Seattle now sees about one home tear down every day, resulting in more houses being demolished and replaced in the past 18 months than in the four previous years combined, reports
Mike Rosenberg of The Seattle Times.
The new homes usually sell for more than $1 million, about three times as much as the old one was worth, a review of sales figures shows. Even some companies profiting off the construction acknowledge the trend’s impact, writes Rosenberg.
Developers who specialize in tear-down jobs say they can expect to make a 15% profit — typically a six-figure sum — for a flip that typically takes a year.