House-flipping iBuyers have attracted buzz and VC funding, but are only big in a handful of markets. Here’s how they work and what’s keeping them out of places like Boston and New York.

Business Insider | Jan 16, 2020 at 12:00 AM
  • IBuyers, companies that purchase homes with almost instant all-cash offers, renovate and quickly resell them, were born in 2014 in the heat and sun of Phoenix, Arizona.
  • Phoenix’s lack of seasonality, an active local economy and housing market, and largely new housing stock has made it the iBuyer capital.
  • With Phoenix as the model for iBuyers, companies have expanded to markets that share many characteristics with the desert city, testing their pricing models and operational acumen against different potential variables.