Business
House flipping: Why property website Zillow is buying so many homes

House flipping: Why property website Zillow is buying so many homes

Property listing websites have long been hot property themselves as getting people to browse pictures of homes they can, or (even better) can't afford, has turned out to be a hugely lucrative venture.

The business model for property sites is usually pretty straightforward, with some combination of advertising, marketing and commission fees keeping the website lights on. For years, those kinds of services turned Zillow into a billion dollar business, and the largest property site in the US. Then, a few years ago, Zillow decided it wanted to get into a new line of business — house flipping.

Huge scale house flipping

Armed with more data than probably any other institution has ever had on homes in the US, Zillow began buying homes in 2018, hoping to make modest renovations and sell the houses on later for a higher price — a classic house flipping technique more common with individuals who have watched too many home renovating TV shows.

Last week Zillow gave an update on its home flipping side hustle, revealing that they had bought more than 3,800 homes in the last 3 months, as well as detailing what they spent, and made, on a typical transaction. According to Zillow the company spent an average of $322k on each home, spent $10k renovating it, $16k on selling, marketing and holding costs and sold each home for $370k — profiting just over $20k per home.

So if Zillow wants to buy your house, ask for a bit more.

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Starbucks issues apology after viral “Bearista” cup meltdown

Holiday cheer turned into chaos this week for Starbucks after the coffee giant’s new “Bearista” holiday cup sent fans into a frenzy. 

Dropped alongside its 2025 holiday menu, the $30 beanie-wearing glass bear tumbler sparked long lines, sellouts, and even in-store scuffles before Starbucks stepped in with an apology.

“The excitement for our merchandise exceeded even our biggest expectations,” the company said in a statement to People. “Despite shipping more Bearista cups to our coffeehouses than almost any other item this holiday season, the Bearista cup and some other items sold out fast.”

Within hours of launch, frustrated fans flooded Starbucks’ social media pages and even store hotlines. Some customers waited in line before dawn and others said their stores received only a handful of cups. In one Houston location, the craze even turned physical, with police reportedly called to break up a brawl. Meanwhile, the cup is already reselling on sites like eBay, with listings topping $600.

“We understand many customers were excited about the Bearista cup and apologize for the disappointment this may have caused,” Starbucks said. While in-store customers may be upset, investors seem happy about the viral hit, as the stock has risen over 3% on Friday.

If you’re still hoping for a Bearista at market price, that may not be on order: the chain didn’t disclose how many cups were made or whether a restock is planned.

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Target tells workers to smile, wave, and greet shoppers if they come within 10 feet of them

Target just rolled out a new rule for store employees: smile, make eye contact, and greet or wave when a shopper comes within 10 feet — and if they get closer, within four feet, ask whether they need help or how their day is going, according to a new Bloomberg report.

Dubbed the 10-4 program internally, the rule mirrors rival Walmarts own 10-foot policy, formalizing behavior Target had previously only encouraged.

business

Monster surges on energy drink buzz, while Celsius sinks on distribution concerns

Shares of Monster Beverage climbed 5% after the bell on Thursday, and held most of those gains into early trading on Friday, following strong Q3 results.

The energy drink giant topped market expectations, with quarterly sales up 17% year over year to $2.2 billion and adjusted net profits growing 41% to $524.5 million — 11% ahead of Wall Street’s estimates. In the report, Monster highlighted its zero-sugar line and new product launches, with a stack of novel flavors already released this year, as bright spots.

During a call with analysts, Chief Executive Hilton Schlosberg said that the global energy drink category “remains healthy with robust growth,” The Wall Street Journal reported, adding that demand for more affordable caffeinated drinks is rising as coffee has become “really expensive.”

Meanwhile, rival beverage business Celsius saw shares fall as much as 23% on its Q3 results yesterday — despite beating expectations, with revenue jumping 173% — largely due to concerns about a change in the company’s distribution channel, as its newly acquired Alani Nu brand joins the PepsiCo distribution network.

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