Discussion

• @opendoor @opendoor on x

  Opendoor is open for business. We have demonstrated strong growth and unit economics, and we are energized to help homeowners nationwide move with simplicity, certainty and speed.

• @jowens510 Jeremy C. Owens on x

  No matter what you thought about what is happening at Zillow, its actually worse: Zillow is getting out of the business of buying and selling homes for good and laying off a full quarter of its workforce.

• @jeffnolan Jeff Nolan on x

  you have to wonder what effect this has on the leadership team within Zillow. Moral authority within a company culture is more important than ever before and this was a total shit the bed moment for them. Billions lost, 2k people out of a job. Its gonna leave a mark https://twitt…

• @kelseyhightower Kelsey Hightower on x

  Treating homes like an investment has always felt like a mistake. https://twitter.com/...

• @lt3000lyall Lyall Taylor on x

  Yikes - it takes a fairly extraordinary degree of incompetence & epic failure of the business model for Zillow to expect to lose 5-7% on iBuying houses it bought to flip in a raging property bull market (1/2). https://www.wsj.com/... https://twitter.com/...

• @waltisfrozen Greg on x

  I still don't understand how Zillow buying and flipping homes could possibly be legal. Can you imagine how it must feel for buyers who lost their chance at a dream home because the cash buyer who swooped in and bought it was the site they used to find it? https://twitter.com/...

• @jowens510 Jeremy C. Owens on x

  “Ultimately, we determined that further scaling up Zillow Offers is too risky, too volatile to our earnings and operations, provides too little opportunity for return on equity, and serves too narrow a portion of our customers.” Basically what bears were saying the entire time.

• @jonfortt Jon Fortt on x

  This $Z #iBuying story is crazy, and underscores the importance of understanding what #bigdata & #AI can and can't deliver. There will be many more emperors wearing disappointingly flimsy outfits before all is done. #zillow https://www.cnbc.com/...

• @xerxeswuff Xerxes on x

  66% of the junk houses Zillow bought up to flip and artificially inflate the already ridiculous housing market are now underwater i love instant karma 🤘 https://www.marketwatch.com/ ...

• @kyweise Karen Weise on x

  Oh my. Zillow is shutting down its home flipping business and will layoff a quarter of its staff because its algorithms were too inaccurate Via @pat_clark https://www.bloomberg.com/...

• @darrenrovell Darren Rovell on x

  A reminder to stick to your core business. Zillow's core business wasn't real estate. It was real estate DATA. https://twitter.com/...

• @samro Sam Ro on x

  “...will unfortunately involve a reduction in our workforce of approximately 25% over the next few quarters.” https://twitter.com/...

• @mikeisaac Rat King on x

  this whole saga is WILD https://www.bloomberg.com/... https://twitter.com/...

• @dangeiger79 Daniel Geiger on x

  Zillow says it's closing its iBuying business and will lay off 25% of its employees - announcement follows revelations that the unit was buying and selling homes unprofitably: https://investors.zillowgroup.com/ ...

• @derektmead @derektmead on x

  The flipper has become the flippee https://www.bloomberg.com/...

• @killedbygoogle @killedbygoogle on x

  Absolutely disgusting how much Real Estate they snapped up this past year and contributed to a huge rise in housing prices. https://www.geekwire.com/...

• @business @business on x

  Zillow is pulling the plug on its tech-powered home-flipping operation after deciding that its pricing algorithms weren't accurate enough to build a stable business https://www.bloomberg.com/...

• @seldo Laurie Voss on x

  So did Zillow fail to become a buyer and seller of homes directly because it undermined their credibility as a search engine if they were also a broker, or just because they were bad at it? https://www.geekwire.com/...

• @pmddomingos Pedro Domingos on x

  Relying on a bad ML model is a bad business model. https://www.wsj.com/...

• @ajlatrace AJ LaTrace on x

  “Zillow may have leaned into home acquisition at the wrong time, and we believe earnings may be at risk due to its current home inventory ($1.17 billion at 2Q21).” https://www.marketwatch.com/ ...

• @toddhagopian Libertarian-In-Chief on x

  Imagine losing $400 million flipping houses in the hottest market in history Algorithms can only take you so far... https://twitter.com/...

• @carnage4life Dare Obasanjo on x

  Zillow disaster now official. They are getting out of the home buying business and laying off 25% of their staff. The home buying division lost $421M this quarter. They basically went head to head with Opendoor without any secret sauce then lost big. https://www.cnbc.com/...

• @paul_essen Paul Essen on x

  Wow, this is a pretty shocking admission of failure from $Z in terms of iBuying. Seems to really validate the more cautious and mixed approach that $RDFN has been going with. https://www.cnbc.com/...

• @carnage4life Dare Obasanjo on x

  Opendoor subtweets Zillow's earnings to let everyone know their business model@is sound and its Zillow that failed to execute https://twitter.com/...

• @jowens510 Jeremy C. Owens on x

  $Z is writing off more than $300 million in the current quarter on homes it paid too much for, and expects to lose $250 million or so in the fourth quarter because of it. Yes, that is more than half a billion dollars.