During the summer of 2020, the iBuyers as a group have become far less significant participants in the Greater Phoenix market.
August sales were down 78% compared with 2019 while purchases were down 66%. Of the group, OfferPad seems to be most committed to staying in the game, becoming the largest purchaser with 83 homes, but this is still lower than the 107 they purchased in August 2019.
Knock has exited the iBuying business and has bought nothing for 2 months. They have 3 homes left in inventory and presumably will dispose of them shortly.
Opendoor and Zillow are both running at volumes which are a fraction of what they used to achieve in 2018 and 2019.
iBuyer inventories remain very low, down 75% compared with this time last year.
Buying and selling homes online no longer appears to be able to fuel the revenue growth that investors crave.
Quick Market Minute - Week 37
