What does "flip" mean?

I've done a search using the word "flip" on these forums, and I get many results and threads in which people either recommend it or complain about it, but not an explanation of what it is. I have no clue except that it involves making money on PoE. Obviously everone but me knows how to use this word, and my English is pretty good. Can anyone tell me what it means without linking to a video? Thanks in advance

Simple things are usually the hardest to explain but I'll try my best. We can use a pancake for an example, after spreading the dough you wait until it's half done and then lift one side, turning it over around horizontal axis until the bottom part faces up, that's pretty much what flipping is.

It is unknown why the word is used to describe aggressive reselling of goods or property, probably because flipping is a sort of turnover and tends to be a fast, snappy action. In real world it isn't the same as stockpiling merchandise in expectance of future price fluctuations, flipping is strictly defined as snatching anything that seems underpriced with the intention of reselling it right away. In PoE it is used for both types of activities, for instance, if a market player (colloquially referred to as 'asshole') sees that Mathil is playing something good, buys all the key items and then lists them high after the video guide is released it is still called flipping even if it technically isn't.

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onomastikon wrote:

I've done a search using the word "flip" on these forums, and I get many results and threads in which people either recommend it or complain about it, but not an explanation of what it is.

Its like arbitrage: buy underpriced sell for more - pretty simple

Flipping is literally just buying items that are underpriced for the express purpose of selling them for a profit, rather than buying items that you need to use for your build. For some reason this basic economic tenet is considered evil around here by many...

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Flipping is literally just buying items that are underpriced for the express purpose of selling them for a profit, rather than buying items that you need to use for your build. For some reason this basic economic tenet is considered evil around here by many...

maybe the reason is that these people make items for other players (that want to actually use them) more expensive in average. There is also a question why would someone spend time playing the market rather than the game itself, when all you can gain is pixel money. If I was good in playing the market, Id rather spend time playing/learning the real ones.

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Docbp87 wrote:

For some reason this basic economic tenet is considered evil around here by many...

As far as I know, there are regulations in place that address this 'basic economic tenet', so it's borderline legal at best. If the market is regulated, you usually need to invest money or tie some kind of service to the goods before you resell them at a higher price.

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raics wrote:

As far as I know, there are regulations in place that address this 'basic economic tenet', so it's borderline legal at best. If the market is regulated, you usually need to invest money or tie some kind of service to the goods before you resell them at a higher price.

I haven't really noticed any difference between PoE and the US as far as flipping goes. In PoE you have to "invest money" too - purchasing of the cheap item. Real estate is pretty much known as the business where all you do is flip houses, in the US. Almost all of our business offer "rush services" too, which is essentially the same kind of arbitrage. Stock Markets, too, are very often a place for arbitrage, especially high-frequency trading and even outside of HFT you (used to) have a lot of arbitrage opportunities simply buying and reselling right away, essentially working as an intermediary between buyers and sellers who don't really want to dig too deep into the market and just want some place to put their millions or billions of dollars.

I think the reason flipping is looked down upon in POE is information asymmetry, where usually the presumption is that the person selling at an extra-low price is just some poor clueless newbie who dropped a Shavronne's Wrappings and thought, "huh, this is kind of useless, I guess I'll sell it for 1 or 2 chaos orbs"

I don't know how often flippers actually profit off newbs, though

I need to make enough pixel money to buy the items I want for my build. If the easiest way to accomplish this is by buying items that are underpriced by a seller, then selling them for their actual value, why would I not do that?

This is all hypothetical, as I rarely do any flipping myself, since like you said, I prefer to just play the mapping-killing-mobs game. That said, some folks genuinely enjoy playing the market game. Hell, currency sellers/flippers literally spend all day in their hideout selling/trading currency. That IS the game to them. I won't hate on that, since they provide a convenience to me when I need a lump sum of a certain currency, with the knowledge that they are making a profit off of my purchase.

As for regulation of sales... Poe.trade is like craigslist. It is a yard sale. A flea market. Whatever you want to call it. Sellers are not licensed by the state, and rated by the better business bureau, and as such can do whatever they want as far as changing prices etc.

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Docbp87 wrote:

Flipping is literally just buying items that are underpriced for the express purpose of selling them for a profit, rather than buying items that you need to use for your build. For some reason this basic economic tenet is considered evil around here by many...

Because its gouging regular players so they can't run their builds, many items that get flipped aren't really that valuable so its just an arbitrary way to profit from some people just trying to play the game.

I wouldn't call it evil but its certainly shady I think many are under the impression they are playing an ARPG not an economic simulator but it perfectly mirrors life and in any situation where one is permissible a parasite will turn up looking to profit at the expense of others ^^

There is a big difference between flipping an occasional item and just buying every version of a unique and setting your own price though, I think you've crossed over the line when its more like currency speculation than just making a bit of profit while working on your build.

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adghar wrote:

I think the reason flipping is looked down upon in POE is information asymmetry, where usually the presumption is that the person selling at an extra-low price is just some poor clueless newbie who dropped a Shavronne's Wrappings and thought, "huh, this is kind of useless, I guess I'll sell it for 1 or 2 chaos orbs"

I don't know how often flippers actually profit off newbs, though

I think less than in times when API and live searches did not existed. the moment you make such big underprice mistake and it gets listed you get gazzilion of msgs so you know something is wrong.

Any sort of AH-like instant trading would make flipping the big thing though.