Opendoor is not paying cash for houses .. they use 25% of their money & finance the balance. Worse case scenario: bank takes the house as collateral.
I hope most sellers DO the take OpenDoor’s cash and run. So much of a house sale involves paying off multiple middleman …once eliminated, OoenDoor keeps all that cash which increases their margins. As they control more of the process, days to close drops measurably and margins increase again.
They expect to be profitable within 6 months … running ahead of schedule.
🚀🚀🚀Long OpenDoor, NFA