Does Zillow Want People to Leave Multi Generational Housing?

What Do You Think About Multigenerational Living?

Do You View Multigenerational Living As Failure?

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Stan Humphries of Zillow Wants People Out

Stan Humphries is chief economist of Zillow.com., the real estate listing service that recently went public on the stock exchange. He is literally gushing in his desire to get people move out of their multi generational housing arrangements which could create profits down the road for Zillow. And he is not alone. Bloomberg had a story through the IB Times about advertizing agency operatives wanting to brand young men who stay with their parents as losers.

This is a concerted effort at brainwashing people. This is metaprogramming, a method of mind control. The Ad agency guy, Peter Francese said this:

In America, the extended family is a very unstable household,” he said. “Most guys who live at home beyond some young age walk around with a great big L on their forehead. It is just not acceptable. As soon as these young adults get a job and keep it for some reasonable period, they are gone. As more young people feel they will be able to keep a job, bingo, they are gone.”

The idea that the extended family is unstable is a ridiculous statement. And the "L" this guy talks about is really playing to the psychology of the young person, unsettling him with a manufactured Wall Street type message. The Wall Street boys want new family formation and indeed, Zillow's Humphries is just one fellow that seems desperate for new household formation. But just like we had to go to two worker households, in the last century, economic necessity has made multi generational living a very viable alternative. And not only can folks survive in this model, but they can prosper and save money and have a debt free life using this living arrangement!

Daily Ticker ran the Humphries interview and this is a paraphrase of a couple of points he made:

Rental supply is tight and prices could rise 4 percent each of the next two years. This is an opportunity for investors. We gotta get those people who are doubling up out of those multi generational households.

Anyone can plainly see, that getting those people out is key to future housing and rental demand. Zillow is not your friend, and they are out for profit. They don't care about your bottom line, but rather about their own bottom line only, IMO.


The Rebuttal to This Article from Katie at Zillow

Katie from Zillow here. I work closely with Stan Humphries.

I just wanted to clarify that Zillow does not have a position on multi-generational housing. It is certainly a good choice for many families, for both economic and non-economic reasons.

What we addressed was involuntary doubling up because of the recession, and how the trend affects the housing market. Statistically, the incidence of households doubling up has increased by nearly 11% from 2007 to 2011, according to the Census. For adults aged 25 to 34, it has increased by nearly 26%. This takes a lot of potential homebuyers out of the market, and buyers are essential for an eventual housing market recovery.

Gary Anderson here:

I wrote the article because guys like Humphries were against the young being part of this multigenerational mix. While Zillow apparently is not opposed to mulitgenerational households filled with older people, that company knows what the IMF knows, that a cutback on household formation will cost the financial cartel dearly, and thus Zillow who lists houses for sale, dearly as well. But the morality of young people staying home with mom and dad in order to save money and secure a financial future is their choice, and is a slap in the face to big finance.

Perhaps big finance should have thought about this the first time they decided to create a real estate bubble and enrich themselves at main street's expense!

Educators Are Worried About Lack of Household Formation!

Multi Generational Housing Defeats the Tea Party/IMF Alliance!

The Tea Party is out to attack many benefits that main street average folks get from the government. These benefits are being pared back, and the result will be even a greater need for multi generational or multi-generational living. Some Republicans want the cutting of social security, medicare and other benefits, while banks and the rich are untouchable regarding the raising of their taxes. We know that commodities are churned to higher prices not just by demand but by white hot trading of contracts and futures by the investment banks. This speculation is allowed by both parties and is an attack upon main street and your budget as prices are artificially high for gasoline, food and other commodities.

Of course, mainly the Republicans want another housing bubble, as they attack the Dodd-Frank law, and the IMF wants austerity and a rekindling of securitization of mortgages, that led to the last housing bubble. This IMF/Republican alliance must be fought, and the best way to fight it is by multi generational living. It is even patriotic to do so. Please consider it both as a means for survival and as an effective means to create wealth.

Wall Street wants old and young to be divided and there are many articles setting them apart, making them want to fragment. Multi generational house arrangements destroy this little Wall Street scam by bringing the generations together. It is good that the generations seek to be together because that strengthens main street.

Now we know that there could be a housing shortage in the big prosperous cities in the next few years. If that is the case people making big money will have much of that income eaten up in rent and buying expensive housing. This is where multi generational housing will become very important in the near future, as the new bubbles will likely start in the pricey cities that did not sufficiently crash!

In summary, we can fight the IMF/Republican attacks and all manner of speculative price gouging through cutting costs and frugality, and multi generational housing is a component of that frugality. And we can fight another easy money housing bubble by refusing the toxic and hurtful lending products that were offered in the last housing bubble.


Jobs Are Not Growing Since This Was Filmed!

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Comments 21 comments

Deborah-Diane profile image

Deborah-Diane 5 years ago from Orange County, California

Living in multi-generational housing is the only thing that is keeping some people off the streets. It is also a good way to raise children, since they are rarely left alone.


Brie Hoffman profile image

Brie Hoffman 5 years ago from Manhattan

This is insane, multi-generational housing is the best thing ever.


stclairjack profile image

stclairjack 5 years ago from middle of freekin nowhere,... the sticks

awsome!


bgamall profile image

bgamall 5 years ago from Las Vegas, Nevada Author

Thanks ladies for the encouragement. With global economies, pressures come on wages and benefits in this country, and we have to adjust accordingly.


Vanessa McKay 5 years ago

I agree,the benefits are obvious.


bgamall profile image

bgamall 5 years ago from Las Vegas, Nevada Author

Thanks Vanessa. Both parties allow speculation in commodities causing us to overpay for gasoline and food, etc.


Katie 5 years ago

Hi,

Katie from Zillow here. I work closely with Stan Humphries.

I just wanted to clarify that Zillow does not have a position on multi-generational housing. It is certainly a good choice for many families, for both economic and non-economic reasons.

What we addressed was involuntary doubling up because of the recession, and how the trend affects the housing market. Statistically, the incidence of households doubling up has increased by nearly 11% from 2007 to 2011, according to the Census. For adults aged 25 to 34, it has increased by nearly 26%. This takes a lot of potential homebuyers out of the market, and buyers are essential for an eventual housing market recovery.


bgamall profile image

bgamall 5 years ago from Las Vegas, Nevada Author

Ok, then that is the position of Stan, who works for Zillow. I appreciate the contact, Katie, but you need to listen to all of this tape: http://finance.yahoo.com/blogs/daily-ticker/zillow...

I didn't see any disclaimer, Katie, that this economist was not speaking for Zillow. He said that we need to get these people out of multifamily housing and I presume it would be through dollar down, hurtful loans. Right?

If he apologizes to muti family people on Tech Ticker I will personally run the retraction right here. Just let me know the link.


bgamall profile image

bgamall 5 years ago from Las Vegas, Nevada Author

And one more thing, Katie, the recession has the power to change behavior. As more and more people fear debt, they may permanently change behavior. That would destroy Wall Street greed but let them be greedy somewhere else.


maven101 profile image

maven101 5 years ago from Northern Arizona

Nothing new with this trend other than the unemployed ( unemployable in most cases ) single young men that sponge off their willing Baby Boomer parents...Multi-generational housing was common at the turn of the century with over 50% of the population living as such...Post WW2 saw movement into the suburbs and single family housing...The economy was good and everyone wanted their own castle...Multi-generational households dwindled down to 17%...

With the economy in the toilet, long-term unemployment at 44% of all unemployed workers, a 27% increase in what college administrators call " professional students ", delayed marriage, and increased divorce rates, no wonder multi-generational households have risen to 25% from a low of 12% in just 10 years...

And yes, of the last three slacker generations, X, Y, and Z, many have a large " L " on their foreheads, as in Leeches...


Katie 5 years ago

Hi bgamall,

Our position is that household compression hurts housing demand, and that the best way to address this is by addressing employment -- which Stan said in his interview. If those who don't want to live in compressed households, but who are doing so simply for financial reasons, have more access to jobs, they will have the opportunity to form their own households and contribute to housing demand.

Just to give you the full context, here is what Stan said, taken right from the interview on The Daily Ticker.

"... The other chief driver (of the housing market) is unemployment, and that's directly addressable through policy means. Unemployment is incredibly important because it contributes to consumer confidence, it gets people off the fence when buying homes and it contributes to household formation. That's very important. Just last week the census bureau told us that 22 million households were doubled up. That's adult children living with their parents and multiple families living under one roof. We have to get those people out of the households, and that creates housing demand."

You can also a longer explanation of this issue in the written testimony that we submitted for a Senate Banking subcommittee hearing earlier this week:

http://www.zillow.com/blog/research/2011/09/20/zil...


bgamall profile image

bgamall 5 years ago from Las Vegas, Nevada Author

Maven you are totally wrong. Are your banker friends putting you up to this crap? Or are you just determined to let them win anyway?

As for after WW2, that is an aberration in history. It is not normal.

And Katie, you are missing the point of this article. We suggest that strong housing demand is dangerous to main street. In that instance you side with the enemy. Why is it dangerous to main street? Because of securitization. Make securitization and the speculation that comes with it illegal, Katie, and then we can be friends. Seccuritization has no business in the housing market because it makes easy money and dangerous loans available to the masses. We oppose those.


maven101 profile image

maven101 5 years ago from Northern Arizona

I'm totally wrong..? By what standard..? By whose criteria am I wrong, totally wrong..? Your contrived and tortured rhetoric comes right out of the progressive collectivist handbook that opposes individualism, free markets, and free minds...

Your pathetic appeals to " patriotism " by subscribing to a multi-generational household model reeks of fascist progressive statism...

Your rabid denunciation of the Tea Party is a hate-filled pronouncement signifying nothing but a reiteration of talking points from the daily Kos...

The Tea Party is simply Americans that want to hold government accountable for their actions...They are demanding that government reduce spending, lower taxes, and become fiscally responsible...You have a problem with that..?


bgamall profile image

bgamall 5 years ago from Las Vegas, Nevada Author

Hey Maven, voluntary collectivism has always been a way to fight the rich. Get used to it. If you aren't rich why defend their speculative and greedy ways?

Corporatism is fascism, not wanting to cut costs like corporations do. Since when is wanting to cut household cost fascism?

The Tea Party wants to do a lot more than hold government accountable. They want another ponzi, greedy, putrid housing bubble. They SUCK.


bgamall profile image

bgamall 5 years ago from Las Vegas, Nevada Author

Oh, and by the way Maven, household living has never gotten in the way of individualism. I would suggest that many will become slaves to Wall Street just by not cutting costs. Most Americans have too much debt exactly because of this failure to cut costs.

Your argument, Maven, sounds stupid when one company is taken over by another. It is not like the company being taken over is somehow giving in to collectivism. That would be pretty stupid as a conclusion, now, wouldn't it Maven? Sheesh.


maven101 profile image

maven101 5 years ago from Northern Arizona

Do you really expect me to respond to this sophomoric bleat..? Arguing with a progressive fascist is like wrestling a pig in mud; We both get muddy, and the pig loves it...


bgamall profile image

bgamall 5 years ago from Las Vegas, Nevada Author

Fascism is corporate control of society. For you to accuse me of communistic collectivism because I advocate extended families living together and then turn around and call me a fascist shows that you are plain ignorant Maven. I almost blocked your post because it added nothing to the conversation. If the next one is like your current post it will be blocked.


biteit1801 4 years ago

@maven101 I know this article is old but I was curious about it anyway so I read it. I also read one of your comments and you make assumptions about unemployed adults living with their families and parents etc. (Some) of them have moderate and even severe* mental health problems... I'm not even talking about the "obvious looking ones" with severe learning disabilities.... but those that appear and sound "normal" at first glance but have moderate to severe mental illnesses, disorders etc. My brother for example was diagnosed by a doctor with a severe* mental illness. He has no insurance so he can't afford medication, or to even see a therapist (not that he would anyway because most severely mentally ill people refuse help.) He also is so severely ill, he has refused help via social services. He does not "party", do drugs/drink, and he's literally*** never smoked a cigarette and has no* kids. He has No Interst in Anything and has literally No Friends... He just reads books. If my father were to put him out, he literally*** without a doubt would be homeless because he is (severely) mentally disabled and as I said.... he was diagnosed when he was still under his father's health insurance as a teenager. His problem is a mixture of "nature and nurture." My mother has mild learning disabilities, mental illness and a disorder so it's genetic. My brother was also severely bullied as a teen to the point where there was a huge physical altercation so that also had something to do with it. I also will admit I have mental illness which I was diagnosed as a teen, also* I was in Special Ed for years/failed a few grades as a child, and did poorly through out school but did try to do my best because I did not want to look "stupid" to my peers... but still did poorly (Ds and Fs.) I also have disorders where I can't even have a real conversation with someone outside of my family without constantly being worried about what that person thinks, feeling stupid due to my LD, being emotional... I too have no insurance. Even when I've worked, I was never given insurance with it and seeing a shrink via social services where I live is not free (it is... the first day or two but then it costs something and I have nothing* to very little.) So due to my mental disabilities, yes I live w/ my dad. I'm a youngish woman with (no*) kids and I'm small so it IS safer to live with him than being a homeless person with mental disabilities. I don't care if you think I'm full of sh-t which would not surprise me. Also to those who make assumptions about people like me... I am not using any* thing from social services. I did use one set* of food stamps about 5 years ago but since there is such a negativity about them... I didn't want to go back but then some years later, I did to see their shrink. It felt very awkward and made me want to cry. Those people always make me uncomfortable. Also, as far as my LD is concerned... even though it's mild... it feels hard to deal with everyday. I filled out an application for The Cheesecake Factory online and everything seemed to go well except the 10 minute timed test. I think I did pass 4 or 5 of the questions but due to my LD... I actually didn't understand many of the math questions even though they are consider "simple" to most. As for the personality tests, I just Lie* to them and pretend I'm a "people person" and never feel negative most of the time... yeah right. Oh well Im rambling now but my point was you Do Not Know the health of all of the unemployed you speak of. Read a f-cking book instead of finding random opinions up your backside. IMO


bgamall profile image

bgamall 4 years ago from Las Vegas, Nevada Author

Hi, I will overlook your hurtful comment at the end. While the economy and a push to be frugal is causing most of the multigenerational housing arrangements, I am sure mental illness does cause children to live at home. I have relatives who have a mild form of Autism, called Aspergers.

So, don't think I cannot understand your point of view. The concern, of course is when dad passes on. I wish you the best.


Tom Koecke profile image

Tom Koecke 4 years ago from Tacoma, Washington

Wow, BG, you drew some heavy duty responses to this hub!

I always shake my head when people refer to the booming economy of the 1950s without crediting the source: tens of millions of people worldwide, and 500,000 breeding age American males, dying in a world war the decade before. It would, indeed, be nice to have the economy of the 1950s if only we could forego the reason it boomed.

Multi-generational housing is here for a while. Banks will just have to find another way to fund their CEOs multi-million dollar bonuses and perks. Why should the common person worry about that when in return those who receive the big salaries, bonuses, and perks think themselves entitled because they boosted the bottom line by cutting benefits to the common worker?

If it is all about the free market to them, then the settlement for those who can either eat or live indoors on their own, or eat and live indoors in multi-generational housing arrangements, is the free market at work.


bgamall profile image

bgamall 4 years ago from Las Vegas, Nevada Author

Absolutely, Tom. Multigenerational living is the free market at work, while the wonks manipulate every other market.

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