Land flipping is a very different animal from traditional residential investing — higher risk, fewer players, and often bigger spreads when you get it right. Unlike houses, land deals require a deeper understanding of the local terrain (literally and figuratively). Rural versus city infill lots, utilities versus raw land, zoning restrictions, usability, and long-term development potential can dramatically change a deal’s value. Because fewer investors operate in this space, competition is lower and margins can be stronger, but only for those who put in the work to learn their market.
It’s also important to know that land sells much slower and with steeper discounts than homes. Over the last 12 months in Berkeley, Jefferson, Washington, and Frederick counties, the average home went under contract in 31 days — but the average land parcel took 96 days. Homes sold for just a 9.6% reduction from the original list price, while land sold for only 75% of the initial asking price. That means most land deals won’t wholesale cleanly. In many cases, you’ll need to purchase and resell outright unless you’re operating in a hot market with a strong, targeted buyer list.
The bottom line is simple: land flippers need to know their markets cold, perform thorough due diligence, and be prepared for longer hold times than residential investors. But with smart negotiation, the right acquisition strategy, and discipline in analyzing each parcel, land flipping can be an extremely profitable lane. At Jump Capital, we’ve funded multiple investors who specialize in land deals, and we’re ready to help you move quickly and confidently on your next opportunity.