Opendoor Technologies Inc.

Previous wording

Opendoor’s mission is to power life’s progress, one move at a time. Residential real estate is a trillion-dollar industry underpinned by a process that is complicated, time-consuming, stressful, and offline. We believe all consumers deserve to buy, sell, and move between homes with simplicity and confidence, and we have dedicated over a decade to delivering on this vision. We have built unique pricing and operations capabilities to become one of the largest buyers and sellers of homes in the United States. Since our founding, we have helped customers to buy or sell homes in over 281,000 transactions and expanded our footprint to 50 markets across the country.

Current wording

Opendoor’s mission is to power life’s progress, one move at a time. Residential real estate is a trillion-dollar industry underpinned by a process that is complicated, time-consuming, stressful, and offline. We believe all consumers deserve to buy, sell, and move between homes with simplicity and confidence, and we have dedicated over a decade to delivering on this vision. We have built unique pricing and operations capabilities to become one of the largest buyers and sellers of homes in the United States. Since our founding, we have helped customers to buy or sell homes in over 287,000 transactions and expanded our footprint to 50 markets across the country.

Previous wording

In the first quarter of 2025, the housing market remained under pressure from persistent macroeconomic headwinds. Market activity continued to be subdued, with seasonally adjusted annualized existing home sales tracking in the low four- million unit range – well below the decade-long average of over five million. While new listings increased just over 5% year-over-year, affordability challenges and the ongoing lock-in effect, where homeowners with low fixed-rate mortgages are reluctant to sell, continued to constrain buyer demand, resulting in slowing clearance rates, which were down approximately 25% versus prior year.

Current wording

In the second quarter of 2025, housing market activity remained under pressure from persistent macroeconomic headwinds with seasonally adjusted annualized existing home sales of approximately four million units – well below the decade-long average of over five million. Affordability challenges continued to constrain buyer demand, resulting in slowing clearance rates, which were down approximately 25% versus prior year, while delistings – homes removed from the market unsold – continued to climb throughout the second quarter, reflecting a persistent disconnect between seller expectations and buyer willingness to transact.

Previous wording

Following the announcement in April 2025 by the United States Presidential Administration of new and proposed tariffs on foreign countries, we have seen a deterioration in macroeconomic indicators of the housing market. In response to this evolving environment, we remain committed to a flexible and data-driven approach to managing our business, dynamically adjusting our pricing strategies to balance growth, margin, and risk. In particular, we have increased our spread levels in response to this uncertainty. We continue to closely monitor macroeconomic developments and remain agile in our decision-making, enabling us to respond effectively to shifts in interest rates and broader market conditions.

Current wording

In response to this challenging environment, we remain committed to a flexible and data-driven approach to managing our business, dynamically adjusting our pricing strategies to balance growth, margin, and risk. In particular, we have increased our spread levels in response to this uncertainty. We continue to closely monitor macroeconomic developments and remain agile in our decision-making, enabling us to respond effectively to shifts in interest rates and broader market conditions. Additionally, we have expanded our agent-led distribution channel and capital-light product initiatives, which we believe may resonate with prospective sellers in these market conditions.

Previous wording

We are steadily growing our reach via our partnership channels with homebuilders, agents, and online real estate platforms. We have relationships with two of the largest online real estate platforms, Zillow and Redfin, which together reach millions of unique monthly visitors and allow home sellers to request an offer directly from Opendoor. In addition to driving incremental acquisitions, we expect these partnerships can build our brand awareness and serve as additional avenues for sellers to learn about the benefits of our flagship cash offer.

Current wording

Partnership channels with homebuilders, agents, and online real estate platforms are an important source of leads for our business. We have relationships with two of the largest online real estate platforms, Zillow and Redfin, which together reach millions of unique monthly visitors and allow home sellers to request an offer directly from Opendoor. In addition to driving incremental acquisitions, we expect these partnerships can build our brand awareness and serve as additional avenues for sellers to learn about the benefits of our flagship cash offer.

Previous wording

Real estate inventory is reviewed for valuation adjustments on a quarterly basis. If the carrying amount for a given home is not expected to be recovered, an inventory valuation adjustment is recorded to cost of revenue and the home’s carrying value is adjusted to its net realizable value. Inventory valuation adjustments are not offset by any expected gains and are not reversed or adjusted should the expected net realizable value subsequently increase. We recorded inventory valuation adjustments of $13 million and $7 million during the three months ended March 31, 2025 and March 31, 2024, respectively. See “Part II – Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations – Critical Accounting Policies and Estimates – Real Estate Inventory” in our Annual Report on Form 10-K for the year ended December 31, 2024.

Current wording

Real estate inventory is reviewed for valuation adjustments on a quarterly basis. If the carrying amount for a given home is not expected to be recovered, an inventory valuation adjustment is recorded to cost of revenue and the home’s carrying value is adjusted to its net realizable value. Inventory valuation adjustments are not offset by any expected gains and are not reversed or adjusted should the expected net realizable value subsequently increase. We recorded inventory valuation adjustments of $21 million and $34 million during the three and six months ended June 30, 2025, respectively, and $34 million and $41 million during three and six months ended June 30, 2024, respectively. See “Part II – Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations – Critical Accounting Policies and Estimates – Real Estate Inventory” in our Annual Report on Form 10-K for the year ended December 31, 2024.

Previous wording

As one key measure of inventory management performance, we evaluate our portfolio metrics relative to the broader market (as observed on the multiple listing services (“MLS”)). One such metric is our percentage of homes “on the market” for greater than 120 days as measured from initial listing date. As of March 31, 2025, such homes represented 27% of our portfolio, compared to 21% for the broader market when filtered for the types of homes we are able to underwrite and acquire based on characteristics such as market, price range, home type, home location, year built and lot size (which we refer to as our “buybox”). This metric fluctuates based on seasonal factors, market dynamics, and our resale strategies.

Current wording

As one key measure of inventory management performance, we evaluate our portfolio metrics relative to the broader market (as observed on the multiple listing services (“MLS”)). One such metric is our percentage of homes “on the market” for greater than 120 days as measured from initial listing date. As of June 30, 2025, such homes represented 36% of our portfolio, compared to 19% for the broader market when filtered for the types of homes we are able to underwrite and acquire based on characteristics such as market, price range, home type, home location, year built and lot size (which we refer to as our “buybox”). This metric fluctuates based on seasonal factors, market dynamics, and our resale strategies.

Previous wording

Adjusted Net Loss and Adjusted EBITDA are supplemental measures of our operating performance and have important limitations. For example, these measures exclude the impact of certain costs required to be recorded under GAAP. These measures also include inventory valuation adjustments that were recorded in prior periods under GAAP and exclude, in connection with homes held in inventory at the end of the period, inventory valuation adjustments required to be recorded under

Current wording

Adjusted Net Loss and Adjusted EBITDA are supplemental measures of our operating performance and have important limitations. For example, these measures exclude the impact of certain costs required to be recorded under GAAP. These measures also include inventory valuation adjustments that were recorded in prior periods under GAAP and exclude, in connection with homes held in inventory at the end of the period, inventory valuation adjustments required to be recorded under GAAP in the same period. These measures could differ substantially from similarly titled measures presented by other companies in our industry or companies in other industries. Accordingly, these measures should not be considered in isolation or as a substitute for analysis of our results as reported under GAAP. We include a reconciliation of these measures to the most directly comparable GAAP financial measure, which is net loss.

Previous wording

We calculate Adjusted Net Loss as GAAP net loss adjusted to exclude non-cash expenses of stock-based compensation, equity securities fair value adjustment, intangibles amortization expense, and the amortization of stock-based compensation capitalized to internally developed software (“IDSW”). It excludes expenses that are not directly related to our revenue-generating operations such as restructuring. Adjusted Net Loss also aligns the timing of inventory valuation adjustments recorded under GAAP to the period in which the related revenue is recorded in order to improve the comparability of this measure to our non-GAAP financial measures of unit economics, as described above. Our calculation of Adjusted Net Loss does not currently include the tax effects of the non-GAAP adjustments because our taxes and such tax effects have not been material to date.

Current wording

We calculate Adjusted Net Loss as GAAP net loss adjusted to exclude non-cash expenses of stock-based compensation, equity securities fair value adjustment, intangibles amortization expense, and the amortization of stock-based compensation capitalized to internally developed software (“IDSW”). It excludes expenses that are not directly related to our revenue-generating operations such as restructuring. It also excludes (gain) loss on extinguishment of debt as these gains or expenses were incurred as a result of decisions made by management to terminate or partially extinguish portions of our outstanding credit facilities or convertible senior notes early; these expenses are not reflective of ongoing operating results and vary in frequency and amount. Adjusted Net Loss also aligns the timing of inventory valuation adjustments recorded under GAAP to the period in which the related revenue is recorded in order to improve the comparability of this measure to our non-GAAP financial measures of unit economics, as described above. Our calculation of Adjusted Net Loss does not currently include the tax effects of the non-GAAP adjustments because our taxes and such tax effects have not been material to date.

Previous wording

(3)Beginning in the quarter ended March 31, 2025, the Company revised the presentation of the amortization of stock-based compensation capitalized to IDSW to more appropriately present the full impact of all stock-based compensation expenses. This expense was previously included in “Depreciation and amortization, excluding amortization of intangibles.” Had this presentation been applied for the three months ended March 31, 2024, Adjusted Net Loss would have improved by $4 million, with no impact to Adjusted EBITDA.

Current wording

(3)Beginning in the quarter ended March 31, 2025, the Company revised the presentation of the amortization of stock-based compensation capitalized to IDSW to more appropriately present the full impact of all stock-based compensation expenses. This expense was previously included in “Depreciation and amortization, excluding amortization of intangibles.” Had this presentation been applied for the three and six months ended June 30, 2024, Adjusted Net Loss would have improved by $3 million and $7 million, respectively, with no impact to Adjusted EBITDA.

Previous wording

(7)Restructuring costs consist primarily of severance and employee termination benefits and bonuses incurred in connection with the elimination of employees’ roles and consulting fees incurred during the restructuring process.

Current wording

(7)Restructuring costs consist primarily of severance and employee termination benefits and bonuses incurred in connection with the elimination of employees’ roles, consulting fees, and expenses related to the termination of certain leases incurred during the restructuring process.

Previous wording

(8)Includes primarily related party services income, sublease income, and gain/loss on disposal of fixed assets.

Current wording

(8)Primarily includes related party services income and sublease income.

Previous wording

(10)Includes amortization of debt issuance costs and loan origination fees, commitment fees, unused fees, other interest related costs on our asset-backed debt facilities, and interest expense related to the 2026 Notes outstanding.

Current wording

(10)Includes amortization of debt issuance costs and loan origination fees, amortization of debt discounts, commitment fees, unused fees, other interest related costs on our asset-backed debt facilities, and interest expense related to the convertible senior notes outstanding.

Previous wording

Sales, marketing and operations expense consists primarily of broker commissions (paid to the home buyers’ real estate agents and third-party listing agents, if applicable), resale closing costs, holding costs related to real estate inventory including utilities, property taxes and maintenance, and expenses associated with product marketing, promotions and brand-building.

Current wording

Sales, marketing and operations expense consists primarily of broker commissions (paid to the home buyers’ real estate agents and third-party listing agents, if applicable), resale closing costs, holding costs related to real estate inventory including utilities, property taxes and maintenance, and expenses associated with product marketing, promotions and brand-building. Sales, marketing and operations expense also includes any headcount expenses in support of sales, marketing, and real estate operations such as salaries, benefits and stock-based compensation.

Previous wording

Restructuring expense consists primarily of severance and other termination benefits for employees whose roles have been eliminated and consulting fees incurred during the restructuring process. See “Part I – Item 1. Financial Statements – Notes to Condensed Consolidated Financial Statements – Note 16. Restructuring” for additional information regarding restructuring expenses.

Current wording

Restructuring expense consists primarily of severance and other termination benefits for employees whose roles have been eliminated, consulting fees, and expenses related to the termination of certain leases incurred during the restructuring process.

Previous wording

Revenue decreased by $28 million, or 2%, for the three months ended March 31, 2025 compared to the three months ended March 31, 2024. The decrease in revenue was primarily attributable to lower sales volumes in the first quarter of 2025. We sold 2,946 homes during the three months ended March 31, 2025, compared to 3,078 homes during the three months ended March 31, 2024, representing a decrease of 4%. Revenue per home sold increased 2% between the same periods.

Current wording

Revenue increased by $56 million, or 4%, for the three months ended June 30, 2025 compared to the three months ended June 30, 2024. The increase in revenue was primarily attributable to higher sales volumes in the second quarter of 2025. We sold 4,299 homes during the three months ended June 30, 2025, compared to 4,078 homes during the three months ended June 30, 2024, representing an increase of 5%. Revenue per home sold decreased 2% between the same periods.

Previous wording

Cost of revenue decreased by $13 million, or 1%, for the three months ended March 31, 2025 compared to the three months ended March 31, 2024. The decrease in cost of revenue was primarily attributable to lower sales volumes.

Current wording

Cost of revenue increased by $57 million, or 4%, for the three months ended June 30, 2025 compared to the three months ended June 30, 2024. The increase in cost of revenue was primarily attributable to higher sales volumes.

Previous wording

Gross profit decreased from $114 million to $99 million and gross margin decreased from 9.7% to 8.6% for the three months ended March 31, 2024 and March 31, 2025, respectively. For the same periods, Adjusted Gross Margin decreased from 8.8% to 8.7% and Contribution Margin decreased from 4.8% to 4.7%. The decrease in gross margin is attributable to an increase in net inventory valuation adjustments, which were $1 million and $(10) million for the three months ended March 31, 2025 and March 31, 2024, respectively. As a reminder, Adjusted Gross Margin and Contribution Margin include inventory valuation adjustments recorded in prior periods on homes sold in the current period and exclude inventory valuation adjustments on homes remaining in inventory at the end of the period, which can create significant differences between these metrics and Gross margin. Adjusted Gross Margin and Contribution Margin are non-GAAP financial measures. See “—Non-GAAP Financial Measures” for further details and a reconciliation of such non-GAAP measures to their nearest comparable GAAP measures.

Current wording

Gross profit decreased from $129 million to $128 million and gross margin decreased from 8.5% to 8.2% for the three months ended June 30, 2024 and June 30, 2025, respectively. For the same periods, Adjusted Gross Margin decreased from 10.2% to 8.6% and Contribution Margin decreased from 6.3% to 4.4%. The decrease in gross margin, Adjusted Gross Margin, and Contribution Margin is driven by a higher mix of older inventory in the resale cohort due to a soft real estate market with lower clearance. As a reminder, Adjusted Gross Margin and Contribution Margin include inventory valuation adjustments recorded in prior periods on homes sold in the current period and exclude inventory valuation adjustments on homes remaining in inventory at the end of the period, which can create significant differences between these metrics and Gross margin. Adjusted Gross Margin and Contribution Margin are non-GAAP financial measures. See “—Non-GAAP Financial Measures” for further details and a reconciliation of such non-GAAP measures to their nearest comparable GAAP measures.

Previous wording

Sales, Marketing and Operations. Sales, marketing and operations decreased by $15 million, or 13%, for the three months ended March 31, 2025 compared to the three months ended March 31, 2024. The decrease was primarily attributable to a decrease in headcount expenses, including salaries, benefits, and stock-based compensation expenses, of $10 million, which was attributable to workforce reductions and the transition of certain roles to lower-cost geographies and a $3 million decrease in advertising expense, which decreased from $27 million for the three months ended March 31, 2024 to $24 million for the three months ended March 31, 2025.

Current wording

Sales, Marketing and Operations. Sales, marketing and operations decreased by $30 million, or 26%, for the three months ended June 30, 2025 compared to the three months ended June 30, 2024. The decrease was primarily attributable to a $14 million decrease in advertising expense, which decreased from $21 million for the three months ended June 30, 2024 to $7 million for the three months ended June 30, 2025 and an $11 million decrease in headcount expenses, including salaries, benefits, and stock-based compensation expenses due to lower headcount consistent with ongoing cost-reduction and organizational streamlining efforts.

Previous wording

Technology and Development. Technology and development decreased by $20 million, or 49%, for the three months ended March 31, 2025 compared to the three months ended March 31, 2024. The decrease was primarily attributable to a $24 million decrease in headcount expenses, including salaries, benefits, and stock-based compensation expenses due to workforce reductions and the transition of certain roles to lower cost geographies. These cost reductions were partially offset by a $6 million decrease in capitalization and amortization of IDSW expenses.

Current wording

Technology and Development. Technology and development decreased by $16 million, or 43%, for the three months ended June 30, 2025 compared to the three months ended June 30, 2024. The decrease was primarily attributable to a $27 million decrease in headcount expenses, including salaries, benefits, and stock-based compensation expenses due to lower headcount consistent with ongoing cost-reduction and organizational streamlining efforts. These cost reductions were partially offset by a $12 million decrease in capitalization and amortization of IDSW expenses.

Previous wording

Restructuring. Restructuring increased by $3 million for the three months ended March 31, 2025 compared to the three months ended March 31, 2024. Restructuring expense for the three months ended March 31, 2025 was attributable to the Company’s workforce reductions and related consulting fees incurred during the period.

Current wording

Restructuring. Restructuring increased by $6 million for the three months ended June 30, 2025 compared to the three months ended June 30, 2024. Restructuring expense for the three months ended June 30, 2025 was attributable to the Company’s workforce reductions, related consulting fees, and expenses associated with lease terminations incurred during the period.

Previous wording

Interest expense decreased by $4 million, or 11%, for the three months ended March 31, 2025 compared to the three months ended March 31, 2024. The decrease was primarily attributable to a decrease in average balances in our non-recourse asset-backed debt.

Current wording

Interest expense increased by $6 million, or 20%, for the three months ended June 30, 2025 compared to the three months ended June 30, 2024. The increase was primarily attributable to an increase in average balances in our non-recourse asset-backed debt and interest expense on the Company’s Convertible Senior Notes.

Previous wording

Other income— net decreased by $11 million, or 73%, for the three months ended March 31, 2025 compared to the three months ended March 31, 2024. The decrease was primarily attributable to a $12 million decrease in interest income due to a reduction in average cash, cash equivalents and restricted cash balances.

Current wording

Other income— net decreased by $2 million, or 17%, for the three months ended June 30, 2025 compared to the three months ended June 30, 2024. The decrease was primarily attributable to lower interest income due to a reduction in average cash, cash equivalents and restricted cash balances.

Previous wording

Income tax expense changed by a nominal amount for the three months ended March 31, 2025 compared to the three months ended March 31, 2024.

Current wording

Income tax expense changed by a nominal amount for the three and six months ended June 30, 2025 compared to the three and six months ended June 30, 2024.

Previous wording

Our principal sources of liquidity have historically consisted of cash generated from our operations and from financing activities. As of March 31, 2025, we had cash and cash equivalents of $559 million and restricted cash of $134 million. The decrease in our cash, cash equivalents and marketable securities balance of $120 million as compared to December 31, 2024 resulted primarily from operating losses and an increase in real estate inventory. The increase in our restricted cash balance of $42 million as compared to December 31, 2024 was primarily a result of $214 million net proceeds from non-recourse asset-backed debt partially offset by an increase in real estate inventory.

Current wording

Our principal sources of liquidity have historically consisted of cash generated from our operations and from financing activities. As of June 30, 2025, we had cash and cash equivalents of $789 million and restricted cash of $396 million. The increase in our cash, cash equivalents and marketable securities balance of $110 million as compared to December 31, 2024 resulted primarily from $75 million of net proceeds from the issuance of convertible senior notes and capital released as a result of a decrease in real estate inventory partially offset by operating losses. The increase in our restricted cash balance of $304 million as compared to December 31, 2024 was primarily a result of capital released as a result of a decrease in real estate inventory partially offset by $182 million net principal payments on non-recourse asset-backed debt.

Previous wording

As of March 31, 2025, the Company had total outstanding balances on our asset-backed debt of $2.1 billion and aggregate principal outstanding from convertible senior notes of $381 million. In addition, we had undrawn borrowing capacity of $5.8 billion under our non-recourse asset-backed debt facilities (as described further below), of which $156 million was committed.

Current wording

As of June 30, 2025, the Company had total outstanding balances on our asset-backed debt of $1.8 billion and aggregate principal outstanding from convertible senior notes of $460 million. In addition, we had undrawn borrowing capacity of $6.0 billion under our non-recourse asset-backed debt facilities (as described further below), of which $301 million was committed.

Previous wording

As market conditions warrant, we may, from time to time, repurchase outstanding debt securities in the open market, in privately negotiated transactions, by tender offer, by exchange transaction or otherwise. Such repurchases, if any, will be upon such terms and at such prices as we may determine, and will depend on prevailing market conditions, our liquidity and other factors and may be commenced or suspended at any time. The amounts involved and total consideration paid may be material.

Current wording

As market conditions warrant, we may, from time to time, repurchase our outstanding debt securities in the open market, in privately negotiated transactions, by tender offer, by exchange transaction or otherwise. Such repurchases, if any, will be upon such terms and at such prices as we may determine, and will depend on prevailing market conditions, our liquidity and other factors and may be commenced or suspended at any time. The amounts involved and total consideration paid may be material.

Previous wording

In May 2024, the Company entered into an at-the-market equity offering sales agreement (the “ATM Agreement”) with Barclays Capital Inc. and Virtu Americas LLC, as sales agents (the “Agents”), pursuant to which the Company may offer and sell, from time to time, through the Agents, shares of the Company’s common stock having an aggregate offering price of up to $200 million. Under the ATM Agreement, the Agents may sell shares by any method deemed to be an “at-the-market offering.” During the three months ended March 31, 2025, there was no activity pursuant to the ATM Agreement.

Current wording

In May 2024, the Company entered into an at-the-market equity offering sales agreement (the “ATM Agreement”) with Barclays Capital Inc. and Virtu Americas LLC, as sales agents (the “Agents”), pursuant to which the Company may offer and sell, from time to time, through the Agents, shares of the Company’s common stock having an aggregate offering price of up to $200 million. Under the ATM Agreement, the Agents may sell shares by any method deemed to be an “at-the-market offering.” During the three and six months ended June 30, 2025, there was no activity pursuant to the ATM Agreement.

Previous wording

The following table summarizes certain details related to our non-recourse asset-backed debt and other secured borrowings as of March 31, 2025 (in millions, except interest rates):

Current wording

The following table summarizes certain details related to our non-recourse asset-backed debt as of June 30, 2025 (in millions, except interest rates):

Previous wording

We classify the senior revolving credit facilities as current liabilities on our condensed consolidated balance sheets. In some cases, the borrowing capacity amounts under the asset-backed senior revolving credit facilities as reflected in the table are not fully committed and any borrowings above the committed amounts are subject to the applicable lender’s discretion. As of March 31, 2025, we had committed borrowing capacity with respect to asset-backed senior revolving credit facilities of $492 million.

Current wording

We classify the senior revolving credit facilities as current liabilities on our condensed consolidated balance sheets. In some cases, the borrowing capacity amounts under the asset-backed senior revolving credit facilities as reflected in the table are not fully committed and any borrowings above the committed amounts are subject to the applicable lender’s discretion. As of June 30, 2025, we had committed borrowing capacity with respect to asset-backed senior revolving credit facilities of $440 million.

Previous wording

We classify our senior term debt facilities as current or non-current liabilities in our condensed consolidated balance sheets based on the applicable final maturity date. The carrying value of the non-current liabilities is reduced by issuance costs of $7 million. In some cases, the borrowing capacity amounts under the asset-backed senior term debt facilities as reflected in the table are not fully committed and any borrowings above the committed amounts are subject to the applicable lender’s discretion. As of March 31, 2025, we had committed borrowing capacity with respect to asset-backed senior term debt facilities of $1.3 billion.

Current wording

We classify our senior term debt facilities as current or non-current liabilities in our condensed consolidated balance sheets based on the applicable final maturity date. The carrying value of the non-current liabilities is reduced by issuance costs of $6 million. In some cases, the borrowing capacity amounts under the asset-backed senior term debt facilities as reflected in the table are not fully committed and any borrowings above the committed amounts are subject to the applicable lender’s discretion. As of June 30, 2025, we had committed borrowing capacity with respect to asset-backed senior term debt facilities of $1.2 billion.

Previous wording

In August 2021, we issued the 2026 Notes with an aggregate principal amount of $978 million. The table below summarizes certain details related to our 2026 Notes (in millions), as of March 31, 2025, which includes certain repurchases:

Current wording

In August 2021, we issued the 2026 Notes and in May 2025, we issued the 2030 Notes. The table below summarizes certain details related to our Convertible Senior Notes (in millions), as of June 30, 2025, which includes certain repurchases:

Previous wording

(1)The Company’s consolidated Other Assets include the following assets as shown in the Condensed Consolidated Balance Sheets: Property and Equipment - Net, $44 million; Right of Use Assets, $17 million; Goodwill, $3 million; and Other Assets, $61 million.

Current wording

(1)The Company’s consolidated Other Assets include the following assets as shown in the Condensed Consolidated Balance Sheets: Property and Equipment - Net, $37 million; Right of Use Assets, $9 million; Goodwill, $3 million; and Other Assets, $61 million.

Previous wording

(2)The Company’s consolidated Other Current Liabilities include the following liabilities as shown in the Condensed Consolidated Balance Sheets: Accounts Payable and Other Accrued Liabilities, $102 million; Interest Payable, $3 million; and Lease Liabilities– Current, $2 million.

Current wording

(2)The Company’s consolidated Other Current Liabilities include the following liabilities as shown in the Condensed Consolidated Balance Sheets: Accounts Payable and Other Accrued Liabilities, $86 million; Interest Payable, $5 million; and Lease Liabilities– Current, $2 million.

Previous wording

Net Cash Provided by (Used in) Financing Activities

Current wording

Net Cash Provided by (Used in) Operating Activities

Previous wording

Net cash used in operating activities was $(279) million and $(178) million for the three months ended March 31, 2025 and 2024, respectively. For the three months ended March 31, 2025, cash used in operating activities was primarily driven by the $212 million increase in real estate inventory and our net loss, net of non-cash items, of $44 million. For the three months ended March 31, 2024, cash used in operating activities was primarily driven by a $114 million increase in real estate inventory and our net loss, net of non-cash items, of $49 million.

Current wording

Net cash provided by (used in) operating activities was $544 million and $(577) million for the six months ended June 30, 2025 and 2024, respectively. For the six months ended June 30, 2025, cash provided by operating activities was primarily driven by the $593 million decrease in real estate inventory, partially offset by our net loss, net of non-cash items, of $33 million. For the six months ended June 30, 2024, cash used in operating activities was primarily driven by a $498 million increase in real estate inventory and our net loss, net of non-cash items, of $57 million.

Previous wording

Net cash provided by investing activities was $2 million and $22 million for the three months ended March 31, 2025 and 2024, respectively. For the three months ended March 31, 2025, cash provided by investing activities primarily consisted of a decrease in marketable securities of $6 million, partially offset by a $4 million increase in property and equipment principally related to IDSW capitalization. For the three months ended March 31, 2024, cash provided by investing activities primarily consisted of a decrease in marketable securities of $30 million, partially offset by an $8 million increase in property and equipment principally related to IDSW capitalization.

Current wording

Net cash provided by investing activities was $— million and $31 million for the six months ended June 30, 2025 and 2024, respectively. For the six months ended June 30, 2025, cash provided by investing activities primarily consisted of a decrease in marketable securities of $6 million, offset by a $6 million increase in property and equipment principally related to IDSW capitalization. For the six months ended June 30, 2024, cash provided by investing activities primarily consisted of a decrease in marketable securities of $47 million, partially offset by an $16 million increase in property and equipment principally related to IDSW capitalization.

Previous wording

Net cash provided by (used in) financing activities was $207 million and $(98) million for the three months ended March 31, 2025 and 2024, respectively. For the three months ended March 31, 2025, cash provided by financing activities was primarily attributable to $214 million net proceeds from non-recourse asset-backed debt. For the three months ended March 31, 2024, cash used in financing activities was primarily attributable to $100 million of principal payments on non-recourse asset-backed debt.

Current wording

Net cash used in financing activities was $122 million and $83 million for the six months ended June 30, 2025 and 2024, respectively. For the six months ended June 30, 2025, cash used in financing activities was primarily attributable to $182 million net principal payments on non-recourse asset-backed debt, partially offset by $75 million of proceeds from the issuance of convertible senior notes, net of discount. For the six months ended June 30, 2024, cash used in financing activities was primarily attributable to $85 million of net principal payments on non-recourse asset-backed debt.

Previous wording

There have been no material changes outside the ordinary course of business in our commitments under contractual obligations as previously disclosed in our Annual Report on Form 10-K for the year ended December 31, 2024, except for the categories of contractual obligations included in the table below, which have been updated to reflect our contractual obligations as of March 31, 2025:

Current wording

There have been no material changes outside the ordinary course of business in our commitments under contractual obligations as previously disclosed in our Annual Report on Form 10-K for the year ended December 31, 2024, except for the categories of contractual obligations discussed above with respect to the Convertible Senior Notes and otherwise included in the table below, which have been updated to reflect our contractual obligations as of June 30, 2025:

Previous wording

(4)Represents future payments for long-term operating leases that have commenced, or have been executed but not yet commenced, as of March 31, 2025.

Current wording

(4)Represents future payments for long-term operating leases that have commenced, or have been executed but not yet commenced, as of June 30, 2025. In May 2025, the Company amended its Tempe, Arizona office lease to terminate the Company’s obligations with respect to a portion of the leased premises, which resulted in a decrease of undiscounted, future lease payments of $10 million.

Previous wording

(5)As of March 31, 2025, we were under contract to purchase 1,051 homes for an aggregate purchase price of $364 million.

Current wording

(5)As of June 30, 2025, we were under contract to purchase 393 homes for an aggregate purchase price of $120 million.