Existing home sales drop.

[flippinout]

In December, existing home sales dropped by 16.7%.

Sales fell as the federal government's original tax credit program expired. December's existing sales tumble was the largest one-month drop since the NAR started keeping records for this statistic.

As of December, there is a 7.2 month supply of existing homes as compared to the 6.5 months supply in November.

One has to wonder how this drop in existing home sales will effect house flipping. Will a person be able to buy a home, flip it, and still make a profit in a timely fashion?

That would depend on the area the house you are planning on flipping is located. Some areas seem to have existing home sales that are selling just fine while others have a backlog of existing homes waiting to be sold.

Another thing that is effecting existing home sales is the job market. So everything of this nature need to be taken into account before buying that property to flip for a profitable sale.