Speaker 2
still drilling, still doing new things, trying to figure it out. One of those new things is a business called ee buying. Redfin got into eye buying a few years ago. It's this business where a few big companies will basically buy your house for cash over the internet, then turn around and try and sell it for a profit. Ibin was in the news last fall when zillo said they had lost hundreds of millions of dollars in just a few months in the ibin business, and were getting out of it. Later in the conversation, glen and i talk about what happened with zillo and the risks red finn is facing. But before we got to that, we started out with some eye buying basics. First off, who sells their houses to eye buyers like redfin? There
Speaker 1
are people who want to sell a house without having to clean it up every day so that someone could tor it. They just want the money right away. And some of tha is about convenience. You just want some one to buy at lockstock and barrel on the spot. Another reason that people do this is because they see the home of their dreams, theire bidding against cash investors, which has become increasingly prevalent, and they get the money out of their old place in three hours on a sunday afternoon. These ee buyers provide that liquidity. We are the ones who say, listen, your house is worth about 700 thousand dollars. I think if we fixed it up, we could probably sell it for 737 hundred forty, but we'll give you the 700 right now. And that has been wonderful for some people, but it's a trade off. You get a little less money for a same day sale, or a near same day sale.
