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    Home»Real Estate News»Opendoor posts $1.3B loss in 2025 but sees path to profitability

    Opendoor posts $1.3B loss in 2025 but sees path to profitability

    Team_WorldEstateUSABy Team_WorldEstateUSAFebruary 21, 2026No Comments3 Mins Read
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    These declines got here as executives have promised a rise in velocity wherein the iBuyer transacts properties. Nevertheless, on the decision, executives famous that Opendoor has elevated purchases by 46% in This autumn in comparison with Q3. As well as, they famous that the iBuyer offered properties shortly as effectively, with list-to-sale timelines reducing 23%. Final week alone, Nejatian mentioned Opendoor had bought 537 properties, persevering with the momentum it cultivated in late 2025. 

    “The proof of progress is obvious,” he mentioned. “Most importantly, our October 2025 acquisition cohort — each the primary full month beneath the Opendoor 2.0 mannequin and the primary with mature sell-through knowledge — is monitoring to ship the strongest contribution margins of any October cohort in firm historical past. And these properties are promoting at greater than twice the speed of the October 2024 cohort, with over 50% already offered or beneath resale contract. Whereas our newer cohorts are nonetheless early of their sell-through, we like what we see, and our Q1 2026 contribution margin information publish displays our confidence within the trajectory for the portfolio.”

    The way forward for iBuying

    As Opendoor appears to the longer term, Nejatian has promised that the iBuyer will obtain breakeven adjusted internet earnings by the top of 2026 on a 12-month go-forward foundation and he’s assured that the corporate will attain this objective. To assist it attain this achievement, executives mentioned the corporate is leaning into AI and new product launches, together with a mortgage product that’s slated to roll out subsequent week. 

    Additionally contributing to Nejatian’s optimism is the fast enlargement Opendoor undertook in This autumn 2025,  increasing each its geographic protection and its “purchase field” so the product is now accessible to “practically each home-owner” within the contiguous United States. 

    “It took Opendoor from 2015 to 2025 to turn into accessible as an choice for about 1/3 of the properties within the U.S., 10 years. Opendoor 2.0 nearly tripled that in about 10 weeks,” he mentioned. 

    As he appears to information Opendoor again to profitability, in an effort to enhance margin, Nejatian mentioned he isn’t targeted on cutting costs.

    “We targeted on bettering the product and taking pleasure in our code, and the prices began disappearing type of on their very own,” he mentioned. 

    Because of these efforts, Nejatian mentioned the “tech debt” and “organizational debt” Opendoor was carrying is bettering. 

    “When Opendoor entered 2025, our annual run charge prices on internet hosting was $12 million a yr,” he mentioned. “Exiting 2025, Opendoor 2.0’s price and internet hosting infrastructure is lower than $5 million a yr. We haven’t simply considerably lower the price of offering our merchandise to our prospects. We’ve additionally made the product higher.”

    It seems Nejatian isn’t the one one bullish on Opendoor’s future. Regardless of the astronomical internet loss the corporate recorded, after earnings have been introduced, shares of the corporate leap from $4.60 per share to $5.30 per share in after-hours buying and selling, suggesting that Opendoor may very well be the following meme stock success story.



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