Opendoor CEO: 'First-time home buyers are stuck not being able to buy in this market'

Summary

Opendoor CEO Kaz Nejatian explains that rising listings and longer days on market are slowing the housing market, while locked-in low mortgage rates keep existing homeowners from selling, devastating first-time home buyers. He sees pent-up seller demand that could unlock as rates fall.

• Housing listings are up significantly, but homes are sitting on the market much longer than a year ago.
• Existing homeowners with low-rate mortgages are not downsizing, reducing supply for first-time buyers.
• The average age of first-time home buyers has risen above 40, and the number of first-time buyers is collapsing.
• The CEO notes the current administration is doing good work on housing, including an executive order.
• He argues that high rates are keeping Americans from owning homes and suggests lowering rates would help.
• A potential solution is reducing friction in housing transactions, which could allow sellers to receive more while prices come down.
• Transferable mortgages exist in other countries but may not align with the U.S. 30-year fixed-rate structure.