Opendoor is acquiring Doma's closing and escrow business to reduce mortgage refinancing costs, the companies told CNBC exclusively. Doma uses machine learning and AI to automate title searches and real estate closings. Terms were not disclosed. Since 2024, Doma's technology has been used in a Fannie Mae pilot programme that eliminates lender's title insurance requirements for about 80% of eligible low-risk refinance transactions. The programme was recently extended through 2027. However, closing costs beyond title insurance remain largely manual and expensive. Opendoor's technology can handle closings more efficiently and at lower prices than industry averages. Following the acquisition, 85 Doma employees will join Opendoor. The deal aims to save borrowers around $1,100 per refinance whilst maintaining zero defects.

Opendoor acquires doma's closing and escrow business in bid to lower mortgage refinance costs - CNBC.

Opendoor Technologies is revamping its product offering to expand its addressable market whilst reducing risk exposure. The company has shifted from a fixed model to a flexible structure where sellers choose upfront cash amounts with adjusted fees accordingly. The company introduced Cash Plus, a capital-light option allowing sellers to retain more price exposure whilst Opendoor earns fees with lower capital risk. Geographic coverage now extends to nearly all US homeowners, significantly expanding the potential customer pool. A new self-assessment tool enables sellers to submit property details without in-person visits, improving efficiency and volume capacity. Fourth-quarter 2025 results showed stronger demand trends with increased acquisition activity and improved resale velocity. Opendoor faces competition from Zillow Group, which influences digital real estate through its Premier Agent network, and Offerpad Solutions, which operates with a localised strategy focused on pricing spreads and operational control.