between April 2013 and March 2014, the flips had to have at least a 30 percent return on investment, unemployment had to be below the national average of 6.7 percent in March and have an increase in foreclosure activity in the first quarter of 2014, compared to the same time a year ago. A higher foreclosure inventory increases investors' opportunities to flip.

14. Middlesex County, N.J.
Average purchase price of flips: $200,015
Average sale price of flips: $264,742
Average ROI: 32.36%

13. Nassau County, N.Y.
Average purchase price of flips: $316,060
Average sale price of flips: $422,858
Average ROI: 33.79%

12. Monroe County, Fla.
Average purchase price of flips: $311,701
Average sale price of flips: $429,564
Average ROI: 37.81%

11. Berks County, Pa.
Average purchase price of flips: $117,846
Average sale price of flips: $162,774
Average ROI: 38.12%

10. Montgomery County, Md.
Average purchase price of flips: $347,682
Average sale price of flips: $482,969
Average ROI: 38.91%

9. Bergen County, N.J.
Average purchase price of flips: $320,010
Average sale price of flips: $450,492
Average ROI: 40.77%

8. Wright County, Minn.
Average purchase price of flips: $105,058
Average sale price of flips: $152,563
Average ROI: 45.22%

7. Anne Arundel County, Md.
Average purchase price of flips: $197,355
Average sale price of flips: $291,243
Average ROI: 47.57%

6. Saint Marys County, Md.
Average purchase price of flips: $180,411
Average sale price of flips: $268,254
Average ROI: 48.69%

5. New Castle County, Del.
Average purchase price of flips: $127,795
Average sale price of flips: $195,246
Average ROI: 52.78%

4. Campbell County, Ky.
Average purchase price of flips: $75,253
Average sale price of flips: $127,848
Average ROI: 69.89%

3. Baltimore County, Md.
Average purchase price of flips: $131,186
Average sale price of flips: $224,089
Average ROI: 70.82%

2. York County, Pa.
Average purchase price of flips: $88,063
Average sale price of flips: $151,871
Average ROI: 72.46%

1. Prince George's County, Md.
Average purchase price of flips: $125,011
Average sale price of flips: $229,275
Average ROI: 83.4%

There are plenty of counties with a higher average ROI on flips than some of the ones listed above, but those locations generally had a sharp decline in foreclosure inventory from 2013 to 2014, so there's less of an opportunity to make a profitable investment.

Whether you're flipping or house shopping in a traditional sense, you need to have a good understanding of buying a home and how to get a good price on it (here are some negotiation tips).

You also need to know your credit history, because mortgage lenders look at it carefully when considering you for a home loan. It's much easier to improve your credit (and become a more attractive borrower) once you understand what you're dealing with, so take a look at your credit reports and credit scores. You can look at your credit data for free through Credit.com.

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