For thirty five years, Cindy Stumpo has been a female home builder with a
passion for design, a mastery of detail, and a commitment to her crack.
With daughter Samantha Stumpo by her side, I don't need my whole family
on a date with me. That's a good note. It's goddamn weird.
See. Stumpo Development is the only second generation female construction company in the country.
You're crazy, You're a wacko, You're insane. I mean, it
just doesn't end together. Cindy and Samantha welcome guests to explore the world of
construction, real estate, development, design and more. Unpredictable. Every time
I think I know what you want, you switch it out. But that's
what makes sure houses all your date discuss anything that happens between the roof and
the foundation. Nothing is off limits. You truly do care about everybody.
She can yell, ATCHI can scream, but when you get her alone,
she's the best person on the planet. Cindy Stumpo is tough as nails and
welcome to Sindey Stumpo tough his nails on w b ZEENWS Radio ten thirty and
I'm here tonight with two special people, really two special people. I'm stuck
with both of my bosses. That's where she started with you. Mmm,
don't forget that. This is true. This is why I'm my own boss.
Now for both of you. What's your name again? I don't know
who am I? I don't know. I'm looking at a blonde picture of
you. You're a brunette now in the studio. You really need to get
over this. We gotta change your hair from blonde. See see the picture.
That's the first thing I said, Sammy when I saw you. He
likes my hairdog she hates it. She's my blonde, my whole life.
Let her be Let her be her. Oh, I'm letting her be her.
And who are you? Michael? So? Okay, Michael, give
a rundown? Who are you? I am the executive vice president of Gibson
Sotherby's International Reality Okay? How long you have been a realtor? For?
Really? What? Almost forty years? Okay? I know the compound,
know the exact count. I've been on here for thirty six. Stop saying
three seven years, thirty six years, thirty seven. It's not three seven
years thirty seven. We're keeping it in thirty six years. It sounds better.
Don't you want to keep aging me? Well, if I have to
age, you have to age. What do you mean the daughter's prerogative?
Oh yeah, yeah, what do you mean? I hear you all being
stepped over even though I can't see you. Snickers. Okay, Mike,
I want you to give a bio to the listeners of you. I started
in the industry in the early eighties. Uh you howled? It was twenty
four, baby, baby. My first few years, by coincidence, was
new development. It was the beginning of the condo conversion craze in the back
Bay, and so I started out. Is that the doc com bubble in
that area and era No, it was eighty three eighty four. They started
to convert these brownstones in the city. And my first project was with the
architect Xena Nemetz. Remember Zena came in in eighty nine. Yeah, Jim
Nemetz is a son. I remember Jim. Yeah, he's still he's still
hugely successful. So I did some condo conversions for her, and then I
went on with the Planning Office for Urban Affairs to Catholic Church and did a
couple of schools in the North end. So my first three and a half
to four years was was new development, and then I got into general brokerage
after that. And after that Charlie Patsos with New Boston Properties, we teamed
up and opened a company together. He was the founder of what we now
know is furnished corporate rentals back in the days. And then from a career
yeah yeah, and then found my way into general brokerage. My first partnership
was with a company called Russ and Volpi the New Boston Properties, then out
on my own, and then nine years ago I sold my company to Gibson
Cellby's. You're happy you did that, I did, Yeah, you were
happy to move on to a bigger company. It turned me because you were
concierge type broker. Yeah. I had a very high end, boutique real
estate firm on Newbery Street for twenty six years. It's actually next to Sanse
for the whole time, on the corner of Hereford Newbury Street. And I
had taken the independent model as far as you could go. So I went
from being a very good local independent broker to legitimately a global real estate advisor,
and it's allowed me to do deals all over the world as a result
of having that affiliation. So yeah, so given the choice, it was
better to go with a bigger company than State concierge. It's for you for
me, But it was more about the brand. I liked that brand.
I liked what Southeby's represented because it was right in my luxury space as an
independent. And it's worked out. It's really worked out well. And you've
got to show meet a lot more interesting people. Yeah, other broke from
other places broke. My first year, I actually traveled the country and met,
you know, the players from Manhattan, the players from Southeby's, players
from Manhattan and San Francisco, Miami. And then the second year, they
made me to what they call a Southby's market leaders. That it's the top
fifty Southby's agents in the world. And that's that's gratulations. A group that
I'm in now, and boy, a bunch of smart people. Okay,
I've got some questions. I'm going to come at you. Okay, Well,
what are some of the challenges facing real estate today? In your opinion?
Is this outside of the aniostm. Now we'll talk about just real estate,
then we'll go into the nar Well, there's too many to begin with
one point six million agents trying to do there's one point six million agents trying
to sell real estate right, yes, Massachusetts, no national. So the
challenges that you're facing today with now, what is going to happen? First,
I'm trying to wrap my arms around the new law and Michael and I
can't. That's number one. I'm trying to decipher how the buyers burgers going.
Is it that the the travelocities of the world got with the travel agents?
Is that the role we're going down is red finn and these companies trying
to take over your jobs. Explain to me and the listens and educate me
what's going to happen here. Well, in March fifteenth, the NAI National
Association of Realtves settle the lawsuit. That is just the start of all this
blowing right, it's and it's going to bring too big change. Okay,
let me stop you this. So I really comprehend this. Why was NAR
sued? Well, it wasn't just NI, it was NI, it was
anywhere, it was Remax, it was it was everybody, everybody, and
they have and so the NAR settled for four hundred and eighteen million dollars.
Okay, okay, so they sell what was the lawsuit for, like,
what was the reason to sue them? They alleged the planeiffs alleged that it
was price fixing where the buyer agency compensation was published in RMLs, and they
felt that it was staring buyers agents to more expensive properties that ultimately the cell
is paid for, which I don't necessarily Wait a minute, So the they
feel the buyer's agent pushed their clients into more expensive properties based on what this
the mission amount was, is what he's saying. Yeah, and it's so
hold on, let me get this. Say I'm a buyer, I'm looking
at a four thousand dollar home. When you push me you six? No,
he's putt they're pushing you to where the commission the commission higher because the
commission Well, let me let me tell you what, because a lot of
this is not going to make sense to you, and it doesn't make sense
to a lot of people as well. So the two the two basic changes,
uh that we can't now put the buyer agency commission in our mls.
But what what's how is that going to change things? It's not. That's
number one. Number two, which I agree with is buyer agents now have
to sign buyer agency contracts. Well, they should have all along. It's
no different than being a listing agent. Michael was it a one point you
decide whether you were a sellers broker or a buiers broker When I first started
and and uh, unfortunately, I'm a very I'm a very heavy listing agent.
And right, and that's really where you want to be, the buyer.
This ruling will make a listing agent stronger and it will put some challenges
on buyers agents. Okay, but there was a time that you did sign
something that you worked for the buyer and you worked for the seller. Correct,
well, you should have all along now now it's your requirement. But
a buyer I would make them sign a buyer. Am I crazy? I
used to sign with Carol Brenis, who's my first real estate broker. Uh
started with my in my career. I had to sign the part that said
I hired her as a buyer's agent. As a seller's agent, we're talking
about buyer. I was selling. It was my product sell and you're the
listing Yeah, you have that, you have the listing agent. Then remember
she was there's two sides to every real estate transaction. There's the listing side.
When Cindy Stepper was selling a house, you're retaining a listing agent.
Carol would make me sign something that said that made me agree that she is
my Cella's agent. That's a listing agent. We're talking about the bias age.
Wait every hold, I thought I didn't realize I got to go to
break. I'm sitting stumbling and listen Tough his Nails on WBZ news Radio ten
thirty and be right back, sponsored by Pillow Windows of Boston, Next Day
Molding and Kennedy carp And I'm sidy stumbling you listen Tough his Nails on WBZ
News Radio ten thirty. Hey Sammy, how are you doing over the honey?
Hey? Mom? How you doing? Long night tonight? Okay,
Michael, go back to what you were saying. Let's go back to the
n R. I I'm sorry, SIRIH doesn't get that. I am so
sorry, folks, I will turn that off, Michael. Siri doesn't understand
you that. It's okay, Siri. We don't understand either, so don't
be confused. So the two fundamental business practices the changes in this settlement were
that we had to remove the buyer agent compensation in our mls, and we
had to require now that bias signed buyer agency contracts. Good agents have been
doing that all along, So that's not going to really change with the agents
that are doing what they're supposed to be doing. But as a seller's agent,
we're not talking about that. Hold on, hold on, do you
have to pay a buyers brocus and ate their agent? Legally? I know
morally what you'll do, and you'll explain that, but legally, do you
have to pay the buyers broker a commission? Right? And that is a
great question. Legally, legally, no, you don't. So no buyers
brokers are going to bring you buyers that's right. So what is this game?
But what I don't underin So what if I sell as a sellers agent,
I charged five percent and I'm doing both sides of the transaction. At
that point, I deserve the five right. But now, Sammy, you've
got to have You've got to you've got to have your buyer sign a buyer
agency, and you've got to have the buyer and seller agree to what they
call dual agency. Both have to agree. It has to be transparent.
But there's nothing, there's nothing wrong. Well, let me let me get
the misconsumptions and some deals that she is the seller and the buyer for sure.
She says a lot on a road right after July, she's going to
need to sign buyer agent contracts with anybody on a we call it a direct
sale, but there'll be a dual agency. But if she's a seller it
she always seems to lately put out a bigger commission to the buyer. She
will smart, Yeah, she'll put three percent out to the buyer. Yeah,
and she moves that way, okay, and keep two percent staff move
that way. No, they'll blop it. They'll they'll just you'll just say
boom. A lot of my shows that m have Frankie, have Frankie Nick
you I'm all right, listen. At the end of the day, she's
smart, she's less greedy, and she moves more inventory. So now absolutely
and advertise that once she gets on the phone, call well, here's why
things going to happen. You can and you can tell me if I'm wrong.
The bigger brokers are all going to network together like they do. Crucia
got this. George Sokus Bop bop bop bop anyway, correct, and you'll
all stay united. I think you're going to lose more than half your brokers
out there, I hope so well. You know the one point six million
agents I told you about nationally correct, eight hundred thousand of them did less
than eight hundred thousand of them did less than two deals last year. And
that that's the crazy parts. The everybody thinks when you become a broke and
we talked about this earlier, that you're just gonna make noodles and noodles and
money and getting your license to become a broker. That's the easy part,
right. The hard part is now getting out there and hustling well. And
when Sammy passed her license, she went to work for you to learn.
She was with you for the first year, year two, and then year
two and then I said, okay, Sammy, come with me. Now
you've got all the all the training for Mike. Now come with me.
Let's open up your own and let's see what happens there. And the funniest
thing, Mike, which we all laugh at today, when she graduated school,
you know, all the big houses were picking you up, and stupid
them not picking her up. With her mother being a builder. That was
like the dumbest move right. It was like in pretty women like major sucking
up, right, they should be majorly sucking up to her, but they
gave her the the hands out for whatever reason. Look what happened there,
Hello, shoved it right up there. Okay, we know that, but
that's what happened. Now. I would have went after her like oxygen,
knowing that her mother is building out this much product a year. Right,
that's weird because we were coming off of that you have there. There's some
jealousy involved there as well. Thousand percent thousand percent and an old expression they
don't boo BOMs, Yes exactly. But Mike gave you a job. He
did. He was the only one. Yes, this is true. Was
I the last resort? No, you came to me and said I'll take
seem on. But we were always saying why didn't any brokers firms pick her
up? Then lay through? But I learned the right way, Like I
sat at open houses for free, knowing what I had to do. Now
I have to beg a broker and pay your to do. Yeah, you
paid your dues. Yeah that's that's over what ten years ago? I don't
think I'll ever live down the fact that I got a verbal two point seven
million dollar offer and he was like no, And I was like, I
don't know what to do here. What happened with that with Belmont that they
wanted to buy? That's right and take that offer. Yeah, he'd rather
sit a market. Do you remember there? Yeah? So for like,
I've never experienced this before. It forgot that. Yeah, that was so
crazy. Well, it just goes to show that eighty percent of the time,
your first off what your best always. I learned that at twenty eight
years old as I chased one hundred thousand dollars more and my grandmother said to
me, you burn the hand and I want that one hundred thousand dollars more.
I end up getting less and paying out one hundred thousand interest in carrying
costs. I did one last week at nine to two. I'm like,
Okay, you'll never making a mistake because we live in the old times.
We've bet we've been through some bad economies, right, and they'll stick with
you. And when you've been up and down, up and down in these
economies, you've learned like, don't be greedy. I'm not greedy so I've
never gone trouble. I'm still see stump with development. No therety six years
later, we'll still see STUMPO. We've never been sued by an end use,
a vendor or subcontractor, and we just keep going. But I always
say, look it, I'm not a brain surgeon. I'm not taking a
tumor out of your brain that's going to save your life. I'm just a
builder. That's it. Stop getting greedy. I hate greed. Greed will
bite you every single time. I've seen this girl give up so much money
commissions on every deal, throw in here, throwing there, and the buyer's
broker never nope, I want my Nope, I want my nope. No,
I'll bring my client somewhere else somehow often was the buyer broker like the
aunt or the sister in law are the distant relatives I had. I had
a guy always, and I can take my aunt anywhere. I love when
the broker says I can take my client anywhere. Really, well, there's
no inventory, so were you taking them right? Like? Well? I
think that's there's you know, like with any settlement, there is good and
there's bad. I think the good part of this settlement is it It is
going to weed out some agents that probably should not have been in the business
to begin with. That's that's pretty much a certainty. Okay, do you
feel this nar settlement is going to make the stronger brokers much stronger? Business
are going to come. There is no question the stronger brokers will get stronger,
strong listing agents will will will be stronger. It's it's going to change
the way we do business, but not as dramatically as people talking about.
And there's so many misconceptions that the news as usual that the newspapers are writing
about that it's just couldn't be fairly from the truth. So it's a lot
of just stop reading the headlines and starts to develop good you know, when
do we ever have a standard six percent? Commissions said, there's never been
a standard ever. When do we have you know, no state law that
says that in any state what it is I think Florida six percent is no,
that's just what everyone charges. There's never been a state law that says
you have to be minimum. This never no. Well, in other market
systems and supply and demand always and one. They also said that they believe
this settlement is going to lower prices. It's not going to lower prices.
Supply and demand and free market systems will dictate whether the prices go up and
down, not how a buyer agent's getting paid. Were you blown away that
no settled, that they lost this lawsuit? Ah four hundred and eighteen million
for now eighty three and a half million for anywhere, which is Southeby's cardboard
banker had a kick fifty three million, fifty five million for me, max
seventy million for Keller Williams. And let's talk about what So all these shingles
have to dish out this money, and you know what, and who's getting
all this money? The lawyers mostly you want we'll talk at the end about
who won and who lost here, Okay, well we'll leave the cliffhanger.
One interesting aspect of this. This is a Lifetime original movie. We just
left covered firms that did less than two billion in business. Okay, So
Compass still hasn't settled yet, Berkshire Hathaway still hasn't settled yet. William Ravis
still hasn't settled yet. So they went companies. Everybody I would Hannah,
every single major real estate firm is twenty odd outstanding. If you were Coochy,
they would have left you alone, depending on my sales volume. But
probably yes. So they went up to the big houses and the big houses
right the checks, not the insurance companies right right, but the excluded companies
two billion and OVA. Why because they saw the money, they saw the
volume. Now remember Anywhere which is Cordwell Bank of souths Corkman, I'm probably
missing some era. They're done eighty three and a half million, Remax is
done, fifty five million. Wait, hold that thought. We got to
go to break. I'm Sinny Stumbling listening to his nails on WBZ News Radio
ten thirty, sponsored by Floor and Decor, National Lumber and Village Bank.
They call it. He called the test as one two three, it's a
fantasy music and Stumble you let's set toughest nails on WBZ News Radio ten thirty.
Sammy, you hear Michael saying, Okay, Michael, go ahead.
Every company's paying out this type of money. Will this put some of these
companies under no because they can pay it out over time. Kenny Ars paid
out over four years. I don't know the particulars on Anywhere Remax are Keller
Williams. Well, commercial markets down, commercial markets getting killed right now,
So they're gonna have to pay those out of residential in the housing christ they
are primarily residential real estate firms now numbers down for these guys where there's not
enough product to sell right now, we're seven million houses short right now in
America. Well, you know, I have to tell you I think and
getting I have so much admiration for our broker own or anybody that owns a
real estate company. Now, and let me let me tell you. Why
do you pick your favorite restaurant? Okay? Okay? Do you think if
it's payroll with seven or eighty percent, it would still be in business and
still be able to deliver the services you expect. Okay, So if you
look at the model, the brokerage model right now, they're paying mediocre agents
seventy percent. They're paying good agents eighty ninety nine O agents that have one
hundred percent, right, go figure out. But they're there, lost leaders.
Call it what you will. And so how do these companies make money.
It has to be at overhead volume, crazy volume, transaction fees,
ancillary revenues. But it is a long dollar I don't miss it. Quite
frankly, I don't miss owning a brokerage from Yeah, you don't have the
overhead, no, because if you take what you make, it's a lot
less when you're paying the rent, electric, the bopa BA. Well that's
why you know, I'm fortunate, because I think we've got one of the
best operators. What you say is that they're not wholdy enough on your brokers
to cover this lawsuit. Well, the franchise owners, I don't know the
particulars. I don't know whether anywhere, Okay, who settled for eighty three
million, I don't know. I have no idea whether they went to every
one of their franchise owners and said everybody for you. I'm not privy to
that, and I don't know, Well you would it would be fifty five
million. You know they do a calculation, all right, you know it's
thirty you know, I don't know, but I have to assume they're going
to share that cost. I would think so if that the plaintiffs would not
settle, and less the un less the firm settled, which is the ones
I just quoted. But they captured a two billion, And I know why
they captured a two billion because Raves, Huge, Compass, Huge, Howard
Hannah Huge. These are front law, very large law firms. And this,
this is not over, This is far from more on what segment of
our show right now? Third third? When third se this show right now?
And I'm still lost on why this lawsuit happened? How can that be
possible? My brain comprehends here you and not alone. Okay, because fundamentally,
the two fundamental changes, which still have to be approved of the judge,
is that two fundamental changes are we cannot list the buyer agent commission in
our MLS that the seller is willing to pay. That. They didn't say
the seller can't pay the buyer's commission. And they didn't say the seller can't
pay some closing costs for the buyer. They said we couldn't put it in
mlose it something it's transparency. So what happens why Sam so Globe Michael has
one A Street an MLS? Now you know Michael is paying Sam two and
a half percent to bring Michael Abia Because it's transparent, it's disclosed. They
thought it was price fixing. They thought that's what the beginning of this loss.
It was elb So. Now Michael has to take that out. So
Sam, who as a buyer, doesn't know how the buyer is going to
pay her. The buyer either has to pay her the three percent yep,
the buyer has to pay her a flat fee, or she has to call
Michael and say, Michael, are you paying a buyer agency? Or the
public's going to have be able to get right into MLS and find out who
the sale who the selling broker is. That's how Zilla is anyway, Well,
let's they can do that now anyway, Well, most do that then,
well, and so they'll go directly to the listing agent, and then
the issue becomes you create dual agency, right, and you represent that person.
Sometimes I like the be another side. Yeah, sometimes you like the
other person on the other side. Well, listen, here's my rational to
always pay brokers. You're not alone and scratching my head. Well I can't.
I'm still scratching my head. But sometimes you need that buffer. Oh
yeah, okay, So people going head to head with each other never seems
to work out. Well, somebody's got to be the buffer. Let me
give you a number. Okay, here's what I have found out in thirty
six years, which I don't like like is when brokers lie to each other
that I have a problem with. You're gonna understand. You're representing me,
you're representing him. Guys, figure it out, come together, bring us
to the table together. But again, when I not to not to crap
on brokers, I'm not gonna do that. But the same game started after
oh eight, like everybody forgot the old market where oh eight nine ten eleven
business just dumped and then we went right back to final and best, Final
and best like oh eight nine, ten eleven twelve didn't happen, right back
to the same games. Those games I don't like. So with Samantha,
I'll always say to her, who's the first person I made the offer?
This is who made the first off. Mom, that's who gets my deal.
Do not go back and ask her final and best put the deal together.
I'm probably too transparent, but it makes my life easier. Here's how
I see it, like ethical, Here's how I say, Michael, if
you made the offer on the house and the second off is right around the
first offer, or maybe the same amount of money, or maybe asking the
same thing, I always say to sam who made the first offer, This
is who made It's business. That's who gets it. Let the second buyers
know. If the first buyers fall apart, it's going to go to them
or the third buyers. I don't pick and let her play god out there.
They put pen to paper first. These people came in ten minutes behind
or fifteen minutes behind. Go the first people. She knows that right,
But then she'll have clients that I will say, Sammy, go back for
another round. Sam go back for another round. And I say, Sam,
you can play that game. But when that game is done being played
again, you're going to get that reputation being a scumbag broker like the rest.
So I suggest you don't play that game. You do what you want
to do. I hate that game. Yeah, And I think what a
lot of people don't realize, especially when you get to a high level of
brokerage, is that your relationship with out the brokers is equally important, if
not more than any client. I agree well hardily on that one. So
Tommy, Michael, why and we're in the fourth segment. Who made out
in this? The only benefit that I see to this is the brokers that
pick and choose not to bring your client to that based on the commission.
Well, because now they don't know what it is. Right, that's the
only benefit. Like I've had an't tell me. Everybody talks about transparency,
and we just pulled a big portion of the transparency out of this. Going
back to the same analogy, Michael Carucci has a property for sale right now,
Sam knows exactly what I'm willing to pay her from the seller before she
calls me with a buyer. So the whole thing really is, if Sam
was offering three percent, Let's say you and I were both builders, You're
offering a broker two and a half percent. With your broker, I'm offering
three the buyers, Broke is going to show my product before yours. Yeah,
correct, that's what the lawsuits about. Correct, who's ever paying the
most money? But if I like if what they're saying what they're saying builders,
I'm Stumpo Builders, I like your house better that Broke is not going
to talk me into buying Stumpo's house over Krucci's house. But it happens a
lot unless they make stuff up. Oh okay, okay, there you go.
Especially when there's a language barrier, it happens a lot. I think
you underestimate the influence of representation brokers. Yeah, I never thought about that.
Mike, my client wants to see you, because I think everybody's a
leader, not a follower. But you're only offering one point five on a
nine and a half million dollars. See, he's going to say that again.
So I had a broker straight up tell me he won't show my listing
because we're only offering one and a half a nine point five million, because
it's not enough money for him because he's going to pay referral FIA, right,
and that's his fiduciary with his bio. It's and so is he representing
his bioethically and fiduciary? No? No, And then I kind of understand
the lawsuit. It's because people are doing things that are unethical here to make
more money. And that's probably a small part of it, okay, but
that small pot causes massive lawsuit. So maybe it's as small as y'all think.
I think some smart technids to think about it. While we go out
to break Sidy Stumbley, What's the Toughest Nails? On wb Z News Radio
ten thirty. There you go, sponsored by new Brook Realty Group, Boston
would smaller insurance World Auto Body and Tosca Drive Auto Body. Boy, man,
it's just the day away jumping his nails on WBZ News Radio ten thirty
and I got a loud studio going tonight. Okay, go ahead, you
two, you're out there. What do you guys talking about Sammy's boyfriend?
If I'm dating, what does that have to do with this? Our last
segment, we got the same club question. We answered itparently. It's okay,
all right, So now I'm start to get to the bottom of this
lawsuit. It was if Couci's got a house for Salem, Couchi's a builder,
Stumpo is a builder. Sammy's the buyer's burger. You're paying three percent.
I'm paying two and a half percent. Good chance Sammy's going to take
the buyer to your house, might show both, but convince the buyer to
buy yours is they're going to make three percent. Have I summed this up
now? With this lawsuits about I think there's a portion of relevancy there,
but I think big picture of stuff, the argument is because remember the sellers
with the plane of seir. The argument on the cellars, the sellers put
this into motion sellers. That makes sense because the sellers with a plane of
sair, and they're saying, collectively, is this like Donald Trump running this
show or something that we're getting collectively, we collectively take, you know,
take three billion dollars whatever the numbers are, collective collectively over the sellers were
upset. The sellers with the plane of sale in the best sale market in
the last five six years, seven years were then complaining about that they paid
an extra premium, let's say, two or three percent because they were required.
I'm I'm back to the first segment. I'm confused again. So now
I'm confused again because I think they've got taken advantage of because they have to
pay the buyer. Is it? It's been like that forever? But essentially
it's also the same. The ruling senses they don't they don't have to now
they don't want to, Okay, but hold on, But who's going to
bring the buyer to all these companies when this is the way it's been forever?
Now you got me confustic, and I thought I had this all figure
out. If you think about it, like you can say the seller's paying
it, but really the buyer is actually paying it because they're the one buying
the property because it's built in, right, so it's the same thing.
But it doesn't matter. This is the way it's been forever. But what
I was told is that you can no longer mortgage the buyer's broker commission now
into your number. Well it's not because it's not part of the purchase price.
Well, depending on how you structure it, right, but there.
But someone had told us that if you can't put that into the purchase if
if who puts on the purchase price, no, you can't. What Sammy
is saying is that if you go into a deal and a sell assays this
medium price half a million dollars, I'm gonna tell you, Michael Carucci,
I'm going to list with you for three percent, and the buyer is going
to have to get their fee from the buyer. And clearly not something I
would recommend because you're gonna lose half your buyers to your house. But let's
just say they said that, then that buyer, Sammy has the buyer and
the buyer knows Sammy, I can't pay you, my seller won't authorize it.
I'm set with just the listing fee, I wish I could help you,
but they're adamant mistake. By the way, he would never do it,
but they have that right to do this, ok not broke as sellers
us. Okay, well good luck to them. So now Sammy has to
like, how am I gonna get paid? She either one goes to the
buyer and say you need to pay me three percent. How is that policeman
and fireman and workforce housing buyer who just saved for years to get his down
payment, how is he now going to be able to pay Sammy? He
can't finance it because the banks won't allow it. Right, you can't mortgage
that after That's what was trying to teach you, right, That's what I'm
saying. So this threes right now. Under these rulings, there are three
options for bias agents, and one of them is predicated on the seller position
on whatever house they like. The seller can still agree, as they should
in my opinion, to pay a bias fee. We just can't put it
in MLS. Okay, here's my next question. What if the selar broke
is not saying, well, we're only going to pay you two and a
half percent now because it's not going to be a buiers broke on the other
end, you know that's coming at you guys, don't you, And we
will say that is your prerogative. But Yoga, in my opinion, you're
going to lose a massive amount of bias that won't look at your home because
they can't afford to pay Sammy, or they'll try to come direct, which
we were getting to that about is this going to get rid of buyer agency?
I don't think eighty seven to ninety percent of all deals done last year
had a bias. Okay, So Cindy Stumpo sees something on Zillow that Mike
she has. Why is Cindy stump On? I don't know, because your
people go on zillo she's playing dum game. I'm playing hypothetics. Well,
don't mention. Okay, I go online. I see that you have a
house for sale. Okay, I'm not going to call my broke. I'm
just going to call you directly. Why aren't you doing that now? Because
I like representation? Okay, there you go. Okay, but you don't
know and I need hold on. But I need to know about and look
at six seven houses at one time. Here's the difference if you looked at
that house right now, you could go on MLS and you wouldn't know if
I was willing for my seller to pay your agent compensation so you could make
an informed decision. I want my own representation because it built out that what
are you eating, muskets. The whole thing reminds me how of when people
have rental listings and how they don't want to co work, but they just
put it on Zillow and they don't put it on MLS because they don't want
to share the fee. That's exactly what I think. But I don't like.
But I don't like about this ruling said. It takes away transparency on
right now, whether you like it or not, whether you believe in the
settlement that it it unfairly affected sellers that and they had to pay more.
At least you knew, okay, if I put a property and I would
publicly say in our database, I will pay you two percent. I'll pay
it whatever the number is. You knew, you knew before you call it.
Now you have to do it behind the behind them. I got to
make a call, and what can happen there? Oh? I love Sammy.
Of course I'll give you half the money. But what if somebody calls
you don't I wouldn't do it. But look at the problems that could exist
somebody that you don't like doing business not it's just human nature. No,
i'll give you one I'll give you one percent, I'll give you three percent.
Because it's arbitrary. So it's going to be dictated ship by the seller's
broker. But I feel like sellers are going to start saying things which they
taught us you can't do in real estate. Oh, if you get me
one hundred grad more, sure I'll pay them. Yeah, that's called the
netlist. No, No, I think my personal opinion and this is all
past now. No judge as will prove it. It still hasn't passed judges
to sign off on it in Massachusetts, nationally, No, nationally. Do
you think the judge is going to pass us? Probably? Probably? Yeah,
And that I thought in July, this this becomes in Massachusetts in MLS,
there's they're they're projecting mid July that they will take it's business as usual.
People don't realize that it's business as usual. Will this settlement drive prices
up or down? Or stay local? Stay where we are not local,
but stay level. What's going to happen here? I think this settlement is
going to be irrelevant to price failures. I think price vailures are dictated by
supply and demand and maket conditions. And we have no supply right now,
and as a result that I don't see prices dropping at all. And you
know, supply is going to become a problem because the average America has American
has a mortgage under three and a half percent right now, and are they
going to trade up into a six seven percent mortgage? Well, you know
that's a good question, Cindy, and the easy answer is no. But
remember divorced job relocation people will always comes into play, right. The people
got promotions, they want the lodger home. It's you. You're absolutely right
that there are some people that aren't leaving those low mortgages. But you're not
leaving, but maybe you'd rent it. I think you're going to see a
lot of landloads keep those single fields come in. I think that's Homeowe is
going to become landloads, right. I think that part of the population exists,
but I think it's smaller than most people think. What do you think
the percentages I looked into it. Do you know the percentage of twenty Americans
that have a mortgage under three point something? No, it's over sixty five
percent, is it really? Yeah? Google it? That's somebody google it.
Under three percent, you know, three and a half percent. Somewhere
between three and a half two seventy five to three and a half percent.
I think it's sixty percent of Americans, sixty percent of homews was it?
It's yeah, two nine nine come two nine ninety. Okay, it's somebody
google it. Okay, she's googling it. Okay. One of the biggest
misconceptions Oh okay, he's sticking the clock in front of me. Biggest misconceptions
related to relative to the settlement. Oh that relatives child is standard six percent
commission. That couldn't be further from the truth. Okay, we got ten
seconds that sellers cannot pay the buyer agent commission that has not been ruled on.
We cannot list the buyer agent commission. And I think those are the
two biggest ones. Okay, ready it does more than three quarters of homeowners,
which is seventy eight have a mortgage rate below five percent BINGO, well,
nearly six and ten fifty nine point four percent mortgage below four percent.
Just twenty two point six percent have a mortgage below percent. He was right,
okay, but just still on the five right, Okay, I gotta
go to break. I'm city stumbling. You listen to Yeah those Days Long
Gone, twelve percent will reaches get one percent a month. It's a city
stumble. You listen to Tennas Nails on WBZ News Radio ten thirty. I'll
be right back and welcome back to Tafa's Nails on WBZ News Radio ten thirty.
And I'm city STUMPO and I'm here with Samantha Stump. I'm here Mike
Carucci. Mike, you need to come back again because listen, buddy,
I have no clue what we just talked about. Okay, one hour,
I'm still at zero. Okay, maybe I know one percent of why I
win this lawsuit. How do people reach you? You? Sindy gets Michael
Carucci Michael Carucci dot com and my Instagram handle Michael Carucci. And thanks for
having me, love it anytime. Mike's been a friend of mine for years.
I have a great Satay night. We'll see you next weekend. This
is Cindy Stampo WBZ News Radio ten thirty