Zillow Shuts Down Home-Flipping Operation

The video discusses Zillow's decision to shut down its home flipping business due to significant losses and market challenges. Initially, there was enthusiasm for the business, with bonds being oversubscribed. However, rapid changes in the housing market led to a strategic shift. Zillow is now selling off properties and facing financial obligations from bond offerings. The video also touches on the CEO's background and the broader implications for the real estate market.

What was the primary reason for Zillow shutting down its home flipping business?

• Lack of consumer interest

• Increased competition in the market

• Significant financial losses

• New government regulations

What was the initial reaction of Wall Street to Zillow's home flipping business?

• Skepticism and caution

• Enthusiasm and support

• Criticism and doubt

• Indifference

What financial instrument did Zillow use to raise capital for its home flipping business?

• Corporate bonds

• Equity shares

• Bank loans

• Venture capital

What challenge does Zillow face after deciding to exit the home flipping business?

• Expanding into new markets

• Rehiring laid-off employees

• Paying back the raised capital

• Finding new investors

Who is the CEO of Zillow, known for founding Expedia?

• Patrick Clark

• Richard Burton

• Farrell Cooler

• John Smith