Godzillow vs Flippers we are doomed.....
Zillow loses money on each house sold but they are expanding to over 20 markets. We are entering the era of iBuyers and Wall Street wants deals. Anyone feeling this yet?
House Flipper Zillow Lost $109K (37%) Per Flip, Net Loss Triples, Shares Soarby Wolf Richter • May 10, 2019 • 102 Comments • Email to a friend
But this new & horrendous house flipping operation inflated revenues “more than expected.”
Zillow, which has generated an unbroken series of annual losses as a public company since its IPO in 2011, has figured out how to lose even more money, a lot more money, and at the same time boost revenues and get its shares to jump: house flipping.
In its quarterly earnings report Thursday evening, Zillow disclosed the dollars and cents of its newest enterprise, “Zillow Offers,” which buys and sells homes. The company describes this as “a new, hassle-free way to buy and sell homes directly through Zillow.”