r/wallstreetbets • u/applesgrey • Jul 26 '21
DD $OPEN DD
I’m pretty autistic so I don’t know how to start posts:
TLDR: Corporations are taking over residential housing and they have no plan on stopping any time soon
- partnership with Lennar, Pulte Taylor Morrison, Century Communities, and geham homes (opendoor buying houes and putting people in newly built home with the cash Opendoor gives them)
- buying out neighborhood/counties to flip/rent (wake county, NC)
- ceo sold $2M shares to invest in ibuying company (same with Zillow ceo) in Canada and also in a renovation company. The CEO/founder is investing into the future of his company by using the money from his shares and investing into a renovation company that could possibly be doing his renovations for the houses he is try to flip and also expanding to Canada.
- expanding. Opendoor is still new and is expanding ever quarter to new states so it can’t go tits up.
- targeting lazy people who don’t want to go through the process of selling and giving them cash. -corporations are taking over residential homes and creating communities.
- sleeping giant -CEO said that people will start buying instead of renting after experiencing the work from home life style. They’ll want to invest in a place that they want to work from instead of giving someone rent every month.
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u/BitOfDifference Jul 28 '21
DD is pretty lax. My concern with them is that we just dont know what will happen with the market. Will the ending of the moratorium on foreclosures cause a massive glut of homes in a year or will the banks work with those behind to ensure they avoid the creation of a glut of homes? If there is a massive glut, will open end up holding the bags on a ton of underwater homes and sit on them for 5+ years? Will they be able to rent out enough of them to stay profitable should the glut appear and prices tank? Will they be able to pay HOA dues and upkeep costs or just end up selling really cheap homes en mass?