Flipping a house? The 10 best cities for flippers.

These 10 cities were the most profitable markets for people flipping a house in 2012, according to RealtyTrac. Can you guess which city had the highest average profit on flipped homes? 

3. Phoenix-Mesa-Scottsdale, Ariz. (44 percent)

Joshua Lott/Reuters/File
A realtor and bank-owned sign is displayed near a house for sale in Phoenix in January 2011. The Phoenix area's housing market has improved dramatically in the past year, with prices rising and the foreclosure rate in freefall.

Total housing units: 1,776,467

Single family flips: 10,589

Average pre-flip purchase price: $146,527

Average flipped price: $210,289

Also known as the "Valley of the Sun," the Phoenix area is the sixth-most populous metro in the country, and Phoenix is the most populous US state capital. Home prices in Phoenix have jumped 22.5 percent over the past year (the biggest year-over-year jump in the US), and inventory is tightening. The foreclosure rate, too, has dropped sharply over the past year, from 2.7 percent a year ago to 1,2 percent in April 2013. 

Phoenix had by far the largest number of flips on the list, at 10,589. The next-highest total was Las Vegas, with 4,341 flips. 

8 of 10

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