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  • Redfin CEO’s Wild Promise: “We’ll Drink Our Own Urine”
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Redfin CEO’s Wild Promise: “We’ll Drink Our Own Urine”

nets45 August 10, 2024

Redfin CEO Glenn Kelman made a jaw-dropping vow during the company’s second-quarter earnings call this week, promising to “drink our own urine” as a last-resort survival strategy if mortgage rates fail to drop as expected.

An Unusual Earnings Call Moment

Typically, quarterly earnings calls are reserved for corporate jargon and carefully scripted optimism. However, Kelman veered off-script when pressed on Redfin’s “Plan B” for a stagnant housing market. His blunt response—suggesting he would rather “drink our own urine or our competitors’ blood” than abandon the fight—was formally transcribed for investor relations.

Navigating the “Twilight Zone” Housing Market

While Redfin reported better-than-expected financial results, Wall Street analysts remained wary of the broader real estate landscape. Kelman described the current climate as a “Twilight Zone,” noting his frustration that a significant drop in mortgage rates has failed to trigger the expected surge in market activity. “I can’t remember a time when rates came down this far, this fast, and the market has been so muted in its response,” he stated.

Strategic Resilience Amid Uncertainty

Despite his colorful metaphors, Kelman emphasized that Redfin is not banking on a market rebound to fuel its success. Referencing his previous earnings call performance—where he sang a line from The Who’s “Won’t Get Fooled Again”—Kelman reiterated his cautious stance. He maintained that the company is prepared to capture market share regardless of whether the housing sector grows or remains stagnant, insisting that Redfin will not ease off its aggressive strategy.

A Moment of Regret

As the call drew to a close, Kelman briefly walked back his graphic imagery. “We’ll drink our urine before the blood,” he clarified, before adding, “Actually, I wish I just hadn’t said that. I’m a lover, not a fighter.”

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