Offerpad (OPAD) 2026 年第三季法說會：第四季財測指引與獲利時程

重點摘要

• Offerpad 公布 2026 年第三季營收為 7,810 萬美元，低於管理層先前預期的 9,000 萬至 1 億美元，主要因房屋銷售放緩減少了單季成交量。
• 房地產交易量達到 324 筆，高於第二季的 295 筆和第一季的 263 筆，但低於公司預期的 350 至 400 筆。仲介服務 (Brokerage Services) 與現金出價市場 (Cash Offer Marketplace) 約占第三季成交量的 35%。
• 毛利為 650 萬美元，毛利率為 8.3%。調整後 EBITDA 為虧損 750 萬美元，而第二季虧損為 620 萬美元。
• Offerpad 在本季收購了 605 套房屋，期末庫存為 684 套房屋。管理層估計庫存包含 5,500 萬美元的權益價值，而庫存過久的房屋僅占資產組合的 2.6%。
• 管理層目前預計將在 2027 年第二季結束時實現調整後 EBITDA 年化運作率轉正。更寬的收購利潤率以及額外 800 萬至 1,000 萬美元的年化成本削減，可將預估的損益兩平點從先前的大約 1,000 筆季交易量調降至 800 至 850 筆。
• 針對 2026 年第四季，管理層預測房地產交易量為 400 至 475 筆，營收為 1 億至 1.2 億美元，調整後 EBITDA 預計將較上一季改善。

關鍵財務數據

業務與營運表現

30 年期房貸利率快速上升是本季的主要營運壓力。利率在 8 月初約為 6.7%，到了 10 月初升至 7.4% 左右。管理層表示，利率上升的速度使買家和賣家更加謹慎，減緩了房屋銷售，並暫時影響了其他管道的轉換率。

Offerpad 在第三季收購了 605 套房屋，但隨著市場條件變化放慢了收購步伐。該公司放棄推進不再符合其較高利潤率要求的房屋交易，並將部分賣家引導至現金出價市場或仲介服務。

公司表示，第四季截至目前已有 200 套房屋已售出或正在履約合約中。管理層預計未來幾個月的銷售量將超過收購量，從而釋放目前鎖定在庫存中的權益資金，並有助於重建現金儲備。

收費制管道持續擴展。仲介服務與現金出價市場約占第三季交易量的 35%，而仲介委託賣房簽約數比上一季增長了一倍以上。高層表示，本季約 114 筆收費制交易中，大部分來自 HomePro 房訊刊登服務。

管理層正轉向更加選擇性的收購策略，聚焦於市區內精華地段、較新的房屋以及需要較少翻修的物件。Offerpad 表示，其目前的核貸與核保目標幾乎是幾個月前的兩倍，反映出預期持有時間拉長及市場風險增加。

Andrew Pieper 被任命為臨時財務長，接替 Peter Knag。Pieper 自 2021 年起就在 Offerpad 工作，先前負責管理會計營運、SEC 申報與審計流程。

管理層財務展望

針對 2026 年第四季，Offerpad 預期：

• 營收為 1 億至 1.2 億美元。
• 房地產交易量為 400 至 475 筆。
• 調整後 EBITDA 將較第三季虧損 750 萬美元有所改善。

該展望得到第三季累積庫存、第四季已售出或簽約的 200 套房屋，以及仲介服務和現金出價市場成交量預期增長的支持。此展望假設房貸利率保持在當前水準附近，且無降息緩解。

管理層預計將在 2027 年第二季結束時實現調整後 EBITDA 年化運作率轉正。該目標反映了額外 800 萬至 1,000 萬美元的年化營運費用削減、近期收購物件的利潤率擴大，以及現有庫存轉化為銷售。預計第四季將出現部分成本效益，而完整的年化效益預計將在 2027 年期間顯現。

風險與關注領域

• 房貸利率的波動仍是負擔能力、買家需求及交易轉換率的主要風險。管理層強調，即使是 25 個基點 (0.25%) 的變化，也會重大影響看屋活動與庫存水準。
• 隨著資金投入庫存與日常營運，不受限現金降至 1,210 萬美元。Offerpad 預計隨著庫存售出，現金將回升，但其約 2.51 億美元未提取融資額度的大部分屬於非承諾性額度。
• 區域市場狀況依然不均。管理層提及夏洛特 (Charlotte)、羅利 (Raleigh) 和佛羅里達州的活動放緩，休士頓和達拉斯的建商促銷激勵措施，鳳凰城的待售房源偏高，以及亞特蘭大相對穩定的市場活動。
• 在市場放緩後，實現獲利的時間表已被延後。執行成效取決於庫存銷售、成本削減、收購利潤率擴大以及輕資產管道的持續增長。

分析師問答亮點

管理層估計，成本節省與當前的邊際貢獻利潤率可使單季損益兩平交易量減少約 150 至 200 筆，將門檻從大約 1,000 筆降至 800 至 850 筆。若邊際貢獻利潤率進一步改善，可能再次調降該門檻需求。

高層預計交易組合將朝現金出價與收費制管道各占 50/50 的平衡方向發展。然而，由於近期核貸標準帶來較寬的利潤率，預計未來幾個季度現金出價業務仍將是較大的邊際貢獻來源。

Offerpad 將人力重組、技術最佳化、辦公設施調整及其他營運支出確定為計畫中 800 萬至 1,000 萬美元年化節省的來源。管理層表示，其輕資產的 HomePro 與現金出價市場產品可以擴大規模，且對資產負債表的影響小於直接購屋。

公司還表示，Renovate 翻新服務的需求除了中型客戶外，現在還涵蓋每年購買 1 至 5 套房屋的小型投資人。管理層相信，當客戶獲客活動復甦時，這些合作關係可能會擴大，但形容近期的營運環境依然充滿挑戰。

法說會完整逐字稿

完整財報電話會議逐字稿

管理層陳述

Operator

Good afternoon, and welcome to Offerpad's Third Quarter 2026 Earnings Conference Call. My name is Megan, and I will be your conference operator today. [Operator Instructions]

With that, I'll turn the call over to Cortney Read, Offerpad's Vice President of Investor Relations and Communications.

Cortney Read

Good afternoon, and welcome to Offerpad's Third Quarter 2026 Earnings Call. Management's remarks today are prerecorded and a live question-and-answer session will follow.

During the call, management will make forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements are inherently uncertain, and actual events could differ significantly from management's expectations. Please refer to the risks, uncertainties and other factors related to Offerpad's business described in our filings with the U.S. Securities and Exchange Commission. Except as required by applicable law, Offerpad does not intend to update or alter forward-looking statements as a result of new information, future events or otherwise.

Management will also refer to certain non-GAAP financial measures. Reconciliations of these measures to the comparable GAAP measures are available in the financial tables of our third quarter earnings release on Offerpad's website.

With that, I'll turn the call over to Brian Bair, Chairman and Chief Executive Officer.

Brian Bair

Good afternoon, and thank you for joining us. Before I discuss the quarter, I want to share 2 leadership updates. Andrew Pieper has been appointed Interim Chief Financial Officer, succeeding Peter Knag. I'm excited to have Andrew step into this role. He brings more than 22 years of public company accounting and financial reporting experience. Since joining Offerpad in 2021, he has led our accounting operations, SEC reporting and audit processes, and he built a reporting and controls foundation that took us through our transition to a public company. He knows this business and our financials exceptionally well. Andrew will discuss our financial results and outlook later in the call.

Also joining Andrew and me on today's call is Roberto Galaviz, our Vice President of Financial Planning and Analysis. Roberto will work closely with Andrew, drawing on his experience leading FP&A and supporting our operating plan.

Secondly, we welcome Ben Graboske to our Board of Directors during the quarter. Ben brings deep experience at the intersection of real estate, data and technology. His perspective will be valuable as we advance our data and AI capabilities and apply them to improve decision-making across the business.

Turning to the quarter. Revenue was $78.1 million, below the $90 million to $100 million outlook we provided in August. We closed 324 real estate transactions compared with our outlook of 350 to 400. Adjusted EBITDA was a loss of $7.5 million rather than the improvement we expected. At the same time, transactions increased for the second consecutive quarter and more than 1/3 of our closings came through Brokerage Services and Cash Offer Marketplace.

When we provided our outlook in early August, average 30-year mortgage rates were about 6.7%, and they stayed near that level into early September. Then they rose sharply to approximately 7.4% by early October, up about 70 basis points and the highest level since November 2023. We've operated with mortgage rates above 7% before. What was different this time was the speed of the move late in our quarter and the attention it received. Housing affordability had become a national story in the news, in political debate and across social media.

Buyers and sellers watch the market change in real time with headlines describing it as a buyer's market. Buyers weighed higher monthly payments against the possibility of a better deal, while sellers faced uncertainty about how long their homes would take to sell and what price they could achieve. We believe that combination contributed to a more cautious market as the quarter came to a close. We felt that caution across our platform, most directly in slower home sales, which were the primary driver of the shortfall and also in the conversion across other channels for a period.

We've adjusted our acquisition pacing, our resale strategy and our spending accordingly. Last quarter, we said we were increasing acquisitions, and we did by acquiring 605 homes in quarter 3. We also had additional homes under contract that could have increased that total. But as market conditions shifted, we've reevaluated them against our wider margin requirements and chose not to proceed with homes that no longer met our criteria. Where possible, we offer those sellers an alternative through Cash Offer Marketplace or Brokerage Services. Buying well is only half the process. On the selling side, our priority is converting this inventory into completed sales. So far in the fourth quarter, 200 homes have sold or are under contract for sale.

Our current portfolio is healthy. Most of it was bought within the last few months. Aged homes represented only 2.6% of our inventory at quarter end and inventory valuation adjustments on homes we hold were minimal. These homes give us a pipeline of sales through the rest of the year and into early 2027. Even as buyers became more cautious and activity slowed across our channels for a period, our fee-based channels continue to grow for the quarter. Total transactions increased for the second consecutive quarter from 263 in Q1 to 295 in Q2 and 324 in Q3. Brokerage Services and Cash Offer Marketplace represented approximately 35% of Q3 closed transactions and brokerage listing signings more than doubled from the prior quarter. Together with continued cost discipline, these channels give us more flexibility in how we grow and work towards positive adjusted EBITDA.

Profitability remains our #1 priority, and nothing about that has changed. What has changed is the time line. The shift in the market has pushed our path out, and we now expect to exit the second quarter of 2027 at a positive adjusted EBITDA run rate. For some time, we planned roughly 1,000 transactions per quarter as a reference point for positive adjusted EBITDA. As market conditions have shifted, we've adjusted our underwriting to build wider expected margins into each purchase.

A home bought at a wider margin can contribute as much profit as 2 homes bought at thinner margins. It uses less capital and carries less risk. We're also reducing operating expenses and growing Cash Offer Marketplace and Brokerage Services. Together, these actions give us the opportunity to reach positive adjusted EBITDA with fewer transactions than before. Andrew will walk through the cost reductions in more detail.

These are actions within the same operating framework we've previously shared, disciplined transaction growth, contribution margin expansion and operating leverage, adapted to current market conditions. For homeowners navigating an uncertain market, having options and control over their next move matters. A cash sale can offer clarity and convenience, while Cash Offer Marketplace and Brokerage Services provide other ways to sell. Offering these choices is central to Offerpad's model and creates a meaningful opportunity for our business.

Our focus is to serve more sellers, deploy capital selectively and advance our path to profitability. With that, Andrew will take you through our financial results, liquidity and updated outlook.

Andrew Pieper

Thank you, Brian. As I step into this role, my priorities are straightforward: focus on our path to profitability as we convert our inventory into cash and continue to optimize our cost base. Brian covered the third quarter's results and the market. I'll focus on our unit economics, the balance sheet and our outlook.

During the third quarter, gross profit was $6.5 million and gross margin was 8.3%. Per transaction economics dipped from Q2, but remained well above a year ago. Contribution profit after interest was approximately $12,900 per real estate transaction compared with $13,500 in Q2 and $6,400 a year ago. Renovate generated $5.2 million of revenue, up from $4.8 million in Q2. Renovate contributes to the overall results but is excluded from our real estate transaction count.

Operating expenses, excluding property costs, were $13.7 million compared with $13.3 million in Q2. Net loss was $11.5 million and adjusted EBITDA was a loss of $7.5 million compared with a loss of $6.2 million last quarter. After 2 quarters of sequential improvement, the decline in Q3 adjusted EBITDA primarily resulted from the resale pullback.

As we've highlighted before, we have reduced operating expenses by more than $140 million since 2022, and that work is continuing. This quarter, we identified an additional $8 million to $10 million in annualized operating expense reductions. We have already begun implementing these actions with some benefit expected in Q4 and the full annualized savings expected during 2027. Those savings, along with selling through the inventory we built in Q3 and higher return purchases flowing through are the drivers behind our expectation to reach positive adjusted EBITDA run rate as we exit Q2 2027.

Turning to the balance sheet. We ended Q3 with $12.1 million in unrestricted cash compared with $33.1 million at the end of Q2 and an estimated $55 million of equity in our 684 homes in inventory. The decrease in cash primarily reflects the capital deployed into that inventory, along with cash used to operate the business. That capital hasn't left the business. It's sitting in our homes, and it comes back to us as they sell. With acquisitions now intentionally reduced, we expect sales to meaningfully outpace purchases in the coming months. Each home we sell repays its financing and returns our equity to the balance sheet, so we expect our cash to rebuild as inventory comes down. Together with the cost reductions we've identified, this is the primary way we expect to fund the business through our path to profitability.

We have also recently improved our inventory financing. Our lenders now fund a larger share of each home's cost, so less of our capital is tied up in every home that we buy. That makes our capital go further, and it helps it return to the business faster as homes sell. At quarter end, we had approximately $251 million of undrawn capacity under our inventory financing facilities, the majority of which is uncommitted.

We believe our cash, the capital we expect to return as homes sell and our inventory financing are sufficient as we execute our 2027 plan. We also remain open to opportunities to strengthen our balance sheet, including strategic capital partnerships, and we'll be disciplined about the structure and cost of any capital we add.

For the fourth quarter, we expect 400 to 475 real estate transactions and $100 million to $120 million in total revenue. We expect adjusted EBITDA to improve sequentially from Q3. That outlook is supported by the inventory we built in Q3, including the 200 homes sold or under contract so far during the fourth quarter and continued growth in Brokerage Services and Cash Offer Marketplace closings. It also assumes rates remain near current levels and no rate relief.

In closing, I'm excited to step into this role. Since joining Offerpad in 2021, I've led accounting and financial reporting and work closely with teams across the business. That experience gives me a detailed understanding of how our operating decisions flow through our financial results from acquisitions and inventory to dispositions and costs. I know shareholders are focused on the current market, the capital in our inventory and our path to profitability, and so am I. I'm confident in where we're headed because of the strengths we have across the business.

Our products give homeowners real choices. We have a strong experienced leadership team and an accounting and finance team that brings real discipline and deep knowledge of this business. We have capital partners who have supported us and continue to expand their relationship with us, and I'm committed to strengthening those relationships further.

With that, we are ready to take your questions.

Operator

[Operator Instructions] Your first question comes from the line of Ryan Tomasello.

分析師問答

Ryan Tomasello

I wanted to ask about the fee-based products. It looks like the Cash Offer Marketplace and Brokerage transactions were about, I think, by our math, 114 in the quarter. Can you tell us what the breakdown of that was between those 2 products? And then also going into the fourth quarter guidance, how should we think about that 35% mix of fee-based transactions, what's being embedded there in 4Q and into early next year?

Roberto Galaviz

Ryan, this is Roberto. Yes. So on that 114, majority of that came from the HomePro side, some majority on the listing services. Cash Offer Marketplace, we're still seeing some growth there. But majority going into Q4, we still expect to be from the HomePro side. On the mix side, we've talked about the 50-50 in the past, and we're still looking to get to about that range. Over the next quarter, we expect that we're still going to see more sales on cash offer driving the volume side. But we do expect on the contribution side because of our higher margins that we're building into those properties that, that rate is going to start getting closer to -- or going to be on the higher side on the 60% to 70% range.

We do see Home Pro. We highlighted in the prepared remarks that we grew about doubles our listings signed. So we expect to see more growth into the Q4 from that. So volume-wise, that rate is going to go towards the 50-50 sooner rather than later. On the contribution margin side, we expect that cash offer is going to continue to lead for a couple of quarters.

Ryan Tomasello

And then in terms of Brian's remarks, just around the prior target of 1,000 transactions a quarter driving breakeven. It sounds like you're hopeful that with wider spreads here and adding in these additional cost efficiencies that it sounds like that could move lower. Any way to frame how you're thinking about the new run rate breakeven in terms of real estate transaction volume?

Brian Bair

Ryan, it's Brian. Yes, the -- we were making really -- we had really good progress, as we talked about last earnings with our velocity buying with SCOUT and buying in the areas that we really liked, which the good news is our portfolio is really strong right now. We don't have a lot of tail inventory. And so I really like what we have. But because we had to pause some of the buying for a little bit, pull back, it's obviously pushed us up to a couple -- another quarter or 2 before we can get profitability. But we are making really good progress with the asset-light services on that side. So the 1,000 was kind of in case we looked at 1,000 transactions with our 3 product lines. But with the wider margins and the cost reductions, to your point, it does -- there's different ways to get there. Andrew, I don't know if you want to add anything on that side.

Andrew Pieper

Yes, I'll jump in there, too. Ryan, thanks for the question on it. As Brian just mentioned and you hit on it as well that the cost savings that we've identified, along with our current contribution margin level, we expect that will help reduce the number of transactions that will be required to get us to breakeven by roughly about 150 to 200 transactions. So that will be moving the 1,000 real estate transactions per quarter down to about 800 or 850 per quarter. Also want to highlight as well that as our contribution margin improves, that number of transactions will come down even further, especially with the higher margins that we built into our cash offer underwriting more recently.

Brian Bair

Yes. The one other thing I'll say on that, Ryan, is, and I said it in the prepared remarks, but definitely, seller mentality has changed. And we've seen this thing evolve over the last several years. But I think this is the very first time that we have seen it that most -- a majority of the sellers know it's a buyer's market. They're seeing listing -- active listings around their areas continue to increase. And so the good part about that is that we can buy at wider margins and be more selective about what we're acquiring. Of course, what we have to be very sensitive to is making sure that we're buying the right type of product in the right areas. And so we are continuing to stick with the interior homes the outlying areas are definitely impacted more than most areas. And so our portfolio still consists of interior homes, newer, not as much renovation. Of course, we still have renovation, but the $100,000 renovation projects that we've done in the past, we're not looking at doing right now.

Operator

Your next question comes from the line of Dae Lee.

Dae Lee

So first one, you guys touched on it a little bit, but this isn't the first time we've seen rates kind of spike up in a short period of time, and you guys have gone through, I would say, a few iterations of this. I'm just wondering like how does this step-up feel different from the ones you've experienced in the past? And how do you feel about the shape of the business as you go into another what could be a potentially challenging higher rates buying and selling environment?

Brian Bair

We've operated at the plus 7% in the past. Where this one was unique is towards the end of the last quarter, just the speed of -- we saw mortgage rates above 7.5% and in a really quick period of time. And so for buyers that didn't have their rates locked in, it was extremely impactful to them. And so I would say -- it reminds me kind of kick this thing off a few years ago when we saw the acceleration from about 3.5% mortgage to 7% wasn't as drastic, but it was very, very -- we went from the mid-6s to the mid-7s in a really quick period of time.

And I think across the board, just from some of the other news that have been out there from the affordability perspective. And again, I mentioned this in the prepared remarks, but I think it's important to point out again, but as you're seeing in social media and news programs and things are leading with the affordability and home prices. And so I just think overall, you saw a really quick acceleration of mortgage rates. And then you're just seeing more people with the affordability perspective that impacted them besides gas and across the board. But we've seen a little bit of that over the last few years.

And so the one thing that we continue to do is like we're going to control what we can control, and that's the inventory that we're buying where anything that we balance sheet, we're going to be highly selective on what we're going to buy. But in parallel to that, I think I mentioned before, we've doubled the amount of other cash buyers in our cash offer marketplace. And so for example, anything that Offerpad doesn't want to buy, for example, if it's solar panels that we don't want to buy in a certain area, we'll have other cash buyers that are willing to buy that home that has solar panels or outlying areas. And so we still want to provide the cash offer, it's not Offerpad's cash offer, somebody else's cash offer and then give back the seller choice that they can list that home if they want. But yes, we're watching it.

Now since that, we've seen an ease of a little bit of the mortgage rates from almost a 7.6% range to now in the 7.25%, the 7.5%, a little bit below 7.5%. And so -- and I've mentioned this I know the last few times we talked, but like that sensitivity of 25 bps is just incredible what it does from showing activity to active inventory just across the board. And as we talked about like with SCOUT, SCOUT identifies and where we should be buying along with HENRY that technology is great, but -- and so it identifies velocity areas that we should be buying and considering all of the macro environment in those areas. And in a really quick period of time, we saw a lot of those areas started to shrink up because what happened is more inventory hit the market, you had more sellers that put their home in the market that weren't transacting as fast as we've seen in the past. And so that's where this was the impact on that. And so -- but we've seen it normalize a bit, come down a little bit. But we're trying to be as prepared as we can for all the volatility we're seeing out there.

Dae Lee

Got it. And I guess as a follow-up, you kind of mentioned that with rates coming down, but -- and I guess a lot of efforts to improve affordability. Sitting -- I mean, I guess from your seat, do you feel like there's enough work that's being to help with affordability? And if there is, like, what are you most hopeful for? Is it just rates? Or is there something else that can work here?

Brian Bair

Yes. Look, I think the affordability overall, like I said, it's a little bit of a perfect storm because buyers aren't getting the relief anywhere, whether it's diesel gas prices to normal gas prices to the war and tariffs and everything else that's going on out there. And so -- and the salaries are not keeping up with it of what's happening. And so if I had a magic wand, I love the portable mortgage concept. I think a onetime move where people could trade out of their current home and keep the same mortgage rate would be incredible. I know there's been -- I've been talking to anybody and everybody who would listen about -- I think that would give the market a relief and people a onetime kind of I can get out and either upgrade or downgrade their home. Because right now, you just -- again, you have the sellers that don't want to leave their current rates and you have the buyers that can't afford the new rates. And so not that, that's the perfect answer, but it is an answer.

So I think mortgage is that and just getting -- but if you look at just the impact of rates, I mean, just to make it in real life, like that's about -- so when mortgage rates go up from -- just take a base out from 6.5% to 6.7% and then go up to 7.5% plus, that's about $150 to $175 a month. And then you add a little bit as from the other affordable issues with grocery prices and everything else adding in there, it's just -- there's an off button somewhere in there for buyers on that perspective. And so I definitely -- it's a long-winded answer of saying I definitely think rates impact everything incredible right now. But I do think there's some other relief that's out there with other things coming down to give people that even another $100 to $150 a month is super impactful so people can qualify to get a house or their first house.

Dae Lee

Got it. And then just a last follow-up to Andrew, if I can. When you guys talk about reaching adjusted EBITDA on a run rate basis by end of 2Q of '27, is that more driven by the seasonality of the business improving into the home buying season? Or are there other factors that can affect that target?

Andrew Pieper

Yes, Dae, thanks for the question. Seasonality plays into that for sure. But what we're really seeing more is on -- as we're talking about the cost reductions in the business and how that will ultimately flow through and get to that point with the rates that Brian is talking about and the impact that that's having on the buying and selling side, as we flow that through and as that gets into the cost side, we will have that adjusted EBITDA with the metrics falling out in Q2.

Operator

[Operator Instructions] Your next question comes from the line of Gaurav Mehta.

Gaurav Mehta

In the earnings release, you mentioned that you bought in 3Q, you bought the homes in the markets where you were still seeing, I guess, the markets that are meeting your requirements. Can you maybe comment on which markets where the home purchase is focused on?

Brian Bair

Yes. So we -- and that's where some of the volatility we've seen because we've -- Charlotte, Raleigh areas, the Florida markets have been -- they've been pretty -- I don't want to say steady. That's a bad word to use, but we've had a good appetite in those markets. You didn't see the home price acceleration. You've seen more consistency there. But we're definitely seeing a slowdown now in those markets. The Houston and Dallas markets it's getting impacted by -- just by new builds, by builders. It's hard to avoid builders and their buydowns and some of their special financing in those areas. And so as we look at Atlanta continues to be a market that we can stay pretty consistent in that we're seeing some good activity in. The Phoenix market, Phoenix is a little bit of a mixed bag. We -- in Phoenix, you see over 28,000 active listings in Phoenix. You see a lot of inventory. Those are more higher end, but the right price points in the interior, we still continue to see them move.

And so it's been a very unique -- and interesting enough, about a year ago, Tampa was probably the slowest market that we see. Now we see Tampa inventory moving fairly well in the Tampa market. And so -- besides the volatility of the market and interest rates, it's been interesting to watch the -- a lot of these are job growth specific. We're watching -- even just a quick example. We have to be -- have to watching where data centers are getting built. It's creating great jobs, but some people say it can cause noise and water shortages and other things as well. And so we're staying hyper-focused on just -- so when we say pockets, we're getting very specific with the pockets of where we're going to buy and staying patient. And if we don't want to buy it, maybe somebody else does in our marketplace, we can't make a cash offer on it. But that's where we -- I think we'll continue to see listing growth over time because we can provide listing services to the people that cash offer doesn't work for various reasons.

Gaurav Mehta

Okay. I also wanted to follow up on some of the cost savings that you talked about. Can you maybe break down for us the expected -- to realize those $8 million to $10 million of additional OpEx savings?

Brian Bair

Yes. I'll talk and then maybe have Andrew come in here. But just from a high level, the one thing that the -- buying homes at volume, especially at balance sheet homes at volume is great for our core business, but we're not buying as many we can reduce -- we can -- we don't need as many people and we're not buying as many homes. I'm just that simple. But you really -- if you parlay that into our technology as far as what we've done with HENRY specifically, from being able to do automated offers, a lot of data like picture recognition and the inspection process, being able to get really efficient on and using technology to leverage that.

And then also the other products as we talk about with like the HomePro product, that we have agents. These are 1099 agents. And so we can scale and grow that without really the balance sheet being affected, and we can scale and give customer a great experience. There's some cost, but not nearly the cost is the acquisition side. And the Cash Offer Marketplace is great because we run through the exact same system, use the same technology, but instead of balance sheet, we have somebody else's balance sheet. But Andrew, I don't know if there's anything you want to add to that?

Andrew Pieper

Yes. Thanks, Brian. So as you mentioned, we'll have the headcount realignment as we move towards more capital-light and our tech reoptimization. We also identified some additional expenses associated with the realignment of our office-based facilities, and we'll get some savings there as we move forward. And then there's just some other general operating spend that we've identified as well. Now as it relates to the timing of those, some of that benefit we've already started to see in Q4, but the full impact and the full annualized savings from that will hit in 2027.

Gaurav Mehta

All right. And last one, I think you also talked about adjusting your acquisition criteria for higher expected returns. Can you provide some more color on how you expect to achieve higher returns on acquisitions?

Brian Bair

Yes. Simply, what we're doing is from an ROI perspective, we're backing off the -- from a time to cash perspective, like what we have right now and currently [ in pending ], I think we're going to hit our time to cash. But as we continue to go, especially with seasonality and market conditions, we're going to expand how long we're going to own those homes, maybe from 100 to 120 days. But simply what also the assumptions that we put in there. So potentially what we need to make to balance the risk factor of us buying the home, but also some of the other costs that go in there from closing costs and all those. And so fundamentally, it's -- if you look at the ROI that we need to expect to make on that home and just calculating for the risk metric. And so just to kind of put that in there, we're underwriting right now almost double what we were just a couple of months ago on the underwriting perspective. And so that naturally slows down volume, but we're okay with that in these market conditions, but then have another products we could connect them to. We want to make sure we can capture them either through another cash buyer that's in our marketplace and/or using our listing service.

Gaurav Mehta

Maybe if I can ask one more. Can you maybe comment on, I guess, the demand that you're seeing for renovation and maybe asset-light? Are you still seeing demand for like the [ fee light ] business? And -- or has that been impacted by higher rates as well?

Brian Bair

Yes. Well, on the renovation specifically, so here's the good thing about renovation is that when we kicked off renovation, it was doing renovation for a lot of larger institutions, companies buying at scale and buying a lot of homes. Over the last few years, specifically, we've -- so we're doing renovation for very small groups, even some groups that buy 1 to 5 homes a year. So we've gone way down the funnel. And of course, we have some of the midsized groups in there as well.

But -- so the thing that makes me excited about the future, this is across the board, is that we are laser-focused. We want to get profitable. That's what Andrew and I and Roberto were talking about every day, what cost can we build out. We got to go execute. We got to get profitable. But then we got -- as we go, we want to go grow and scale this. Everybody, like every renovation customer that we're working with, and we're very self-aware. We're reaching out all the time, what could we do better on the renovation side? Is there anything we're missing? Is there anything -- and we're seeing it in our own business, and we want to expand that. And I will tell you that they -- people love using us because they can really just plug into our operation on that end of it.

But as they start to scale up again, as the market starts to turn, they're going to scale with us. And then as the success of cash marketplace as we get more cash buyers in there, especially the lower-tier cash buyers -- sorry, lower volume cash buyers, they're not going to buy as many homes, but they need more of our services. And so not just the sourcing that we can provide them, but also using our renovation services. And so it all ties together. And as we scale, I mean, there's no other way to say guys, this environment, especially over the last 60 days has been -- I think it shocked the system a little bit. It didn't just shock Offerpad. It shocked a little bit of everybody of what's happening. But as we know in real estate, these are all just -- these are temporary moments in time. And so we want to establish great relationships, do a really good job for all of our partners. And then as they scale up, we'll scale with them. So we can 3, 4x very quickly every one of our other product lines.

Operator

There are no further questions at this time. This concludes today's conference call. You may now disconnect.