Can Opendoor's AI Home Assessments Drive Speed and Scale?

Opendoor Technologies Inc.’s OPEN turnaround under new CEO Kaz Nejatian hinges on one question: Can AI-powered home assessments materially accelerate transactions and restore scale? Early data from the company suggests the answer is increasingly “yes.”

Since mid-September, Opendoor has rebuilt its operating model around software and automation. Management disclosed that the company is now completing nearly 750 home assessments per week using AI, a dramatic shift from manual workflows that previously took close to a full day. In the updated system, assessments take roughly 10 minutes from artifact collection to completion, shrinking a major bottleneck in Opendoor’s offer and underwriting cycle.

This acceleration is already flowing through to acquisition activity. Opendoor entered contracts to buy 230 homes in the last week of October, up from 120 homes in mid-September, nearly doubling its pace in seven weeks. Management links this improvement directly to AI-driven scoping, automated inspections and reduced human involvement in the “hot path” of contract flows, where 11 employees previously touched a single transaction; many flows now rely on only one human auditor.

The company’s third quarter reinforces the strategic ambition. Opendoor 2.0 aims to be a software-first operator where pricing, scoping and resale velocity are defined by machine-led workflows—not spread-driven asset bets. The push is framed as core to achieving breakeven adjusted net income by late 2026.

The investment case now rests on whether Opendoor can maintain accuracy while scaling speed. If AI-led assessments continue to cut friction and widen the top of the funnel, the company may regain the volume leverage that its model historically required.

How Opendoor’s AI Push Compares With Competitors

In the race to automate home valuation and speed up digital real estate transactions, Zillow Z and Offerpad OPAD remain Opendoor’s most direct and persistent competitors—and both Zillow and Offerpad are reshaping their strategies as Opendoor leans harder into AI-driven assessments.

Zillow has long invested in its Zestimate modeling infrastructure, and although it exited iBuying, Zillow continues to refine AI-powered pricing tools for agents and consumers. This keeps Zillow relevant in influencing how homeowners benchmark value and how quickly they engage with online selling channels—an area where Opendoor’s rapid, machine-generated assessments now compete directly.

Offerpad, meanwhile, continues to operate as a focused iBuyer, and it has increasingly emphasized automation and cost discipline in its underwriting flows. With Offerpad pushing for leaner operations and more efficient pricing decisions, it competes directly with Opendoor’s promise of 10-minute AI assessments and faster acquisition velocity.

Both Zillow and Offerpad are investing aggressively, pressuring Opendoor to prove that speed plus accuracy can sustain an edge.

OPEN Stock's Price Performance, Valuation & Estimates

Shares of Opendoor have surged 1013.8% over the past six months, outperforming the industry’s 6.1% decline.

OPEN’s 6-Month Price Performance

From a valuation standpoint, OPEN trades at a forward price-to-sales (P/S) multiple of 1.1X, significantly below the industry’s average of 4.79X.

OPEN Stock’s Valuation

The Zacks Consensus Estimate for OPEN’s 2025 loss per share has narrowed to 23 cents in the past 30 days. Also, the estimated figure indicates a narrower loss from the year-ago loss of 37 cents per share.
 

OPEN stock currently has a Zacks Rank #4 (Sell).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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This article originally published on Zacks Investment Research (zacks.com).

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