The following is just an opinion:
In this recent Business Insider article, millennial real estate agent David Ravitz presented his case against long-term homeownership. It’s crucial, though, to critically examine the underlying messages and implications of this piece. In what may seem like an innocuous lifestyle feature on the surface, Business Insider has, perhaps unwittingly, amplified the voice of the wealthy, casting a shadow over the economic realities faced by the average American.
Ravitz’s story is not your usual rags-to-riches tale. The Boca Raton-based agent is advocating for a model where one simply purchases a $960,000 home, renovates it for an additional $500,000, and then flips it on the market for an exorbitant profit. Although it may seem like a savvy investment strategy, it’s not one that an average American can afford to take up. It is an insight into the mindset of a certain privileged class and how it perceives the path to wealth.
By giving this narrative a platform, Business Insider seems to be operating less as a news outlet and more as a propaganda mouthpiece for the well-off. It is a reflection of the widening income gap, a glaring issue that many in positions of power and influence continue to overlook. It also hints at a disturbing trend of media outlets perpetuating the narratives of the rich and powerful while underrepresenting the struggles of those in less privileged circumstances.
In a climate where the fight for economic equity, equality, and justice is more urgent than ever, this article seems tone-deaf. Instead of providing a balanced view of the housing market or economic realities, it presents a skewed picture where success is just a few home renovations away. However, the reality for many Americans is a struggle to keep a roof over their heads, let alone purchase a near-million-dollar property.
The key takeaway here is that articles such as this one do more than just highlight a unique approach to wealth accumulation. They showcase the thinking of a class of people who view financial success as a game in which the ability to participate is inherently unequal. For those of us seeking to challenge this status quo, understanding this mindset is crucial. It’s a clear illustration of the political and economic opponent we face in our quest for a more equitable and just society.
The portrayal of this exclusive path to wealth accumulation as the ‘new American dream’ is a stark reminder that the struggle for fairness and equality is not just about economics, but also about controlling the narrative. It’s important that media outlets remember their responsibility to represent all demographics and not just those who can afford $960,000 starter homes.
As an aside the kitchen seems a testament to the color white… Ah yes, the color white, the epitome of purity, innocence, and everything good in the world, right? So naturally, nothing quite says “I’ve reached peak good taste and cleanliness” like transforming your average, everyday kitchen into a blinding winter wonderland of the brightest, most painfully white marble you’ve ever laid eyes on. Because who doesn’t want to slice tomatoes on a countertop that looks like it was chiseled from a polar bear’s dreams? That sparkling surface, when hit by the gentlest ray of sunlight, won’t just light up the room - it’ll practically send SOS signals to space. Oh, the glory of dining in a place that’s so sterile, it makes you question whether it’s a kitchen or an operating room. Nothing quite like the veins of that frozen-marble look to remind you of a tranquil river… or was it the varicose veins on the legs of the Statue of David? But, hey, that’s art and purity for you. Truly, a testament to the eternal human quest for cleanliness, brightness, and subtly blinding your guests with your immaculate taste.
Shocker: Realtor thinks people should buy and sell houses more frequently
I think it’s important with a piece like this to take a step back and figure out why the editor put it in the publication to begin with. Let’s take a look at its components.
- Clickbait title driving clicks? Check.
- Topic that seems to violate long-held conventional wisdom (and therefore drive clicks)? Check.
- Grain of truth to drive controversy (and thus distribution on social media? Check.
This isn’t propaganda. Some editor saw this, knew how people would respond, and published it for the clicks.
I read the article a couple of times. Nowhere in it is Ravitz advocating this model. He’s talking about how he is using this model and thinks that it can be a wealth generator. He hasn’t even sold his first renovated house yet; he just thinks he will sell it in August or September.
Strip away all the dressing up of the article and you could title it, “Guy who sells houses improves his house and plans to sell it for a profit, and if it works he will keep doing it.”
All fair points. Consider us all baited!
In 2021, my wife and I purchased our first house for $960,000
LOOOOOOOL!! Stopped reading right there.
They rennovated it too. How much could a starter home cost, $1.5 million lump sum?
I’d be lucky to dream about having the funds to get a mortgage 1 home 15 years from now. All I want is a place I can live in and call my own for 40-odd years until I kick the bucket, then my future nephews and nieces can have a catfight over how to carve it up for coin assuming global warming hasn’t decisively fucked everyone over by then.
Of course I wouldn’t be able to comprehend the mindset of affluenza-huffers who can’t live without cutting out the biggest slice of pie even if it means breaking the oven and starving out everyone else.
Yeah this person does not live in most people’s reality. “Starter” homes are still easily 600-700k which is bonkers but 1 mil lolll.
Even 600-700k is like 3 times what I could realistically afford lmao. I love it. I love how THIS is the housing market we have to deal with, and mfs will still complain about homeless people existing.
We picked up a turn key home in Portland (not a cheap market) for $390K at the end of 2021.
We sunk SOME money into it… The roof was 20 years old and had a 20 year lifespan, there was a plumbing issue in the utility room, those were the things I HAD to do.
Other than that? I put up solar panels and got a nice tax rebate on that. Put up a retractible awning which created a 3rd patio space.
But at 3.25% interest, I’m keeping it!
“To maximize our investment, we moved into the home and renovated it over the course of two years, and have now listed the property for sale. We plan on repeating that process indefinitely.”
Maximize your investment by increasing stress and full on galloping to an early grave… brilliant!
Question I have for the guy… my mortgage is 3.25%, how is trading that for 7% or 8% “maximizing my investment”?
It sounds like… now hear me out here… it SOUNDS like a plan to enrich real estate sales people… 🤔
“I went back to school and got my MBA at the University of Miami, and then jumped into real estate. I’m going on four years now as a real estate agent in South Florida.”
DING-DING-DING!
Real estate agent encourgages home owners to move every 2 years…
Didn’t read the article, but I’m going to guess at two things. First, it’s in a realtor’s best interest for people to buy & sell houses frequently. Second, if this guy has any sense at all, he’s unloading his property before homeowners insurance becomes unavailable in Florida and mortgage rates go to the moon.
So, just buy property and sell it for an inflated value in the near future. Repeat forever. Sounds like an amazing plan. What reason could someone possibly have for not doing this? Can anyone think of one?
Also, the idea that real estate is required to go up in value no matter what is sort of insane.
Yeah, I thought it was a joke. Like the ol’ How To Get Rich In The Stock Market advice of buy low, sell high.
Over the past few years, the South Florida real-estate market has taken off and there has been a flood of people moving here.
It won’t be long before climate change turns that into a different kind of flood.
True enough. I expect to see huge tracts of land disappear during my lifetime.
Came for the discussion, stayed for the kitchen description. Good shit on all counts, OP.
I’m just here to appreciate your eloquent critique of that painfully boring kitchen.
OP, you put wayyy too much thought into this piece of clickbait. I’m not saying your points are wrong, but Business Insider is pretty much accepted as tabloid trash today. Giving it this much time (and another share!) is only helping whatever stupid cause they have.
Valid point. I’ll keep it in mind. I had already removed BI from my feed after reading a few articles like this, in my defense. A waste of time to be sure.
Your point is valid. I’ll keep that in mind.
The housing market, especially in Florida and ESPECIALLY in south florida is a giant bubble right now.
This has happened before. The early 2000’s saw a similar bubble that finally popped ~2008. In the early 2000’s I saw a ton of people ditching their careers to get their Real Estate license. Didnt pan out well for them and its not gonna pan out for this guy.
This bubble is a bit different in that its not so much fueled by mortgage backed securities and pushes to get people on variable rate mortgages to they can be pumped and dumped into credit default swaps. This one is much more, at least in florida, tied to folks trying to escape regulations and lockdown from COVID up north and coming down to florida where properties are historically cheaper per sq ft and acre and buying up real estate in cash. But still, its going to pop. Many locals cant afford to buy now, or even rent in some cases as many arent even buying a primary residence here just vacation/airbnb homes. But its still a bubble that will see some major regressions. Especially if the urban sprawl problem gets taken head on (which I dont see happening anytime soon givent he current political climate).
I laughed soooo hard when he said they plan on selling and then repeating the process every 2 years. How on earth is he a realtor but also thinks that 250k-500k gains on property over the course of 2 years is normal.
The housing market is in a huge bubble right now, my home is up ~50k since I bought in late 21 without me doing a damn thing.
I really wanna follow up with the guy in 2 years when he’s complaining he’s stuck with a 1million dollar how financed at 6% and he’s 400k underwater and he should have just stayed at his previous home probably financed at 3%.
And unable to get insurance because everyone is pulling out of Florida…
Also flipping houses often covers up major issues with “lipstick”, eventually i think this will make them less desirable to buyers, because if they see a house only owned for 6mo-2 years it may indicate some VERY janky bones were ignored to stick granite and hardwood in etc.
Prior to 2008, it was RARE to make any money on a house owned under less than 5 years. If you broke even you were REALLY lucky.
Its a terrible article and a terrible hottake. If hes 31 now, he was likely 16 when the first bubble popped. This is a sign of youthful ignorance imho.
Hey, I have a mostly white kitchen and I like it. I built the thing from Ikea parts and it was a ton of work and it took me like a couple months.
So maybe we decouple our criticism of wealth inequality from our hot takes on interior design, hmmm?
Something your critique of the kitchen brought to mind. Yeah it’s a Reddit link, but it goes to something that kinda expanded my view on the monotone fad that has dominated the interior design landscape: https://www.reddit.com/r/Anticonsumption/comments/10njiwd/colour_theory_and_corporations/
I’m pretty sure that Business Insider is known to not be a very legitimate news source. Whether they run conservative, liberal or other, I don’t know because I don’t normally read it. I appreciate that you posted the link with a very well thought out and rational commentary. I am only commenting to state my opinion that it is probably best for anyone viewing Business Insider links with a grain of salt as you have done since they might not be impartial.
Business Insider is known to not be a very legitimate news source. Whether they run conservative, liberal or other, I don’t know
I’ve seen them pop up in my Google recommendations, and they seem to be just as happy to post an article stating one thing, followed by another stating the opposite. Their agenda seems to be more of a “whatever sticks” clickbait.
Their agenda seems to be more of a “whatever sticks” clickbait.
So the Joe Rogan agenda.
I’m just here to appreciate your eloquent critique of that painfully boring kitchen.
