Opendoor Company Stats: Revenue & Market Share (2022)
Opendoor is an iBuyer, a real estate platform that buys and sells homes. The company uses algorithms and deep learning technology to generate nearly-instant cash offers for home sellers and determine resale prices. Home selling, buying, and adjacent services are available on the Opendoor platform, too.
Founded in 2014, Opendoor was the first to introduce the iBuyer model to the U.S. residential real estate market and has remained the market leader ever since.
Opendoor went public in December 2020.
Opendoor generated $8 billion in annual revenue in 2021 and reached its first-ever profitable quarter in Q1 2022.
From revenue to market share, here’s a summary of what you’ll find on this page:
- Opendoor Key Stats
- Opendoor Revenue
- Opendoor Expenses
- Is Opendoor Profitable?
- Opendoor Market Share
- How Many People Work at Opendoor?
- How Many People Visit Opendoor.com?
Opendoor Key Stats
- Opendoor reported $8B in revenue in 2021 and brought in $5.2B in Q1 2022.
- 21,725 homes were sold by the Opendoor digital platform in 2021. The company added 12,669 home sales in Q1 2022.
- Opendoor generated a net profit of $28M in Q1 2022 – its first profitable quarter in the company’s 8-year history.
- 35% of homeowners who request a price quote sell their homes to Opendoor.
- Opendoor operates in 48 metro areas.
- Opendoor is the largest iBuyer with a 51% market share of the U.S. iBuyer segment.
- Opendoor has 2,816 employees.
- On June 14, 2022, Opendoor announced entrance into 3 new markets: Boston, Cincinnati, and Albuquerque.
Opendoor Revenue Recognition
Opendoor buys and sells homes for a profit, charges a seller fee, and provides adjacent services that facilitate home selling and buying (title, escrow, insurance, home loan program, and similar). All these activities provide revenue streams for Opendoor.
Opendoor recognizes all revenue streams as Revenue from Home Sales or simply Revenue for reporting purposes.
Opendoor Revenue Growth
The company generated $8B in revenue in 2021 and added $5.2B in Q1 2002. Over the past 5 years, Opendoor revenue has grown by 1,028%.
Here’s Opendoor revenue growth broken down by year:
Opendoor Home Sales
In 2021, Opendoor sold 21,725 homes, a 119% increase over 2020. The company added 12,669 home sales in Q1 2022.
Here’s the table with Opendoor home sales by year:
Opendoor Revenue Per Home
Residential market appreciation and larger margins of Opendoor adjacent services also contributed to the company’s skyrocketing revenue in 2021.
Here’s a table showing Opendoor revenue growth per home by year:
|Year||Revenue Per Home|
Opendoor total operating expenses reached $1.3B in 2021, a 220% increase over the previous year that is consistent with the increases in sales activity and the company’s headcount.
Here’s a breakdown of Opendoor's total operating expenses by year:
|Year||Total Operating Expenses|
Opendoor Sales and Marketing Expenses
Opendoor 2021 sales and marketing expenses reached $544M, a 179% increase over 2020.
Here’s a table of Opendoor sales and marketing expenses by year:
|Year||Sales & Marketing Expenses|
Opendoor General and Administrative Expenses
Opendoor general and administrative expenses increased 349% over the previous year.
Here's a table of Opendoor's general and administrative expenses by year:
|Year||General & Administrative Expenses|
Opendoor Technology and Development Expenses
Opendoor technology and development expenses reached $134M in 2021, a 131% increase over the previous year.
Here’s a table of Opendoor technology and development expenses by year:
|Year||Technology & Development Expensess|
Is Opendoor Profitable?
Opendoor Net Income
Up until 2022, Opendoor has generated a negative net income. In other words, the company has been losing money.
Here’s a table showing Opendoor net income (loss) per year:
|Year||Net Income (Loss)|
Opendoor Unit Economics
Opendoor net losses are a direct result of the company’s negative unit economics.
|Margin Performance||Percentage Gain (Loss)|
Although the unit contribution margin (Home Sales Price – Home Purchase Price – Direct Sales Expenses) is positive, considerable indirect expenses (marketing, salaries, rent, etc.) turn Opendoor profit upside down.
Opendoor Turns a Profit
In Q1 2022, Opendoor reported a net profit of $28M – the first time in the company's 8-year history. Maybe this is a glimpse of the future to come.
Opendoor Market Share
Opendoor pioneered the iBuyer business model in the U.S. residential real estate market. The company has retained its leading position in the iBuyer segment since 2014.
Opendoor iBuyer Market Share
The combined iBuyer market share of single-family homes in the U.S. reached 1.3% in 2021. Within the iBuyer segment, Opendoor contributed roughly half of the total volume.
Here's a breakdown of iBuyer market share by company and year:
Opendoor Market Expansion
Opendoor has been actively developing new markets. The company sees market expansion as one of its top strategic priorities. The company currently operates in 48 U.S. metro areas, with 4 new markets added so far in 2022.
Update: On June 14, 2022, Opendoor announced 3 additional markets: Boston, Cincinnati, and Albuquerque.
Here's a table of Opendoor's year-by-year market expansion:
Opendoor operates in 17 more markets than its closest competitor Redfin. This separation provides Opendoor with a significant competitive advantage in terms of customer reach, building brand trust, and having access to new sales volumes.
Price Quote Requests and Conversion Rates
One bit of data disclosed by Opendoor for 2021 is the company’s 35% "real seller" conversion rate, determined as follows:
Opendoor Real Seller Conversion Rate = Homes Sold to Opendoor/Price Quotes Requests
With this (and some pre-calculus), we can extrapolate the number of Opendoor price quotes requested last year. If Opendoor purchased 36,098 homes in 2021 (per Opendoor 10K), it also received 103,137 price quote requests.
How Many People Work at Opendoor?
Opendoor currently employs 2,816 people, a 169% increase over 2020 when the company laid off 600 employees (nearly 36% of total employees) due to COVID-related restructuring.
Here’s a table of Opendoor employee count over the past 3-years:
Interestingly, despite Opendoor’s focus on building a contactless business, the company offers contracting (non-employment) opportunities to licensed real estate agents.
The agents can partner with Opendoor as a Tour Assistant or Agent Partner. Both roles provide an in-person customer experience. Agent Partners earn referrals and a commission split, and Tour Agents make $25/hour.
How Many People Visit Opendoor.com?
Unlike its competitors, Opendoor doesn’t include any data related to its website performance, such as search engine traffic, in the company’s public disclosures and investor presentations.
Why do we want to know it? Because organic website traffic is an indicator of the company's brand awareness and ability to build and grow its customer base.
Opendoor Website Visitors and Ranking
- Opendoor.com receives 454,000 average monthly visits (organic).
- Opendoor.com ranks #43 in the U.S. in the Business and Consumer Services/ Real Estate category.
Over the past five years, Opendoor has demonstrated impressive revenue growth and generated a lot of excitement among the investors.
Yet, Opendoor profitability remained an issue, even with the home prices consistently being on the rise.
Do you think the Opendoor business model can withstand the market price correction test when it happens?
Tell us in the comments - we’d love to hear from you.