“The revolutionary way to buy and sell your home”
|Founded: 2014 in California, USA
Category: Real Estate
Primary office: San Francisco, California (USA)
Core technical team: San Francisco, California (USA)
$1.5 billion (8 rounds – March 2019).
$3 billion in debt financing
- Marketplace to buy/sell homes with less friction and a greater payout than traditional home sales
- Realtors are a component of the marketplace with payments for buying/selling to Opendoor and for referrals
- Online and Mobile user-friendly Interface
- Partnership with over 2,000 home builders and commercial home sellers
- Partnership with local vendors and artisans in property management providing easy access to such services
- Partnership with realtors – $130M+ in commissions and referrals; 15,000+ agents transacted with Opendoor in 2019; Opendoor purchased a house every 28-minutes
- Founder-led management team
- Data modelling, Artificial Intelligence, Machine learning
- Data modelling to identify opportunities and gaps in the home market and to identify optimal pricing
- Hassle-free and transparent costing and pricing for all players
- Large real estate and property management ecosystem – partners with various vendors and artisans (home cleaners, repair workers, electrical services, landscaping, etc.)
- Presence in 21 cities in USA and fast growing.
- $3 billion in debt financing to buy properties
- Online & Mobile enabled platforms
- Provides immediate competitive cash offers on properties for both buyers and sellers
- 90-day company buy-back option for dissatisfied buyers on Opendoor-owned properties
- Free in-person home assessment
- Increase IT capability – improve AI algorithm or price modelling, improve user interface
- Diversify product offerings – include mortgage tools, post-purchase contract development tools,
- Drive market expansion within and outside USA.
Assertions That Best Describe What the Company Did to Scale Early, Rapidly & Securely
- Develop and sell products that address a problem, job to be done or a need that is shared by a large and growing number of individuals and organizations in various regions to increase sales.
- Increase demand by using scientific and technological advances to develop innovative products and services
- Increase value by arranging and directing a community comprised of groups that are external and internal to the company and connect everything needed to scale.
- Increase sales by offering a variety of products and services to each market
- Increase demand of products and services by combining two or more resources in a way that the value created from them exceeds the sum of the value created from each resource separately
- Arrange and apply differently the company’s existing resources to increase sales
Opendoor website. 2019. https://www.opendoor.com/w/about
Crunchbase. 2019. Opendoor. https://www.crunchbase.com/organization/opendoor-2/funding_financials
Lunden, I. 2019. Opendoor raises $300m on a $3.8billion valuation for its home marketplace. [online]. TechCrunch. https://techcrunch.com/2019/03/20/opendoor-raises-300m-on-a-3-8b-valuation-for-its-home-marketplace/
Owler. 2019. Opendoor. https://www.owler.com/company/opendoor
- Yinka Olanrewaju-Olawepo