Arbitrage is when an investor purchases an investment property below market value and quickly sells or rents it for a profit. Real estate arbitrage occurs when a real estate investor purchases an investment property and sells it simultaneously at a higher price.It seems simple enough - but low sell high. And relating to real estate - get under contract to buy low - assign contract to sell high. In real estate arbitrage, used as a verb "arbitraging," means to buy one property and then sell that same property for a profit. Arbitrage in real estate is a type of investment strategy where real estate investors find new investment properties, rent them, and then sublease them. Real estate arbitrage is a strategy that involves taking advantage of price differences in the real estate market to generate profits. Arbitrage in real estate refers to the practice of taking advantage of price differences between markets or formats to make a profit. Arbitrage works wonderfully for me. There is risk for sure but that risk can largely be mitigated with proper agreements and planning.