Metropolis
Zillow Isn’t Buying All Of The Homes on Your Block
The dangerous allure of using easy anecdotes to explain complex problems
It all started on TikTok. These 5 words could probably explain much of what’s happening in popular culture today. They also inspire fear, excitement, or confusion depending on who’s reading them. Instead of touching on the latest dance craze, “life hacks”, celebrity drama, or cute dog videos here, though, this piece is focused on a much more sober subject — the housing market.
In the last year, home prices have risen dramatically. Since the middle of 2020, the Case-Shiller U.S. National Home Price Index has gone nearly vertical. But this much is obvious to anyone who has even passively been following the news. This piece doesn’t seek to explain why prices are increasing (if you’re interested in learning more, though, read here), but the public reaction to those prices. And right now, there’s no better barometer for that sentiment than social media.
Last week, a real estate broker from Nevada took to TikTok to discuss what he viewed as the manipulation of the housing market from real estate listings platforms like Zillow and Redfin. In it, he discussed iBuying, the relatively new strategy used by listings platforms to acquire properties all cash…
