What is Opendoor? Create an Opendoor Clone App for Buying & Selling Homes

December 25, 2020

Introduction:

If you’ve ever dealt with the complexities of buying or selling a home you would know how mentally draining it is. You have to advertise your own home on various social media platforms or post ads in newspapers. Your home is flooded with people any time of the day and you’ve to show and repeat the same things again and again.

The process is a tedious and uncertain one. There is no fixed timeline on when your home will find a buyer. Apart from the pain of finding a buyer, there are so many other technicalities that require your dedicated time and attention. To introduce convenience to this process the concept of ‘iBuyers’ has surfaced over the years.

iBuyer is a company like ‘Opendoor’ that buys homes directly from the house owners without including any real-estate agent in between. This blog shares useful information on what Opendoor offers to its customers, how it works internally, and what features you can include in creating a clone app like Opendoor.

What is Opendoor?

Opendoor is an iBuyer that was founded in 2014 and is currently exploring 21 markets. The company aims to introduce convenience and speed in the two-decade-old regime of buying and selling houses. The company has received a whopping 325 million USD in funding and wants to reinvent the house selling or buying process and make it as simple as booking a cab.

The CEO and co-founder of Opendoor Eric Wu is obsessed with the difficulties a consumer faces while buying or selling homes. The concept of Opendoor is not too different from that of other companies that have bloomed into businesses making optimum use of technology. Consumers today aren’t fond of complex processes and look forward to technology to breathe that breeze of ease into their lives.

Opendoor can be viewed as the go-to app for browsing homes, scheduling tours, and making offers. An On-Demand Real-Estate app that offers sales using digitalization. Some of the other perks that Opendoor offers are No Showings, Instant offers, Seamless transactions, and the facility to choose your closing date.

How does Opendoor Work?

  • Opendoor is a company based out of San-Francisco. It helps users buy and sell homes by making use of the Black Box pricing algorithm.
  • The real-estate market also holds uncertainty when it comes to sales. The company targeted a niche that valued certainty more than earning a few extra bucks.
  • Opendoor charges a service fee of 6%. Something similar to a standard real estate commission. Though the total charge also includes an additional fee that is added based on the risk calculation and reaches an average of 8%.
  • The company then inspects the property and fixes it as per the changes approved by the inspectors. The company then sells the homes for a small incentive.
  • The buyers too experience real-convince in terms of examining properties on-sale. They can get key codes for properties and can visit them at their convenience.
  • Apart from this it also offers a 30-day buyback guarantee if the buyer isn’t happy with what they’ve bought. It also provides a user with a two-year warranty on major appliances and electrical systems.
  • Unlike other real estate firms, Opendoor offers an ‘all-cash’ functionality within their app. This gives the company an edge over the other competitors.

 

Future Prospects of Opendoor Clone App

  • Wu thinks that exercising proper data analysis can offer the company the opportunity of buying and selling homes in abundance. The same trick has been used by many prominent Silicon Valley companies.
  • The company tries selling single-family homes that are built after the year 1960. The price range generally varies between 125, 000 USD to 500, 000 USD. The company doesn’t like selling properties that require too much repair or luxury properties, that are difficult to value.
  • The company was valued at 580 million USD in 2016. It managed to generate 110 million USD in assets from GGV Capital, Access Industries, and Khosla Ventures.
  • Opendoor also generated 400 million USD in debt to purchase homes. The company now has to sell the homes at accurate rates to make a profit.
  • A behavioral economist, Dan Ariely who isn’t associated with Opendoor predicts that people will be inclined to sell their homes on Opendoor due to the convenience and quick results it offers.
  • The goal of Opendoor is to create a tech-powered platform like Airbnb or Uber. It wants to offer real-estate solutions while investing minimal energy and time.
  • Scope.

The company plans to grow to 50 markets by the end of the year 2020. It buys homes worth 2.5 billion USD annually.The company has managed to raise 325 million USD through a funding round co-led by:

Access Technology Ventures

Lennar Corporation

Andreessen Horowitz

10100 Fund

Coatue Management

Invitation Homes/p>

General Atlantic along with existing investors

Norwest Venture Partners

Lakestar

GGV Capital

NEA &

Khosla Ventures

 

Features you can Add to Your Opendoor Clone App:

Here are some of the features that can add to your clone app.

House Listing Dashboard:

This feature is the most important for your app and should also be the most desirable one. Any buyer would look for choices to explore along with an intuitive user interface. A seller on the other hand would look for an attractive representation of their property and the best possible offers. Creating a dashboard that serves both the participants of the app should be your ultimate goal.

Advanced Search Options:

Users have many preferences when it comes to choosing their homes. Filters like area, price, number of bedrooms, total area, and much more are some of the prominent preferences. You can also make use of AI that learns user preferences and suggests home as per the data obtained.

Connecting with the Experts:

Your app should have this feature where the user can instantly connect with your home experts if they have any doubts or queries. The expert’s job is to clarify the misconceptions a client has if any and guide them in the right direction.

They should also be able to provide the clients with similar home suggestions learning the criteria they hold. Other information like cost changes, information regarding the locality, and the likes should be readily made available to the client.

 

How can Technource Assist build Opendoor Clone App?

Technource has already explored the real-estate application world and has created applications for a company that ranks among the top 20 real estate companies in the US. Our company has created web and mobile applications for the same. In our above-mentioned project, we’ve offered some prominent features using Augmented Reality. One of the stand-out features is that the app offers a home tour once it senses that you’re in proximity of the listed properties. Our development team has made persistent efforts to achieve this feat. 

We offer software solutions in the mobile and web domains. Our web technologies include MERN & MEAN stack and PHP. We offer best-in-class on-demand app development solutions using native techs such as Swift and JAVA and cross-platform technologies like Flutter, Ionic, and React Native. Our team of developers is proficient in all the above-mentioned technologies to develop real estate app as per your need.

If you have a tight budget you don’t need to worry. We also recommend our clients go for MVP development. MVP offers the core features of your app, allows you to test the water while also keeping a tab on your budget.

Our team of designers and developers is highly motivated to take on any challenge you throw our way. The real estate market is really strong and holds numerous opportunities for you to explore. You can request a free consultation on our website and one of our team members will get back to you as soon as possible. Let’s connect at the earliest.

tn_author_image

Mr. Sanjay Singh Rajpurohit, An early-aged entrepreneur who always leads his team from the front and achieved success. As the founder & CEO of Technource, a top web, and mobile app development company, he made a global presence in a short time by offering custom software development, premium mobile apps and website development services.

    Request Free Consultation

    Amplify your business and take advantage of our expertise & experience to shape the future of your business.

    Offices.