Opendoor Technologies, Inc. (OPEN) Morgan Stanley Technology, Media & Telecom Conference (Transcript)

Opendoor Technologies, Inc. (NASDAQ:OPEN) Morgan Stanley Technology, Media & Telecom Conference March 4, 2024 4:25 PM ET

Company Participants

Carrie Wheeler - Chief Executive Officer

Conference Call Participants

Matt Cost - Morgan Stanley

Matt Cost

Hello, everyone. Thank you so much for being here. My name is Matt Cost from Morgan Stanley U.S. Internet team. I'm very pleased today to be joined by Carrie Wheeler, CEO of Opendoor. Thank you so much for being here.

Carrie Wheeler

Thanks for having me.

Matt Cost

So I'm just going to quickly go through the disclosures. For important disclosures, please see the Morgan Stanley Research disclosure website at morganstanley.com/researchdisclosures. If you have any questions, please reach out to your MS sales representative. All right.

So maybe let's talk about online penetration. Residential real estate broadly is one of the largest TAMs of consumer expenditure, but it also is one of the lowest online penetration rates. So maybe start high level. Let's talk about why you think iBuying is the right approach to change that adoption curve?

Question-and-Answer Session

A - Carrie Wheeler

Yes. I mean, you said it already. I mean, residential real estate is massive market, has seen very little disruption so far outside of discovery in terms of online transactions for real estate. And more important maybe than the size of the market is like the enormity of the problem.

And for the average consumer selling your home through the additional listing process, it's pretty wretched, right? You've got to find an agent and list your home. You got to do repairs on spec. You've got to hold a bunch of open houses. And assuming you do all that and you get a buyer that you've probably negotiated with the chances of that transaction falling through are one in four.

So