Opendoor Cuts 300 Jobs in Third Triple-Digit Layoffs Since 2022

Opendoor has laid off circa 300 employees in the same week that saw the American iBuyer record losses of $78 million in Q3 2024.

The layoffs—around 17% of Opendoor's total workforce—mark the third major round of layoffs since November 2022, when it laid off 550 staff (18%), with a further 560 cuts (22%) in April 2023.

Opendoor has now cut 1,400 jobs in two years as it looks to corner the iBuying market in the United States.

Opendoor operates one of the few remaining iBuyer specialists, increasing its buying activity by more than 10% last quarter. The business still clearly believes that its model has the stamina to push through its heavy losses, forecasting 2,200 home purchases in Q4.

In its Q3 letter to shareholders, Opendoor said:

Today we announced a reduction in force that impacted approximately 300 roles, or 17% of our workforce, as part of a reorganization aimed at prioritizing strategic growth initiatives, flattening reporting structures, and driving efficiencies.

We expect the fully-realized cost savings from this reduction to be approximately $50 million on an annualized basis.

This reduction, combined with progress we have been making on other cost saving measures, are necessary as we aim to reach Adjusted Net income profitability.

In defence of Opendoor, revenues jumped and losses closed by over $28million YoY in last week's Q3 financial statement—but the struggling iBuyer is fighting tough marketplace conditions on the one hand and self-inflicted bloatation on the other.