I recently discovered a start-up company by the name of OpenDoor that's raised millions in VC money to essentially crush all of us who are investing in residential real estate within the U.S. Ultimately, I do not believe it's fair that a bunch of heavily funded tech. gurus who didn't know the first thing about real estate prior to starting the company are able to come in and uproot many family owned and small business investors across the country. Essentially, they are the "Walmart" of real estate investing that are out to line their pockets by taking advantage of ignorant homeowners and put hard-working small and medium-size businesses who aren't as fortunate to have hundreds of millions to work with out of business.
Therefore, if you feel so inclined to help the little guys, please leave a review on their Yelp page. If we all join together to inform the public what's going on, I am confident they will not be able to sustain their growth. Feel free to educate yourself further at Open Door's website.
A Concerned, Family-Owned And Operated Business Owner
@Michael DiGiovanni I dont care how much they raise, they will never ever be able to out maneuver us. Anything that big will never have the skill set to do the deals that creative real estate investors can do. Blackstone was buying with billions and they didnt even dent us. Short of a federal law making real estate investing illegal (it will never happen) we will all be fine.
The total value of US real estate last year was around 30 trillion. The biggest hedge fund in the world controlled around 100 billion in assets. That's not even 1/2 of 1% of the US market.
I think we are going to be fine, and if we're not, a Yelp review isn't going to make it so.
I agree, this is one that will only live as long as VCs prop it up.
It's a good idea in theory, but in practice there are to many emotions tied in to home transactions for this to work at scale.
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