Economist says we need new house starts.

[flippinout]

One economist says that what we really need right now is new housing starts to keep up with the population.

The focus of the U.S. real-estate market lately has been the number of foreclosures and people trying to purchase cheap housing. But Brian Wesbury, chief economist at First Trust Advisors, says that if Americans don’t start focusing on building new houses, the market will have a much bigger problem on its hands.

What does this have to do with flipping homes. Read the following.

“We need one and a half million houses per year just to keep up with population growth,” Wesbury said in an interview with Steve Forbes. “And then if you throw in, you know, fires and tear-downs and just worn-out properties, we need 1.6 million or more per year. Right now, we’re down to about six and a half, seven months’ inventory whether you look at new homes or existing homes.”

Its the phrase, "worn out homes" that is the key issue for flippers. A good flipper could take a home that has seen a lot of use and is not up to par, flip it and add it to the market for buyers.

Every year there are newlyweds out there that are looking for their first homes, so whether it be an existing home, a new build, or a recently flipped home, they will be looking to buy something.

[troubles74]

I know a couple that buy a different house every three to five years.They get one that is a fixer upper and live in it while they are doing the repairs.They work on the house five days a week and take two days for family time.They have continued this process for about fifteen years and are living a very good life for themselves now.

They used part of the money that they made off of selling the houses when they were completed and bought themselves a building in the city where they now sell antiques there.They take vacations to other countries every year. Now if I could just do that.