house

A $13.5 Billion SPAC Sensation Will Buy Your House

Opendoor buys houses, refurbishes them and sells them a few months later. Essentially, it flips homes. The company rejects that description, however, and would prefer you called it an “iBuyer” — a technology-enabled, one-stop shop for homeowners who want to sell quickly with as little friction as possible. You enter your home address on the website, and some details about the state of the property and its features, and it makes you an offer.

In fairness, Opendoor makes most of its money from charging the seller a 6%-9% levy on the gross purchase price — not from buying low and selling high. (In the U.S. someone selling a house the old-fashioned way might pay 5%-6% in broker fees.) It sold almost 19,000 homes last year in 21 U.S. cities, although Phoenix, Dallas, Atlanta and Raleigh account for almost half of its revenue. Rival real-estate websites such as Zillow Group Inc. have also jumped aboard the iBuying bandwagon.

This is a very good moment to go public. America’s housing market is booming, thanks to rock-bottom interest rates and a pandemic-induced urge for more space and bigger gardens. Covid-19 infection concerns also validate Opendoor’s business model. Sellers who accept its algorithm-generated cash offer avoid human house-hunters traipsing through their living rooms. 

So far, investors have been willing to overlook Opendoor’s $900 million or so of losses since it was founded in 2014. They’ve also accepted that revenue may halve this year because the company paused the buying of properties during the pandemic and laid off a third of its staff. While it has restarted home purchases, revenue isn’t expected to recover until 2022. That’s an odd look for a high-growth company. 

When the Vision Fund last invested in 2019, it valued Opendoor at just $3.8 billion. This year, Social Capital Hedosophia Holdings

A $13 Billion SoftBank-Backed SPAC That Will Buy Your House

Opendoor buys houses, refurbishes them and sells them a few months later. Essentially, it flips homes. The company rejects that description, however, and would prefer you called it an “iBuyer” — a technology-enabled, one-stop shop for homeowners who want to sell quickly with as little friction as possible. You enter your home address on the website, and some details about the state of the property and its features, and it makes you an offer.

In fairness, Opendoor makes most of its money from charging the seller a 6%-9% levy on the gross purchase price — not from buying low and selling high. (In the U.S. someone selling a house the old-fashioned way might pay 5%-6% in broker fees.) It sold almost 19,000 homes last year in 21 U.S. cities, although Phoenix, Dallas, Atlanta and Raleigh account for almost half of its revenue. Rival real-estate websites such as Zillow Group Inc. have also jumped aboard the iBuying bandwagon.

This is a very good moment to go public. America’s housing market is booming, thanks to rock-bottom interest rates and a pandemic-induced urge for more space and bigger gardens. Covid-19 infection concerns also validate Opendoor’s business model. Sellers who accept its algorithm-generated cash offer avoid human house-hunters traipsing through their living rooms. 

So far, investors have been willing to overlook Opendoor’s $900 million or so of losses since it was founded in 2014. They’ve also accepted that revenue may halve this year because the company paused the buying of properties during the pandemic and laid off a third of its staff. While it has restarted home purchases, revenue isn’t expected to recover until 2022. That’s an odd look for a high-growth company. 

When the Vision Fund last invested in 2019, it valued Opendoor at just $3.8 billion. This year, Social Capital Hedosophia Holdings

McConnell sets Senate vote on coronavirus aid, Pelosi spurns White House bid

By Susan Cornwell

WASHINGTON (Reuters) – Senate Majority Leader Mitch McConnell said on Tuesday the Republican-led U.S. Senate would vote next week on a targeted, $500 billion coronavirus economic aid bill of the type Democrats already have rejected as they hold out for trillions in relief.

With negotiations on a broader package stalled and Election Day approaching, both Republicans and Democrats faced pressure to take action to help Americans weather a pandemic that has killed more than 214,000 people and damaged the U.S. economy.

Congress passed $3 trillion in coronavirus aid, including help for the unemployed, in the spring.

Both sides say more aid is needed now, but appear to remain far apart. With leaders of the Democratic-run House and Republican Senate still sparring, a bipartisan deal on coronavirus relief remains unlikely before Nov. 3 presidential and congressional elections.

President Donald Trump, a Republican who called off coronavirus relief talks last week only to restart them days later, pushed lawmakers again on Tuesday to “Go big or go home!!!”

House Speaker Nancy Pelosi took a swipe on Tuesday at Trump’s about-face. “Following his tweet, the stock market went down and so did he in the polls,” Pelosi said of Trump’s assertion last week that there would be no aid package before the election.

In recent days, Pelosi has refused a White House offer for a $1.8 trillion coronavirus aid package even though it moved closer to her $2.2 trillion proposal – and despite mounting pressure from some members of her own Democratic caucus who would like to see a compromise.

Pelosi angrily defended her stance Tuesday when a CNN interviewer asked her to respond to a progressive Democrat, Representative Ro Khanna, who had urged her to accept the White House proposal instead of waiting until February next year, when Democrats

8 dead as house collapses amid record rain in southern India

HYDERABAD, India — A house collapsed in the southern Indian city of Hyderabad amid record rains and heavy flooding, killing at least eight people, police said Wednesday.

In addition to the dead, another four people were hospitalized after a farmhouse’s boundary wall fell on a neighboring house, which collapsed with the impact, said police officer Gaja Bhopal Rao.

The house was in a hilly area of the city where the soil was loosened by more than 25 centimeters (9.8 inches) of rain in the past 24 hours, said Police Commissioner Anjani Kumar.

The heavy rain in Hyderabad, caused by a deep depression in Bay of Bengal, broke a record set 20 years ago. It caused flooding in low lying areas of the city, where authorities used boats to evacuate people.

More than 9.6 million people across South Asia have been affected by severe floods this year, with hundreds of thousands struggling to get food and medicine.

About 550 people have died in India, Bangladesh and Nepal, while millions have been displaced from their homes since the flooding began in June.

Dems, GOP stretch for hard-to-get districts in House races

CHARLOTTESVILLE, Va. (AP) — In a rustic Virginia district that bounced its Republican congressman after he officiated a same-sex wedding, the battle to replace him pits a self-described “biblical conservative” backed by President Donald Trump against a Black doctor who worked in Barack Obama’s White House.



FILE - In this June 14, 2020, file photo 5th Congressional District Republican candidate Bob Good leaves Lynchburg's Tree of Life Ministries, in Lynchburg, Va. Good is running against Democrat Cameron Webb. (Amy Friedenberger/The Roanoke Times via AP, File)


© Provided by Associated Press
FILE – In this June 14, 2020, file photo 5th Congressional District Republican candidate Bob Good leaves Lynchburg’s Tree of Life Ministries, in Lynchburg, Va. Good is running against Democrat Cameron Webb. (Amy Friedenberger/The Roanoke Times via AP, File)

The district, which stretches from Washington’s far suburbs to the North Carolina line, has elected just one Democrat for a single two-year term this century. Trump carried it by 11 percentage points in 2016. Yet Democrats are spending money to go after it.

The contest between Republican Bob Good and Democrat Cameron Webb will answer whether a Black candidate with an expertise in health care can prevail in a traditionally conservative area during a pandemic and a time of racial reckoning. It’s also an example of how both parties are pursuing a handful of districts that might seem a reach.

Democrats are contesting over a dozen seats from New York’s Long Island to Alaska where Trump won by at least 10 percentage points, usually a daunting margin. Republicans have fewer viable targets but are spending serious money in places like South Florida and central California where Trump lost badly four years ago.

Marking the efforts’ seriousness, at least one side’s outside groups are spending $1 million or more in most of these races. The expenditures come during an election when the question isn’t whether Democrats will keep their House majority but how large it will be.

Democrats have more opportunities because of the suburbs’ continuing flight from Trump, GOP retirements