Opendoor Reports $162 Million Net Loss and 44% Revenue Decline in Latest Quarter

Opendoor Technologies Inc. reported significant financial challenges in its latest quarterly filing, revealing a net loss of $162 million for the three months ended June 30, 2026, compared to a loss of $29 million in the same period last year. Revenue for the quarter fell to $883 million, a 44% decrease from $1.57 billion in the prior year, primarily due to a substantial drop in home sales volume. The company sold 2,339 homes during the quarter, down from 4,299 homes sold in the same period of 2025. For the first half of 2026, revenue also decreased by 41% to $1.6 billion, with a net loss of $335 million compared to a loss of $114 million in the previous year.

The filing highlighted a notable increase in operating expenses, particularly in general and administrative costs, which surged by 382% to $135 million for the quarter, largely due to a rise in stock-based compensation expenses. Total operating expenses for the quarter reached $230 million, up from $141 million a year earlier. Despite these challenges, the company reported a gross profit of $86 million, with a gross margin of 9.7%, an improvement from 8.2% in the previous year, attributed to a favorable mix of inventory sold and increased margins from adjacent services.

In terms of operational metrics, Opendoor's real estate inventory increased to $1.85 billion as of June 30, 2026, up from $925 million at the end of 2025. The company was in contract to purchase 2,310 homes for a total of $736 million, indicating ongoing investment in its inventory despite the current market conditions. The percentage of homes on the market for more than 120 days decreased to 9%, compared to 36% in the previous year, suggesting improved inventory turnover.

Strategically, Opendoor has been focusing on enhancing its product offerings, including the launch of a mortgage product through Opendoor Home Loans LLC, aimed at improving customer experience and unit economics. The company also completed the acquisition of certain assets and equity interests in a closing and escrow operations business for $10 million in July 2026. Looking ahead, Opendoor anticipates continued challenges in the housing market, particularly due to elevated mortgage rates and affordability issues, but remains committed to leveraging its data-driven pricing models and operational efficiencies to navigate these conditions.