We’re Not a Hedge Fund. We’re a Software Company”: Inside Opendoor’s Mission to Become the Amazon of Housing

🏗️ The Biggest Marketplace That Doesn’t Exist — Yet

In a recent interview on The Aarthi and Sriram Show, Kaz Nejatian, the newly appointed CEO of Opendoor, sat down with a16z partner and early Opendoor investor Alex Rampell to unpack the future of real estate, software-driven marketplaces, and the agency problems plaguing the U.S. housing system.

Their thesis? If you can fix how homes are bought and sold — not just flipped — you can unlock one of the most valuable marketplaces in the world.

“There are no $100B companies in residential real estate,” Rampell says. “That’s bonkers — because homes are the biggest asset class in the world.”

🔁 Why Buying a House Feels Like a Scam (And Often Is)

From fake bidding wars to inflated agent commissions, the real estate process is broken in ways entrepreneurs should study closely.

• The mode number of real estate transactions per U.S. agent per year is zero.
• Agents get paid more if you spend more — misaligned incentives at scale.
• States like Oregon ban commission rebates that would save consumers money.

Rampell cites George Bernard Shaw:

“Every profession is a conspiracy against the laity.”

And real estate is one of the worst offenders.

💡 Opendoor’s Vision: Make Buying a House Feel Like Buying on Amazon

Kaz Nejatian isn’t here to flip homes. He’s here to redesign how we buy and sell homes.

“We’re not an investor in real estate. We’re a software company solving a broken system,” Kaz said.

His ambition? To make Opendoor the Amazon of homes — a marketplace where trust, speed, and transparency rule.

Just as Amazon started with books to corner demand, Opendoor started with one city (Phoenix). The goal: get enough supply to force buyers to look their way first.

“If Opendoor owns just 10% of homes in a market, it forces every buyer to check Opendoor.com. That demand pulls in the rest of the supply,” Rampell explained.

🧠 Marketplace Wisdom from Shopify and Amazon

Kaz, a former VP at Shopify, applies a product builder’s lens. His core operating principle?

“The best software companies are always on attack — not waiting for the macro to recover.”

He believes the company lost its way by acting more like a hedge fund — trying to profit from mispriced homes — instead of relentlessly fixing the broken transaction system.

🏠 Try Before You Buy… a House?

Under Kaz’s leadership, Opendoor has launched a “7-day home trial” in Dallas. Buyers can move in, try the home, and return it if it’s not the right fit.

“Why can I return what I bought on Amazon, but not a home?”

Kaz: “Great point. We launched it 12 days later.”

It’s an early move to de-risk home buying for the average consumer — a shift toward long-term trust and lifetime relationships over one-off transactions.

💥 Lessons for Entrepreneurs

Opendoor’s journey is a masterclass in marketplaces, misaligned incentives, and founder resolve. Here’s what wantrepreneurs can take away:

1. Start Narrow to Win Big

Amazon started with books. Opendoor started with Phoenix. Own one slice of supply, dominate demand.

2. Know What Business You’re Actually In

“You can build a hedge fund flipping homes. But you can’t build a software company that way.” — Kaz

3. Build Trust with Long-Term Skin in the Game

The problem in real estate is everyone makes money and walks away. Real value comes from sticking with your customer for years.

4. Don’t Confuse Strategy with Mission

Plans change. Missions don’t.

“The company is not made better by becoming meeker. Mistakes are fine. But let’s go back to the original idea — and do it better.”

🧭 The Courage to Be Disliked

Kaz closed the interview with a must-read recommendation for entrepreneurs:

“The Courage to Be Disliked.” It’s a book about staying grounded, clear-eyed, and unshaken by the crowd — essential reading for any founder trying to challenge a legacy industry.

His message to his team?

“We’re not building a five-year plan. We’re building better positions — and always attacking.”