Are “iBuyers” Manipulating the Housing Market?


A relatively recent practice in real estate known as “iBuying” has paved the way for tech firms to streamline the residential house-buying process, with companies like Zillow, Redfin, and others buying homes directly from sellers without the sellers having to list their home on the open market, which can typically be a complicated, expensive, and drawn-out process. But for all the convenience iBuying offers, some consumers are worried that this practice will manipulate the housing market as tech companies amplify their purchasing efforts to snatch up multiple properties in a single neighborhood or city. This case explains the iBuying process and asks students to evaluate its impact on the market.

This case was prepared for inclusion in SAGE Business Cases primarily as a basis for classroom discussion or self-study, and is not meant to illustrate either effective or ineffective management styles. Nothing herein shall be deemed to be an endorsement of any kind. This case is for scholarly, educational, or personal use only within your university, and cannot be forwarded outside the university or used for other commercial purposes.

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