[darthvoldemort]

It's a huge pivot to go from flipping houses to becoming a landlord. It would essentially be a disaster for them. That's a high-touch business and probably the costs associated with it, and the legalities around it are too complex. That's basically turning into an Avalon or something.

The interesting question is around their bonds. They were basically convertible bonds which likely triggered, but now they have to pay back the cash. How much of a liquidity crisis will this introduce to the company?

The more interesting thing is that this business crisis won't be reflected in their last quarter 10-Q which should be coming out soon. I'm assuming this is going to be talked about in that earning call, so that will be an interesting one to listen to.

I think Opendoor's model is a lot better, but I guess we will have to wait to see if there are any repercussions to their business.

[datavirtue]

Flipping is extremely high touch.

[gravypod]

If you're already in the market of buying/selling homes and you find a good contractor for your area (if you plan on making any changes) then it can be low touch.

Zillow, in many cases, just bought and instantly relisted the property on their own site.

[socialist_coder]

> you find a good contractor for your area

This is the hard part. All the good contractors do this themselves, or they charge so much you don't make any money on the sale, or they're booked out 3 months in advance.

[chii]

not as high touch as finding a tenant, maintenance, etc.

Flipping is low touch compared to that. To flip, all you need is a buyer willing to pay money, and it's a single transaction.

[jnwatson]

They could work with a large property management company, or buy it outright. The demand for single family home rentals in the US is quite high.

[papito]

One way to kill a good business is to start carrying inventory.