House flipping profits just hit their lowest level since 2008, with margins down to 25%. Tim Lucas and Craig Berry dig into how tariffs, labor shortages, and rising material costs are reshaping the renovation industry—and what it means for home affordability.

In this episode you’ll learn:

• The new reality: Median flip purchase prices at $259,700, but rising tariffs and competition are cutting into returns.
• Tariff trouble: Cabinet tariffs jumping from 25% to 50%, and Canadian lumber from 14.5% to 34.5%, driving costs up for every remodel.
• Labor crunch: Up to 1.5 million construction workers could be lost to deportations, hitting states like California, Texas, and Florida hardest.
• Who survives: Small, hands-on flippers may weather the storm better than large-scale investors reliant on contractors.
• The road ahead: Expect innovation—prefab, modular builds, even 3D printing—as the industry adapts to higher costs and fewer workers.

Read the full article:
https://www.mortgageresearch.com/articles/home-flipping-getting-tougher/