Zillow Offers (Shutdown)

Zillow Offers, the iBuying division of Zillow, shut down in 2021 after losing $881M on home purchases. The company's algorithms systematically overpaid for houses, accumulating $2.8 billion in inventory that had to be dumped at losses. Zillow's data advantage in real estate pricing turned out to not translate to transaction execution—knowing prices doesn't mean you can profitably buy and sell at those prices.