FAIR VALUE DISCLOSURES

The Company uses fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures.

Following is a discussion of the fair value hierarchy and the valuation methodologies used for assets and liabilities recorded at fair value on a recurring and nonrecurring basis and for estimating fair value for financial instruments not recorded at fair value.

Fair Value Hierarchy

Fair value measurements of assets and liabilities are categorized based on the following hierarchy:

Level 1 — Fair value determined based on quoted prices in active markets for identical assets or liabilities.

Level 2 — Fair value determined using significant observable inputs, such as quoted prices for similar assets or liabilities or quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability, or inputs that are derived principally from or corroborated by observable market data, by correlation or other means.

Level 3 — Fair value determined using significant unobservable inputs, such as pricing models, discounted cash flows, or similar techniques.

Estimation of Fair Value

The following table summarizes the fair value measurement methodologies, including significant inputs and assumptions, and classification of the Company’s assets and liabilities recorded at fair value on a recurring basis.

Asset/Liability Class

Valuation Methodology, Inputs and

Assumptions

Classification

Marketable securities

Equity securities

Price is quoted given the securities are traded on an exchange.

Level 1 recurring fair value measurement.

Assets and Liabilities Recorded at Fair Value on a Recurring Basis

As of December 31, 2025, the Company did not have any assets or liabilities measured at fair value on a recurring basis. The following tables present the levels of the fair value hierarchy for the Company’s assets measured at fair value on a recurring basis as of December 31, 2024 (in millions):


December 31, 2024	Balance at Fair Value		Level 1		Level 2		Level 3
Marketable securities:


Equity securities	$	8	$	8	$	—	$	—










Total assets	$	8	$	8	$	—	$	—

Fair Value of Financial Instruments

The following presents the carrying value, estimated fair value and the levels of the fair value hierarchy for the Company’s financial instruments other than assets and liabilities measured at fair value on a recurring basis (in millions):


	December 31, 2025
	Carrying Value		Fair Value		Level 1		Level 2
Assets:
Cash and cash equivalents	$	962	$	962	$	962	$	—
Restricted cash	339		339		339		—


Liabilities:
Non-recourse asset-backed debt – current portion	$	152	$	152	$	—	$	152

Convertible senior notes – current portion	193		384		—		384
Non-recourse asset-backed debt – net of current portion	968		961		—		961


	December 31, 2024
	Carrying Value		Fair Value		Level 1		Level 2
Assets:
Cash and cash equivalents	$	671	$	671	$	671	$	—
Restricted cash	92		92		92		—


Liabilities:
Non-recourse asset-backed debt – current portion	$	432	$	431	$	—	$	431


Non-recourse asset-backed debt – net of current portion	1,492		1,443		—		1,443
Convertible senior notes – net of current portion	378		336		—		336

About Fair Value Disclosures

Fair value disclosures classify all assets and liabilities measured at fair value into a three-level hierarchy: Level 1 (quoted market prices), Level 2 (observable inputs like yield curves), and Level 3 (unobservable inputs requiring management estimates). The proportion of Level 3 assets directly reflects how much of the balance sheet depends on internal models rather than market evidence.

Key signals: a growing Level 3 balance relative to total fair-value assets increases valuation uncertainty and earnings volatility risk. Watch for transfers between levels — assets moving from Level 2 to Level 3 often signal deteriorating market liquidity. Unrealized gains and losses on Level 3 positions flow through earnings or other comprehensive income, so large swings deserve scrutiny. For financial institutions, examine the sensitivity disclosures that show how Level 3 valuations change under alternative assumptions. Compare the fair value of debt against its carrying amount to gauge hidden leverage.

Opendoor Technologies Inc. Fair Value Disclosure

About Fair Value Disclosures

Other Available Disclosures