They paid above market for these houses in cash in order to get them and we don't know how much above market, only they and their AI know, that's what's causing them all the fuss now.
Right so even with AI technology and directly owning much of the housing data in the US, they still couldnt make a profit. Any time you buy a house to flip it you are paying a premium in hopes to make a greater premium. Instead they are making a loss. Thats not a good market signal.
From what i've read about all their investment regarding this issue, many of the homes they purchased also needed extra investment/rehab.
I think they tried their hand at automation/ai purchasing as they had a lot of data but something fell really short of expectations.
What Z did is a bit outside of the current market norms so i wouldn't really use it as a market signal, i'm looking at it more as their idea/system just fell short.
But at the same time i was expecting the housing market to go lower into the start of this year, boy was i wrong as the market dynamics changed fast.
trident5000|4 years ago
k3oni|4 years ago