Why Fix-and-Flip is Still a Great Real Estate Strategy in 2025

[John ONeill]

Fix-and-flip investing has been a tried-and-true way to make money in real estate for years, and honestly, it’s still one of the best strategies out there in 2025. If you’re an investor (or thinking about becoming one), here’s why fix-and-flip might be the move you need to make this year:

1. Fast Profits, No Long Waits

Unlike buy-and-hold strategies that require you to sit on a property for years to see significant returns, a fix-and-flip can often be completed in a matter of months. That means you get your money back faster and can roll it into your next deal sooner.

2. Buyers LOVE Move-In-Ready Homes

Let’s face it—most homebuyers these days don’t want to deal with renovations. They’re looking for turnkey homes with all the bells and whistles, and that’s where you come in. When you flip a property with modern updates, it’s a lot easier to sell quickly—and usually for a higher price.

3. You’re in the Driver’s Seat

One of the coolest things about fix-and-flip is how much control you have over the outcome. From choosing the property to deciding what upgrades to make, your decisions directly impact your profit. Plus, there’s something satisfying about transforming an outdated home into something beautiful.

4. It Works in Almost Any Market

Whether it’s a buyer’s market or a seller’s market, there’s always an angle with fix-and-flip. In hot markets, you can sell for top dollar. In slower markets, you can pick up properties at a discount and still profit. It’s a versatile strategy if you know your local market well.

5. Great for Learning the Ropes

If you’re just starting out in real estate, fix-and-flip is a great way to learn. You’ll get hands-on experience with everything—finding deals, managing renovations, analyzing numbers—and you’ll build your confidence along the way.

Pro Tip: Build Your Dream Team

Flipping houses is not a solo sport. Success often comes down to having the right team in your corner—contractors, real estate agents, and, of course, funding partners. If you’ve got reliable funding, you’ll be ready to jump on opportunities when they come up.

What Do You Think?

Sure, fix-and-flip isn’t without its challenges (hello, surprise plumbing issues), but if you plan ahead and stay on top of your numbers, it’s one of the most rewarding strategies out there.

So, what’s your take? Have you tried flipping before, or are you considering it? Let’s talk about what’s worked for you, what hasn’t, and how you’re approaching 2025!

[Mitch Smith]

@John ONeill. I couldn’t agree with you more that flipping is a great strategy for 2025, especially as the market evolves. Residential development and renovation allow investors to meet the growing demand for updated, functional homes while taking advantage of market conditions that reward value-added projects. In our business, we’ve taken this concept a step further by focusing on the high-end luxury market, where purchase prices range from $1.4M to $1.8M and ARVs fall between $2.5M and $3M. While flipping in this segment requires a different approach, it’s been a transformative move for us.

Here’s why residential development and renovation, particularly in the high-end market, are such smart plays for 2025:

1. Strong Demand for Quality: Buyers in 2025 want more than just a house—they’re looking for move-in-ready homes with thoughtful designs and premium finishes. This trend spans all price points, but it’s especially true in the luxury market, where buyers expect spaces that combine aesthetics with functionality.
2. Value-Add Potential: Flipping remains a top tactic because of the potential for high returns when value is added strategically. In the luxury market, upgrades like high-end kitchens, spa-like bathrooms, and stunning outdoor spaces drive significant ROI. These details can make or break a flip in a competitive market.
3. Market Timing: As the 2025 market stabilizes, flipping becomes an even stronger tactic. With buyers returning to the market after a period of uncertainty, renovated properties that meet modern expectations will stand out. This is true at every price point, but in the luxury market, where fewer competitors operate, the opportunities are even more pronounced.
4. The Power of an Incredible Team: None of this would be possible without a strong team. We’ve brought contracting, design, and real estate in-house, which has not only streamlined operations but also elevated the quality of every project. Our design team crafts layouts and finishes tailored to luxury buyers, our contractors ensure flawless execution, and our real estate agents manage acquisitions and sales with unmatched expertise. This integrated approach allows us to deliver exceptional results and stand out in a crowded industry.
5. Diversification and Strength: Flipping is a great strategy, but pairing it with diversified services has strengthened our business. By adding an in-house real estate team, we’ve streamlined acquisitions and dispositions, while also creating opportunities to work with clients looking for fixer-uppers. These clients rely on our design and contracting teams to bring their vision to life. This full-service model generates multiple income streams, making our business more adaptable to market shifts.
6. A Word of Caution for New Investors: While flipping is an excellent tactic for 2025, we wouldn’t recommend jumping into the luxury market without experience. The higher price points, tighter profit margins, and greater buyer expectations can be challenging. Start with smaller flips to build expertise, then scale up when you’re ready. The luxury market rewards those who bring experience and precision to the table.

Flipping is undoubtedly a smart tactic for 2025, but it’s about more than just quick profits—it’s about delivering value, meeting buyer expectations, and building a sustainable business model. For us, focusing on the high-end market and integrating our operations in-house has been key to thriving in this space.