May 5, 2025 • 23 mins
What makes a successful offer in today's ultra-competitive real estate market? Contrary to popular belief, the highest bid doesn't always win—and that's just one of the eye-opening insights Angelo and Chris share in this candid conversation about New York's real estate landscape.
Drawing from their recent experiences with packed open houses and same-day sales in Queens, the hosts take you behind the scenes of a market where properties are receiving offers before buyers have even stepped inside. Their upcoming open house near JFK Airport perfectly illustrates this phenomenon—a property attracting both first-time homebuyers and investors due to its prime location just minutes from the terminal.
For those entering the market, Angelo and Chris break down the critical differences between co-ops and condos, explaining why co-ops typically sell for half the price of comparable condos ($100k-200k vs. $300k-400k) but come with stricter qualification requirements. They discuss closing costs (4-5% of purchase price), equity building, and how today's buyers approach properties differently than during the 2-3% interest rate era of the pandemic.
The conversation shifts to the upcoming FAIR Act implementation in June, which will transfer broker commission responsibility from tenants to landlords in rental transactions. While designed to reduce upfront costs for renters, the hosts speculate about potential consequences, including rent increases as landlords seek to recoup these new expenses. They round out the episode with practical advice about buyer-broker agreements and the documentation now required before property showings.
Whether you're buying, selling, or just curious about real estate dynamics, this episode delivers valuable insights from professionals witnessing market trends firsthand. Subscribe to hear more candid conversations about navigating today's real estate challenges!
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Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Speaker 2 (00:08):
Welcome everybody to Suit Up with Baez.
We've lost track of the episodenumbers, so again, we'll just
figure that out after posting.
Yep, my name is Angelo and myco-host today is Chris.
Chris, Awesome man, now you'rebecoming a recurring co-host.
(00:30):
I'm working on it, Working onit.
Speaker 1 (00:32):
It's tough, but it'll be very consistent.
Yeah, how do you feel, though?
I'm feeling well, man, youfeeling well Can't complain.
Speaker 2 (00:39):
Yeah, what about the season right now?
The season For, for allergyseason.
Speaker 1 (00:45):
Oh, that's the worst, man, it's the worst.
Yeah, I can't.
I can't go outside.
You see me running nose orcoughing.
Yeah, running eyes, my eyesjust watery what about allergy
medicine that doesn't?
Work either.
That doesn't work.
Yeah, that's the.
You don't know how much.
What about allegra?
All, all of that?
It doesn't work for me, gotcha.
Speaker 2 (01:06):
I'm one of the rare people that doesn't get
allergies.
Speaker 1 (01:08):
Oh man, I wish I was one of them, man, yeah.
Speaker 2 (01:12):
And that's sad, though, because you can't really
experience the summer as muchas other people you know no.
Speaker 1 (01:18):
Not at all.
What if you go out to a placewhere there's not that many you
know trees around and stuff likein a cruise?
Uh, that helps.
Speaker 2 (01:30):
Maybe it helped, I would say but I haven't been in
the cruise for a while, so I'mnot the most.
Speaker 1 (01:32):
Last time you went on a cruise, I know you, you went
on a cruise I've been the cruise, probably two years ago, three
years ago, yeah, and how wasthat?
Oh, it's fun, it's fine.
It's fine, especially my firstone.
That was the best one, reallyNot all of them.
Where did you go to?
I think I went to the Bahamas.
Speaker 2 (01:50):
The Bahamas, yes, nice.
And how much was it?
Was it expensive?
Speaker 1 (01:54):
No, not at all.
No In total, because we had todo a flight to Orlando and it
was maybe total $700 to $900.
$700 to $900.
So that's the cruise, that'sthe hotel, that's the plane.
Oh, wow, so everything included.
Speaker 2 (02:13):
Yes, Essentially.
Wow, that's not bad.
That's not bad.
It was five days.
Five days, yes, Honestly.
Yeah, that's not bad at all.
I was going to ask what kind ofactivities did you have in the
cruise?
Speaker 1 (02:24):
Yeah, that's not bad at all.
I was going to ask what kind ofactivities did you have in the
cruise?
Just hanging out, going to thecasino play a little bit?
There's nothing to do.
Once it's nighttime, there'snothing to do.
Speaker 2 (02:34):
Is it really dark at nighttime?
Speaker 1 (02:34):
Yes, it is dark, you can't see nothing at all.
Speaker 2 (02:38):
How did you feel when you first saw that sight at
night?
It was scary.
Speaker 1 (02:42):
It was scary Because you're just like in the ball,
like it's just going back andforth like that and you can't
see nothing.
It's just darkness, it's justyou, the boat water that's it.
Speaker 2 (02:56):
Oh man, did you see any animals while you were over
there in the cruise?
No, no I was gonna ask you.
Tomorrow we have an open house.
Speaker 1 (03:04):
Yes, we do.
We have an open house in JFK inQueens.
Speaker 2 (03:09):
That's right, that's right, the market is nuts over
there it is.
We did another open house rightrecently.
Speaker 1 (03:15):
Yeah, like two weeks ago, and the open house was very
busy.
Oh, it was incredibly busy.
Speaker 2 (03:21):
We had to tell people to slow down.
Sign in, don't just go in thehouse, roam around, go all crazy
.
First sign in and then you cango around the house.
Yeah, because we got to makesure that we know everyone
that's coming in there because,god forbid, something happens,
we need to be sure that we haveeveryone's information yes, in
total it was, I think, 30 buyersthat went, and we had a lot of
(03:45):
offers in as well, right, sowe're very happy.
Oh yeah, we got that propertysold right on that day.
Yep, yeah, so many offers camein and we always tell all of our
sellers right, the first offersare the best.
So you grab the strongest offerand you go with it.
And what does a strong offermean?
(04:07):
It doesn't mean that it's thehighest offer.
It means that it's a mix ofboth a really high offer and a
really strong terms andconditions as well.
Yeah, every point.
Yeah, because some of ouroffers have been incredibly high
.
But sometimes you know the downpayment might not be the best.
And sometimes sellers getworried because you know what if
(04:28):
something happens in the housefor instance, appraisals.
You know sometimes theappraisal can come in and
there's a difference there, butsometimes you know banks might
waive that if you put more than20%.
Speaker 1 (04:41):
Correct yeah.
Speaker 2 (04:42):
I think you had that happen.
Speaker 1 (04:44):
With one of our homes .
Yes, they waived the appraiserbecause of a down payment Right
and the comms in the area.
Speaker 2 (04:51):
Exactly.
That's such a huge benefit whenyou're putting down.
If you have enough to put downmore than 20 or 20% they might
even waive the appraisal.
So you might just get it rightthen and there like that.
Speaker 1 (05:02):
Oh yes, and the sellers be happy, the buyers be
happy.
Speaker 2 (05:05):
Everyone's happy, yeah, but that's if you got the
money right.
No, yes, yeah, if you don'thave the money, not a problem,
because you're still going to bein there trying to compete.
The only thing is that I thinka lot of people are not aware
that the strongest offer issometimes not the highest offer.
(05:25):
You had deals like that whereyou were, without a doubt, the
highest offer, but it's justsometimes agents are telling you
you might not have the bestdown payment as well.
Or terms or terms yeah, becausesometimes you need to protect
your client, no matter what?
Speaker 1 (05:37):
Oh, yes, 100% yeah.
Speaker 2 (05:39):
And you just can't be waiving all the conditions that
they want and stuff can't bewaiving all the conditions that
they want and stuff?
Speaker 1 (05:46):
not at all, because you're working for best for your
client.
Speaker 2 (05:49):
Exactly, not the seller.
Exactly.
If you're the seller uh, you'rethe seller's agent then you
want to remove as manycontingencies from the buyer
which we do understand fromtheir point of view, but we work
best for our clients exactly so.
It's just a back and forthtrying to get into the middle
ground, basically, but when?
But?
When it's a very hot house, youknow, in a good neighborhood.
It's just sometimes you got todo what you got to do.
Speaker 1 (06:10):
Especially day by day , the ready-to-sale markets keep
going up.
Speaker 2 (06:14):
Yeah, the prices just keep going up and up and up.
That's what we've seen a lot.
This upcoming open house, howdo you think it's going to go?
Speaker 1 (06:22):
Oh, it's going to be nuts In open house.
How do you?
Speaker 2 (06:24):
think it's going to go.
Oh, it's going to be nuts.
In other words, you think we'regoing to sell it in one day as
well.
Oh, yes, yeah, yes.
Speaker 1 (06:28):
Especially, there's been already over 30 to 50 calls
on this home.
Speaker 2 (06:34):
And you're getting the calls.
Speaker 1 (06:37):
Yeah, I've been receiving so many calls.
But I understand from theirpoint of view.
They want the home and theywant to see it right away.
Speaker 2 (06:46):
What's the most common type of buyer you get
calls from for that home?
What do you mean common?
Is it like a, like a buyer forthemselves Investors?
Speaker 1 (06:55):
So it's a mix of both it's first time buyers and also
investors, because it is agreat opportunity to buy a home
Right Two minutes away from JFK.
Speaker 2 (07:05):
Yeah, that's an insane home, especially if
you're like just trying to get ahome in New York and you live
somewhere else and you just wantlike a home to kind of, like
you know, reside in New Yorkwhen you're here.
Perfect home for that, becauseyou just get out of JFK and
you're right there.
Speaker 1 (07:21):
Yeah, it's two minutes and location is big in
that a little circle by the jfkyeah, it's gonna be crazy.
Speaker 2 (07:29):
And well, the reason why I asked you what type of
buyer is because I know I thinkyou've been getting a lot.
You've been getting a mix ofboth, but I think you've been
getting a lot of investors aswell yes yeah, that's true,
because that area is so hot todo an investment property,
because, like we said, rightnext to JFK.
Speaker 1 (07:45):
Oh, yeah, Especially if the zoning you could build
more on top of the house.
It's a great opportunity for adeveloper and investors.
Speaker 2 (07:56):
Yeah, no, absolutely.
So that thing is probably goingto be gone.
We're probably going to do likehighest and best as well.
If we get so many offers, wemight do a highest and best by
well.
If, uh, we get so many offers,we might do highest and best by
monday and see what happens.
We're probably gonna get thatsold immediately.
Oh yeah, yeah, absolutely.
So that one's gonna be gone.
I can already picture it's gonewhat is your prediction?
Speaker 1 (08:17):
how many people you think is gonna go to the open
house?
Speaker 2 (08:20):
I want to say at least 20.
20?
, at least 20.
Okay, bare minimum 20.
Yeah, because the area is good,the price is good.
It's just, it's a formula forsuccess for a bidding war.
That's what's going to happenin that one, that one is going
(08:42):
to get for sure a bidding war,especially since we've already
seen people try to submit offerswithout even seeing the home
that is true.
Speaker 1 (08:50):
Yes, I've received already like 10, 10 offers.
I haven't even seen the home.
Yeah.
Speaker 2 (08:57):
Oh man, it's going to be crazy.
It's going to be crazy.
Let's see Kudos to you if youget the home.
But yeah, I mean, if you'reinterested in the future to list
a home in Queens, me and Chriswould be more than happy to help
you with that.
Oh yes, Talk about the pricingand everything of the home.
But yeah, prices have beengoing up tremendously, Like I
(09:18):
think from my experience right Ithink a lot of people are
gravitating towards moreaffordable options in homes like
co-ops and condos for theirstarter home.
Are you seeing that as well?
Speaker 1 (09:29):
Yes, yes, especially.
That's probably going to be myoption as well.
Yeah, to buy a condo first?
Yeah, what other co-op Withco-ops?
They're more stricter with thelaws and there's a lot of
paperwork.
Yeah, honestly, a condo is moreeasier.
You have ownership, as in co-op, you don't have ownership, you
(09:49):
don't have shares.
So that's the downside with aco-op.
But with a co-op it is moreaffordable Right Than a condo
Condo usually be $300,000 to$400,000.
And with a co-op it'd be like$100,000 to $200,000.
Speaker 2 (10:04):
Absolutely so.
You're almost paying double fora condo as opposed to a co-op,
because a one-bedroom can runyou $200,000 when a co-op can
run you $100,000.
Speaker 1 (10:14):
Exactly yeah.
Speaker 2 (10:15):
And the reason why you pay that much is because
it's such an easier time to getinto it, as opposed to a co-op
where they're going to requireyou to have a really good credit
score.
Yeah, dti required to have,like, a really good credit score
yeah, uh, dti that's less than33 a lot of the times.
Minimum down payment of 10 to20, although that happens in
(10:37):
condos as well.
Speaker 1 (10:37):
Yeah, so in westchester county in the bronx
usually be like 10, 10, I think,upstate new york or like orange
county, I think they don'trequire any down payment like a
minimum down.
Speaker 2 (10:50):
Yeah, yeah, because that's what we're talking about.
So when we say like a downpayment, it's like the minimum
down payment that you need tohave to qualify for that.
Home co-ops usually are 10 to20, although we've seen some
that are even below that, butvery% 9%.
So you always got to verify,but the general consensus it's
like 10 to 20.
10 to 20.
Speaker 1 (11:10):
That's the average yes.
Speaker 2 (11:12):
Yeah, so when you go look at a co-op, it's best to
say that you're probably goingto pay 20%, just to be on the
safe side, just know what thosecosts are.
Right, yeah, and that's notincluding closing costs.
That's not including closingcosts.
How much would closing costs beFor?
Speaker 1 (11:26):
New York.
It's an estimate of 4% to 5% Of.
Speaker 2 (11:29):
Of the sale price, of the sale price Gotcha, 4% to 5%
of the sale price for closingcosts.
So what does closing costsinclude?
Speaker 1 (11:37):
So it includes, like title appraisers, your
attorney's fee and otherinspection.
Speaker 2 (11:45):
Yeah, anything having to do with closing on the
property.
That's what you're going tospend it on.
So the first closing cost thatyou get right off the bat is if
you have uh inspectioncontingency, that's probably
going to be the first closingcost you're going to incur the
inspection itself just know wheninspection is, you have to pay
in front.
Speaker 1 (12:05):
It's not closing, right you?
Speaker 2 (12:06):
have to pay that, but that is part of the closing
cost, correct, because you needthat in order to close on the
property.
So anything having to do withclosing on it, that's what we're
talking about when we're saying4% to 5%.
Now, 5% is on the high end, butyou know it's better to.
Speaker 1 (12:22):
Go high end and low.
Speaker 2 (12:23):
Yeah, just in case the numbers does change right.
Rarely does it go to fivepercent, but it does happen, it
does happen.
So, yeah, that's that's one ofthe things we've been noticing.
Co-ops and condos are actually,you know, getting a lot more
attention right now because,like we said, when you're first
starting to look at homes andstuff, you're trying to get away
(12:44):
from rents and and all of thatstuff, so to be more stable and
stuff.
People go for co-ops and condosbecause they know that it's a
fixed amount, right, of coursethey have to pay, like hoa and
stuff, but it doesn't fluctuateas much as rents, because rents
can go from one thing to likeanother thing yeah like double,
especially in manhattanManhattan.
Speaker 1 (13:05):
Oh yeah, Wow.
A studio will be 3,000, 4,000or more.
Speaker 2 (13:10):
Yeah, and it's not even in the best condition,
sometimes Like it's bad,sometimes Like you're not
getting the best.
Speaker 1 (13:17):
Yeah, sometimes you have to fix it up before you
move in Exactly and again.
Speaker 2 (13:23):
Whenever we hear people wanting to get their
first home and stuff, they'renot just trying to get away from
the rent and the unexpectednesscoming from rents, but also
they don't want to feel likethey're throwing their money
away.
Speaker 1 (13:35):
Right as well, yeah.
Speaker 2 (13:37):
Because when you get a co-op or condo, you're also
building equity in the home andthat's a big thing.
That means you're not reallythrowing the money away that
you're paying.
You're like sort of storing it.
So like when you want to likeuse that money, you can do a
refinance or something like that, or sell the property and
whatever you've already paid onthe loan for the principal.
(14:00):
Because there's two thingsthere's the interest that you're
paying and then the principal,whatever you've paid for the
principal.
Then you're going to get backonce you sell it yeah, might as
well the other things like thefees and whatnot.
But you're essentially storingyour money away somewhat when
you're paying it.
So it's not like you'rethrowing it out like in rent.
That serves no purpose.
You're just oh yeah, not betterno equity yeah, exactly, and,
(14:24):
even worse, that the value thatyou're getting from the home
isn't increasing either, becausenot only are you getting equity
, but you're also gettingappreciation on the property.
Yeah, which is so importantbecause we, like you, remember
COVID.
Speaker 1 (14:38):
Oh yeah, covid, and that's when the market changed a
lot.
Speaker 2 (14:41):
Yeah.
Speaker 1 (14:42):
Everything was on high ends best within a day or
two.
Speaker 2 (14:46):
Yeah, and did you see contingencies in COVID?
Speaker 1 (14:50):
So that time I was starting my real estate career
and yeah, they were waving allthat, they were paying the
difference or the bank wavestheir appraiser it was hectic.
No one ever seen interest ratesthat low 2.7 or 2.5.
Speaker 2 (15:06):
It was insane.
You've never seen anything ratethat low, 2.7 or 2.5.
It was insane, Like you'venever seen anything like that.
And, just like you, I startedaround that time as well.
So I was like wow, that's crazy.
These stories of people justwaiving everything.
It's like is this the norm?
This cannot be the norm.
Like this is crazy.
I think we've heard storiesabout like lenders having to get
like six assistants and stuffbecause people were like
(15:29):
refinancing, they werepurchasing, they were doing a
whole bunch of crazy stuffduring that time.
Speaker 1 (15:33):
Right, yeah, I wish I had the money and opportunity
to buy, but I didn't.
Speaker 2 (15:40):
Yeah, but those opportunities are going to
present themselves in the future.
Right now we're just a littlebit on the high end, right.
So I think the people thatwe're looking at and working
with are more conscious aboutwhat they, what they can afford
and all of that, than they wereback in like the two percent,
because at two percent, like atthree percent and such people
(16:02):
are just buying, buying, buying,buying.
They're like I don't care aboutthe payment because it's gonna
be so low, low, let me just pop,pop, pop pop, oh yeah,
especially when I hear peoplethat already own the home in
2020.
Speaker 1 (16:13):
They say, oh, my interest rate is 2.7 or 3%.
I'm like don't ever sell yourhome, do not sell.
Refi, yeah, refi.
Speaker 2 (16:32):
But what are you thinking about?
The people?
I guess the only people we'veseen that sell their homes at
two to three percent or whateverare like when they really need
to relocate, like that is truethat is true like, for example,
their workplace just moved toanother state and stuff now it's
like man I have to go.
It's like such a pain for thembecause imagine you're moving
(16:53):
from three percent to now likesix, seven yeah, triple the
amount.
Oh my goodness, I can onlyimagine the hardships.
But it is what it is right.
Hopefully the rates go down andyeah from there you always do a
refi yeah, but we have seen that, despite the the rates being so
high and a lot new listingscoming out, there's a lot more
(17:15):
inventory that than there waspreviously.
From what I'm experiencing aswell, and even though there's a
lot more inventory coming in, uh, there's still such a big
demand and prices are stillgoing up.
So, yeah, some people are alsoopting into still renting, you
know, and for those renters,there's a law in june that's,
(17:39):
yes, taking place, which wasalready passed, I believe, last
year, but it's going to betaking full effect on June, I
believe.
Speaker 1 (17:48):
Yeah, so they need 180 days to be in effect which
is in June.
How do you feel about landlordis now required to pay
commission, then a tenant.
Speaker 2 (18:01):
I think how that law works right from what I have
read, is that the broker whoeverhires the broker right, which
is going to be the landlordthey're responsible for the
commission.
So in this case, it's going tobe the landlord hiring a realtor
.
They're going to be responsiblefor the commission to pay out
to the broker.
So potentially why this lawcame into effect I think it's
(18:27):
called the FAIR Act it'sbasically to save money to the
tenants looking for homesbecause they had to pay a
broker's fee, and it wassometimes ridiculous amounts of
money.
Like you're just trying tosearch for an apartment, you
don't want to pay an additionalcost, you know?
Speaker 1 (18:44):
oh yeah, it'd be a month, maybe a month and a half?
Yeah, that's right.
Then you're spending almostmaybe 10 000 just to move in
yeah, that's not the down, thesecurity deposit and all that.
Speaker 2 (18:54):
That's just like wow, that's just you're paying that
out front, yeah, which is crazy,but crazy, but it is what it is
right.
If you value your time and youneed someone to look for
apartments for you, then youhire someone like that, because
not everyone's going to have thetime to, like you know, look at
all these homes, see whichone's the best match and take it
(19:15):
from there, because they couldbe busy doing other things.
Take it from there because theycould be busy doing other things
, and so I think, in my opinion,people are landlords
specifically are maybe going topass those costs along to
clients, to tenants, byincreasing rents.
Speaker 1 (19:34):
Oh yeah.
So it is like Andrew said,there is going to be pros and
cons regarding this new law.
It is like Andrew said, thereis going to be pros and cons
regarding this new law.
With the pros, you know, thetenant is not going to pay the
commission to the broker, butsomeone, somehow a landlord is
going to try to Recoup thatmoney.
Yes, increase maybe the rent by$50 a month, or they're going
(19:55):
to do something.
Speaker 2 (19:56):
Yeah, it always is a balancing act.
They're always going to try tobalance it out how it was before
, somehow or another.
So it has good intentions, thelaw, but I think there's going
to be, like any other thing,unforeseen consequences as well.
But we'll see, maybe it's justgood, maybe now just landlords
(20:17):
are going to you know, pay thecommission, pay the commission,
pay the commission, that's it.
That's the hopes, right, justpay the commission and that's it
.
Of course they're going to haveto deal with like the brokers
are going to have to deal with,like explaining that to the
landlords and stuff, cause youknow, some landlords they're
very old school, they probablydon't know Every year new laws
do change, especially in a realestate career.
(20:38):
Oh, absolutely Everything.
Just remember when we had tochange to have them sign the
agreement before showing themproperties.
Speaker 1 (20:45):
Oh yes, Especially to buyers.
Speaker 2 (20:47):
Yeah, you were working with a senior lady who
was all about like she lovedworking with you, and then you
presented that thing to herbecause the date came and what
happened.
Speaker 1 (21:00):
Oh yeah, she was very upset and from there she was
like, oh no, I'm not gonna signa contract with you at all.
I'm like, oh no, worries, it'sjust knowing that any agent you
do work with you have to sign adocument with that agent.
He can't show you a housewithout the document.
All right, what else is?
They get a lot of fines rightand yeah, she was upset, you
(21:23):
know she went her way.
I went my way house without thedocument.
Speaker 2 (21:26):
All right, all right, all right, all right, all right
, all right, all right, allright, all right, all right, all
right, all right, all right,all right, all right, all right,
all right, all right, all right, all right, all right, all
right, all right, all right.
Even though you explain thebest you can, it just like comes
out of left field, right, yeah,and you're like what now I
gotta do this.
Why wasn't I doing this before?
Speaker 1 (21:44):
before, yeah, and it's just.
Speaker 2 (21:47):
It is what it is right.
We wish her the best, but wecompletely understand where
people are coming from, becauseeveryone was asking questions
especially when it came out yeah, because they're like, okay, I
gotta double check this withsomeone else, okay.
And then they double check andthey go like, yeah, it's true,
it's true, I can read it onlineand we're doing all this and
(22:07):
it's just a cultural shock.
Speaker 1 (22:09):
Yeah.
Speaker 2 (22:11):
Because they never had to sign anything before, but
now everyone has to signsomething, yeah, has to sign
something, yeah.
So if you go to see propertiesand you haven't signed something
with your agent, just knowthey're taking a risk.
Speaker 1 (22:23):
Oh yes.
Speaker 2 (22:24):
Yeah, no agent should be doing that.
No agent should be riskingtheir license for something like
that.
And that's why the agents willtell you like they cannot show
you properties until you sign adocument.
Right, it could be a singleproperty agreement or a
time-based agreement.
Speaker 1 (22:42):
Yeah, the buyer-broker agreement.
Speaker 2 (22:43):
Yeah, the buyer-broker agreement which is
time-based, instead of just asingle property one.
But if you're only comfortableseeing one home with an agent
before you kind of give them afull try, then you sign the
single property agreement and Ithink that's about it.
I mean, do you have anythingyou want to say to the audience?
Speaker 1 (23:00):
No, let's see how that new law comes with the
landlord and tenant and let'ssee how the real estate goes on
this year.
Speaker 2 (23:09):
Yeah, and maybe we will see some of you tomorrow,
even though this podcast will becoming out next week.
Yes, maybe we'll see you guystomorrow.
All right guys, have a greatone week.
Yes, maybe we'll see you guystomorrow.
All right guys, have a greatone.
Bye, bye, guys.
Welcome everybody to Suit Up with Baez.
We've lost track of the episodenumbers, so again, we'll just
figure that out after posting.
Yep, my name is Angelo and myco-host today is Chris.
Chris, Awesome man, now you'rebecoming a recurring co-host.
(00:30):
I'm working on it, Working onit.
Speaker 1 (00:32):
It's tough, but it'll be very consistent.
Yeah, how do you feel, though?
I'm feeling well, man, youfeeling well Can't complain.
Speaker 2 (00:39):
Yeah, what about the season right now?
The season For, for allergyseason.
Speaker 1 (00:45):
Oh, that's the worst, man, it's the worst.
Yeah, I can't.
I can't go outside.
You see me running nose orcoughing.
Yeah, running eyes, my eyesjust watery what about allergy
medicine that doesn't?
Work either.
That doesn't work.
Yeah, that's the.
You don't know how much.
What about allegra?
All, all of that?
It doesn't work for me, gotcha.
Speaker 2 (01:06):
I'm one of the rare people that doesn't get
allergies.
Speaker 1 (01:08):
Oh man, I wish I was one of them, man, yeah.
Speaker 2 (01:12):
And that's sad, though, because you can't really
experience the summer as muchas other people you know no.
Speaker 1 (01:18):
Not at all.
What if you go out to a placewhere there's not that many you
know trees around and stuff likein a cruise?
Uh, that helps.
Speaker 2 (01:30):
Maybe it helped, I would say but I haven't been in
the cruise for a while, so I'mnot the most.
Speaker 1 (01:32):
Last time you went on a cruise, I know you, you went
on a cruise I've been the cruise, probably two years ago, three
years ago, yeah, and how wasthat?
Oh, it's fun, it's fine.
It's fine, especially my firstone.
That was the best one, reallyNot all of them.
Where did you go to?
I think I went to the Bahamas.
Speaker 2 (01:50):
The Bahamas, yes, nice.
And how much was it?
Was it expensive?
Speaker 1 (01:54):
No, not at all.
No In total, because we had todo a flight to Orlando and it
was maybe total $700 to $900.
$700 to $900.
So that's the cruise, that'sthe hotel, that's the plane.
Oh, wow, so everything included.
Speaker 2 (02:13):
Yes, Essentially.
Wow, that's not bad.
That's not bad.
It was five days.
Five days, yes, Honestly.
Yeah, that's not bad at all.
I was going to ask what kind ofactivities did you have in the
cruise?
Speaker 1 (02:24):
Yeah, that's not bad at all.
I was going to ask what kind ofactivities did you have in the
cruise?
Just hanging out, going to thecasino play a little bit?
There's nothing to do.
Once it's nighttime, there'snothing to do.
Speaker 2 (02:34):
Is it really dark at nighttime?
Speaker 1 (02:34):
Yes, it is dark, you can't see nothing at all.
Speaker 2 (02:38):
How did you feel when you first saw that sight at
night?
It was scary.
Speaker 1 (02:42):
It was scary Because you're just like in the ball,
like it's just going back andforth like that and you can't
see nothing.
It's just darkness, it's justyou, the boat water that's it.
Speaker 2 (02:56):
Oh man, did you see any animals while you were over
there in the cruise?
No, no I was gonna ask you.
Tomorrow we have an open house.
Speaker 1 (03:04):
Yes, we do.
We have an open house in JFK inQueens.
Speaker 2 (03:09):
That's right, that's right, the market is nuts over
there it is.
We did another open house rightrecently.
Speaker 1 (03:15):
Yeah, like two weeks ago, and the open house was very
busy.
Oh, it was incredibly busy.
Speaker 2 (03:21):
We had to tell people to slow down.
Sign in, don't just go in thehouse, roam around, go all crazy
.
First sign in and then you cango around the house.
Yeah, because we got to makesure that we know everyone
that's coming in there because,god forbid, something happens,
we need to be sure that we haveeveryone's information yes, in
total it was, I think, 30 buyersthat went, and we had a lot of
(03:45):
offers in as well, right, sowe're very happy.
Oh yeah, we got that propertysold right on that day.
Yep, yeah, so many offers camein and we always tell all of our
sellers right, the first offersare the best.
So you grab the strongest offerand you go with it.
And what does a strong offermean?
(04:07):
It doesn't mean that it's thehighest offer.
It means that it's a mix ofboth a really high offer and a
really strong terms andconditions as well.
Yeah, every point.
Yeah, because some of ouroffers have been incredibly high
.
But sometimes you know the downpayment might not be the best.
And sometimes sellers getworried because you know what if
(04:28):
something happens in the housefor instance, appraisals.
You know sometimes theappraisal can come in and
there's a difference there, butsometimes you know banks might
waive that if you put more than20%.
Speaker 1 (04:41):
Correct yeah.
Speaker 2 (04:42):
I think you had that happen.
Speaker 1 (04:44):
With one of our homes .
Yes, they waived the appraiserbecause of a down payment Right
and the comms in the area.
Speaker 2 (04:51):
Exactly.
That's such a huge benefit whenyou're putting down.
If you have enough to put downmore than 20 or 20% they might
even waive the appraisal.
So you might just get it rightthen and there like that.
Speaker 1 (05:02):
Oh yes, and the sellers be happy, the buyers be
happy.
Speaker 2 (05:05):
Everyone's happy, yeah, but that's if you got the
money right.
No, yes, yeah, if you don'thave the money, not a problem,
because you're still going to bein there trying to compete.
The only thing is that I thinka lot of people are not aware
that the strongest offer issometimes not the highest offer.
(05:25):
You had deals like that whereyou were, without a doubt, the
highest offer, but it's justsometimes agents are telling you
you might not have the bestdown payment as well.
Or terms or terms yeah, becausesometimes you need to protect
your client, no matter what?
Speaker 1 (05:37):
Oh, yes, 100% yeah.
Speaker 2 (05:39):
And you just can't be waiving all the conditions that
they want and stuff can't bewaiving all the conditions that
they want and stuff?
Speaker 1 (05:46):
not at all, because you're working for best for your
client.
Speaker 2 (05:49):
Exactly, not the seller.
Exactly.
If you're the seller uh, you'rethe seller's agent then you
want to remove as manycontingencies from the buyer
which we do understand fromtheir point of view, but we work
best for our clients exactly so.
It's just a back and forthtrying to get into the middle
ground, basically, but when?
But?
When it's a very hot house, youknow, in a good neighborhood.
It's just sometimes you got todo what you got to do.
Speaker 1 (06:10):
Especially day by day , the ready-to-sale markets keep
going up.
Speaker 2 (06:14):
Yeah, the prices just keep going up and up and up.
That's what we've seen a lot.
This upcoming open house, howdo you think it's going to go?
Speaker 1 (06:22):
Oh, it's going to be nuts In open house.
How do you?
Speaker 2 (06:24):
think it's going to go.
Oh, it's going to be nuts.
In other words, you think we'regoing to sell it in one day as
well.
Oh, yes, yeah, yes.
Speaker 1 (06:28):
Especially, there's been already over 30 to 50 calls
on this home.
Speaker 2 (06:34):
And you're getting the calls.
Speaker 1 (06:37):
Yeah, I've been receiving so many calls.
But I understand from theirpoint of view.
They want the home and theywant to see it right away.
Speaker 2 (06:46):
What's the most common type of buyer you get
calls from for that home?
What do you mean common?
Is it like a, like a buyer forthemselves Investors?
Speaker 1 (06:55):
So it's a mix of both it's first time buyers and also
investors, because it is agreat opportunity to buy a home
Right Two minutes away from JFK.
Speaker 2 (07:05):
Yeah, that's an insane home, especially if
you're like just trying to get ahome in New York and you live
somewhere else and you just wantlike a home to kind of, like
you know, reside in New Yorkwhen you're here.
Perfect home for that, becauseyou just get out of JFK and
you're right there.
Speaker 1 (07:21):
Yeah, it's two minutes and location is big in
that a little circle by the jfkyeah, it's gonna be crazy.
Speaker 2 (07:29):
And well, the reason why I asked you what type of
buyer is because I know I thinkyou've been getting a lot.
You've been getting a mix ofboth, but I think you've been
getting a lot of investors aswell yes yeah, that's true,
because that area is so hot todo an investment property,
because, like we said, rightnext to JFK.
Speaker 1 (07:45):
Oh, yeah, Especially if the zoning you could build
more on top of the house.
It's a great opportunity for adeveloper and investors.
Speaker 2 (07:56):
Yeah, no, absolutely.
So that thing is probably goingto be gone.
We're probably going to do likehighest and best as well.
If we get so many offers, wemight do a highest and best by
well.
If, uh, we get so many offers,we might do highest and best by
monday and see what happens.
We're probably gonna get thatsold immediately.
Oh yeah, yeah, absolutely.
So that one's gonna be gone.
I can already picture it's gonewhat is your prediction?
Speaker 1 (08:17):
how many people you think is gonna go to the open
house?
Speaker 2 (08:20):
I want to say at least 20.
20?
, at least 20.
Okay, bare minimum 20.
Yeah, because the area is good,the price is good.
It's just, it's a formula forsuccess for a bidding war.
That's what's going to happenin that one, that one is going
(08:42):
to get for sure a bidding war,especially since we've already
seen people try to submit offerswithout even seeing the home
that is true.
Speaker 1 (08:50):
Yes, I've received already like 10, 10 offers.
I haven't even seen the home.
Yeah.
Speaker 2 (08:57):
Oh man, it's going to be crazy.
It's going to be crazy.
Let's see Kudos to you if youget the home.
But yeah, I mean, if you'reinterested in the future to list
a home in Queens, me and Chriswould be more than happy to help
you with that.
Oh yes, Talk about the pricingand everything of the home.
But yeah, prices have beengoing up tremendously, Like I
(09:18):
think from my experience right Ithink a lot of people are
gravitating towards moreaffordable options in homes like
co-ops and condos for theirstarter home.
Are you seeing that as well?
Speaker 1 (09:29):
Yes, yes, especially.
That's probably going to be myoption as well.
Yeah, to buy a condo first?
Yeah, what other co-op Withco-ops?
They're more stricter with thelaws and there's a lot of
paperwork.
Yeah, honestly, a condo is moreeasier.
You have ownership, as in co-op, you don't have ownership, you
(09:49):
don't have shares.
So that's the downside with aco-op.
But with a co-op it is moreaffordable Right Than a condo
Condo usually be $300,000 to$400,000.
And with a co-op it'd be like$100,000 to $200,000.
Speaker 2 (10:04):
Absolutely so.
You're almost paying double fora condo as opposed to a co-op,
because a one-bedroom can runyou $200,000 when a co-op can
run you $100,000.
Speaker 1 (10:14):
Exactly yeah.
Speaker 2 (10:15):
And the reason why you pay that much is because
it's such an easier time to getinto it, as opposed to a co-op
where they're going to requireyou to have a really good credit
score.
Yeah, dti required to have,like, a really good credit score
yeah, uh, dti that's less than33 a lot of the times.
Minimum down payment of 10 to20, although that happens in
(10:37):
condos as well.
Speaker 1 (10:37):
Yeah, so in westchester county in the bronx
usually be like 10, 10, I think,upstate new york or like orange
county, I think they don'trequire any down payment like a
minimum down.
Speaker 2 (10:50):
Yeah, yeah, because that's what we're talking about.
So when we say like a downpayment, it's like the minimum
down payment that you need tohave to qualify for that.
Home co-ops usually are 10 to20, although we've seen some
that are even below that, butvery% 9%.
So you always got to verify,but the general consensus it's
like 10 to 20.
10 to 20.
Speaker 1 (11:10):
That's the average yes.
Speaker 2 (11:12):
Yeah, so when you go look at a co-op, it's best to
say that you're probably goingto pay 20%, just to be on the
safe side, just know what thosecosts are.
Right, yeah, and that's notincluding closing costs.
That's not including closingcosts.
How much would closing costs beFor?
Speaker 1 (11:26):
New York.
It's an estimate of 4% to 5% Of.
Speaker 2 (11:29):
Of the sale price, of the sale price Gotcha, 4% to 5%
of the sale price for closingcosts.
So what does closing costsinclude?
Speaker 1 (11:37):
So it includes, like title appraisers, your
attorney's fee and otherinspection.
Speaker 2 (11:45):
Yeah, anything having to do with closing on the
property.
That's what you're going tospend it on.
So the first closing cost thatyou get right off the bat is if
you have uh inspectioncontingency, that's probably
going to be the first closingcost you're going to incur the
inspection itself just know wheninspection is, you have to pay
in front.
Speaker 1 (12:05):
It's not closing, right you?
Speaker 2 (12:06):
have to pay that, but that is part of the closing
cost, correct, because you needthat in order to close on the
property.
So anything having to do withclosing on it, that's what we're
talking about when we're saying4% to 5%.
Now, 5% is on the high end, butyou know it's better to.
Speaker 1 (12:22):
Go high end and low.
Speaker 2 (12:23):
Yeah, just in case the numbers does change right.
Rarely does it go to fivepercent, but it does happen, it
does happen.
So, yeah, that's that's one ofthe things we've been noticing.
Co-ops and condos are actually,you know, getting a lot more
attention right now because,like we said, when you're first
starting to look at homes andstuff, you're trying to get away
(12:44):
from rents and and all of thatstuff, so to be more stable and
stuff.
People go for co-ops and condosbecause they know that it's a
fixed amount, right, of coursethey have to pay, like hoa and
stuff, but it doesn't fluctuateas much as rents, because rents
can go from one thing to likeanother thing yeah like double,
especially in manhattanManhattan.
Speaker 1 (13:05):
Oh yeah, Wow.
A studio will be 3,000, 4,000or more.
Speaker 2 (13:10):
Yeah, and it's not even in the best condition,
sometimes Like it's bad,sometimes Like you're not
getting the best.
Speaker 1 (13:17):
Yeah, sometimes you have to fix it up before you
move in Exactly and again.
Speaker 2 (13:23):
Whenever we hear people wanting to get their
first home and stuff, they'renot just trying to get away from
the rent and the unexpectednesscoming from rents, but also
they don't want to feel likethey're throwing their money
away.
Speaker 1 (13:35):
Right as well, yeah.
Speaker 2 (13:37):
Because when you get a co-op or condo, you're also
building equity in the home andthat's a big thing.
That means you're not reallythrowing the money away that
you're paying.
You're like sort of storing it.
So like when you want to likeuse that money, you can do a
refinance or something like that, or sell the property and
whatever you've already paid onthe loan for the principal.
(14:00):
Because there's two thingsthere's the interest that you're
paying and then the principal,whatever you've paid for the
principal.
Then you're going to get backonce you sell it yeah, might as
well the other things like thefees and whatnot.
But you're essentially storingyour money away somewhat when
you're paying it.
So it's not like you'rethrowing it out like in rent.
That serves no purpose.
You're just oh yeah, not betterno equity yeah, exactly, and,
(14:24):
even worse, that the value thatyou're getting from the home
isn't increasing either, becausenot only are you getting equity
, but you're also gettingappreciation on the property.
Yeah, which is so importantbecause we, like you, remember
COVID.
Speaker 1 (14:38):
Oh yeah, covid, and that's when the market changed a
lot.
Speaker 2 (14:41):
Yeah.
Speaker 1 (14:42):
Everything was on high ends best within a day or
two.
Speaker 2 (14:46):
Yeah, and did you see contingencies in COVID?
Speaker 1 (14:50):
So that time I was starting my real estate career
and yeah, they were waving allthat, they were paying the
difference or the bank wavestheir appraiser it was hectic.
No one ever seen interest ratesthat low 2.7 or 2.5.
Speaker 2 (15:06):
It was insane.
You've never seen anything ratethat low, 2.7 or 2.5.
It was insane, Like you'venever seen anything like that.
And, just like you, I startedaround that time as well.
So I was like wow, that's crazy.
These stories of people justwaiving everything.
It's like is this the norm?
This cannot be the norm.
Like this is crazy.
I think we've heard storiesabout like lenders having to get
like six assistants and stuffbecause people were like
(15:29):
refinancing, they werepurchasing, they were doing a
whole bunch of crazy stuffduring that time.
Speaker 1 (15:33):
Right, yeah, I wish I had the money and opportunity
to buy, but I didn't.
Speaker 2 (15:40):
Yeah, but those opportunities are going to
present themselves in the future.
Right now we're just a littlebit on the high end, right.
So I think the people thatwe're looking at and working
with are more conscious aboutwhat they, what they can afford
and all of that, than they wereback in like the two percent,
because at two percent, like atthree percent and such people
(16:02):
are just buying, buying, buying,buying.
They're like I don't care aboutthe payment because it's gonna
be so low, low, let me just pop,pop, pop pop, oh yeah,
especially when I hear peoplethat already own the home in
2020.
Speaker 1 (16:13):
They say, oh, my interest rate is 2.7 or 3%.
I'm like don't ever sell yourhome, do not sell.
Refi, yeah, refi.
Speaker 2 (16:32):
But what are you thinking about?
The people?
I guess the only people we'veseen that sell their homes at
two to three percent or whateverare like when they really need
to relocate, like that is truethat is true like, for example,
their workplace just moved toanother state and stuff now it's
like man I have to go.
It's like such a pain for thembecause imagine you're moving
(16:53):
from three percent to now likesix, seven yeah, triple the
amount.
Oh my goodness, I can onlyimagine the hardships.
But it is what it is right.
Hopefully the rates go down andyeah from there you always do a
refi yeah, but we have seen that, despite the the rates being so
high and a lot new listingscoming out, there's a lot more
(17:15):
inventory that than there waspreviously.
From what I'm experiencing aswell, and even though there's a
lot more inventory coming in, uh, there's still such a big
demand and prices are stillgoing up.
So, yeah, some people are alsoopting into still renting, you
know, and for those renters,there's a law in june that's,
(17:39):
yes, taking place, which wasalready passed, I believe, last
year, but it's going to betaking full effect on June, I
believe.
Speaker 1 (17:48):
Yeah, so they need 180 days to be in effect which
is in June.
How do you feel about landlordis now required to pay
commission, then a tenant.
Speaker 2 (18:01):
I think how that law works right from what I have
read, is that the broker whoeverhires the broker right, which
is going to be the landlordthey're responsible for the
commission.
So in this case, it's going tobe the landlord hiring a realtor
.
They're going to be responsiblefor the commission to pay out
to the broker.
So potentially why this lawcame into effect I think it's
(18:27):
called the FAIR Act it'sbasically to save money to the
tenants looking for homesbecause they had to pay a
broker's fee, and it wassometimes ridiculous amounts of
money.
Like you're just trying tosearch for an apartment, you
don't want to pay an additionalcost, you know?
Speaker 1 (18:44):
oh yeah, it'd be a month, maybe a month and a half?
Yeah, that's right.
Then you're spending almostmaybe 10 000 just to move in
yeah, that's not the down, thesecurity deposit and all that.
Speaker 2 (18:54):
That's just like wow, that's just you're paying that
out front, yeah, which is crazy,but crazy, but it is what it is
right.
If you value your time and youneed someone to look for
apartments for you, then youhire someone like that, because
not everyone's going to have thetime to, like you know, look at
all these homes, see whichone's the best match and take it
(19:15):
from there, because they couldbe busy doing other things.
Take it from there because theycould be busy doing other things
, and so I think, in my opinion,people are landlords
specifically are maybe going topass those costs along to
clients, to tenants, byincreasing rents.
Speaker 1 (19:34):
Oh yeah.
So it is like Andrew said,there is going to be pros and
cons regarding this new law.
It is like Andrew said, thereis going to be pros and cons
regarding this new law.
With the pros, you know, thetenant is not going to pay the
commission to the broker, butsomeone, somehow a landlord is
going to try to Recoup thatmoney.
Yes, increase maybe the rent by$50 a month, or they're going
(19:55):
to do something.
Speaker 2 (19:56):
Yeah, it always is a balancing act.
They're always going to try tobalance it out how it was before
, somehow or another.
So it has good intentions, thelaw, but I think there's going
to be, like any other thing,unforeseen consequences as well.
But we'll see, maybe it's justgood, maybe now just landlords
(20:17):
are going to you know, pay thecommission, pay the commission,
pay the commission, that's it.
That's the hopes, right, justpay the commission and that's it
.
Of course they're going to haveto deal with like the brokers
are going to have to deal with,like explaining that to the
landlords and stuff, cause youknow, some landlords they're
very old school, they probablydon't know Every year new laws
do change, especially in a realestate career.
(20:38):
Oh, absolutely Everything.
Just remember when we had tochange to have them sign the
agreement before showing themproperties.
Speaker 1 (20:45):
Oh yes, Especially to buyers.
Speaker 2 (20:47):
Yeah, you were working with a senior lady who
was all about like she lovedworking with you, and then you
presented that thing to herbecause the date came and what
happened.
Speaker 1 (21:00):
Oh yeah, she was very upset and from there she was
like, oh no, I'm not gonna signa contract with you at all.
I'm like, oh no, worries, it'sjust knowing that any agent you
do work with you have to sign adocument with that agent.
He can't show you a housewithout the document.
All right, what else is?
They get a lot of fines rightand yeah, she was upset, you
(21:23):
know she went her way.
I went my way house without thedocument.
Speaker 2 (21:26):
All right, all right, all right, all right, all right
, all right, all right, allright, all right, all right, all
right, all right, all right,all right, all right, all right,
all right, all right, all right, all right, all right, all
right, all right, all right.
Even though you explain thebest you can, it just like comes
out of left field, right, yeah,and you're like what now I
gotta do this.
Why wasn't I doing this before?
Speaker 1 (21:44):
before, yeah, and it's just.
Speaker 2 (21:47):
It is what it is right.
We wish her the best, but wecompletely understand where
people are coming from, becauseeveryone was asking questions
especially when it came out yeah, because they're like, okay, I
gotta double check this withsomeone else, okay.
And then they double check andthey go like, yeah, it's true,
it's true, I can read it onlineand we're doing all this and
(22:07):
it's just a cultural shock.
Speaker 1 (22:09):
Yeah.
Speaker 2 (22:11):
Because they never had to sign anything before, but
now everyone has to signsomething, yeah, has to sign
something, yeah.
So if you go to see propertiesand you haven't signed something
with your agent, just knowthey're taking a risk.
Speaker 1 (22:23):
Oh yes.
Speaker 2 (22:24):
Yeah, no agent should be doing that.
No agent should be riskingtheir license for something like
that.
And that's why the agents willtell you like they cannot show
you properties until you sign adocument.
Right, it could be a singleproperty agreement or a
time-based agreement.
Speaker 1 (22:42):
Yeah, the buyer-broker agreement.
Speaker 2 (22:43):
Yeah, the buyer-broker agreement which is
time-based, instead of just asingle property one.
But if you're only comfortableseeing one home with an agent
before you kind of give them afull try, then you sign the
single property agreement and Ithink that's about it.
I mean, do you have anythingyou want to say to the audience?
Speaker 1 (23:00):
No, let's see how that new law comes with the
landlord and tenant and let'ssee how the real estate goes on
this year.
Speaker 2 (23:09):
Yeah, and maybe we will see some of you tomorrow,
even though this podcast will becoming out next week.
Yes, maybe we'll see you guystomorrow.
All right guys, have a greatone week.
Yes, maybe we'll see you guystomorrow.
All right guys, have a greatone.
Bye, bye, guys.
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True Crime Tonight
If you eat, sleep, and breathe true crime, TRUE CRIME TONIGHT is serving up your nightly fix. Five nights a week, KT STUDIOS & iHEART RADIO invite listeners to pull up a seat for an unfiltered look at the biggest cases making headlines, celebrity scandals, and the trials everyone is watching. With a mix of expert analysis, hot takes, and listener call-ins, TRUE CRIME TONIGHT goes beyond the headlines to uncover the twists, turns, and unanswered questions that keep us all obsessed—because, at TRUE CRIME TONIGHT, there’s a seat for everyone. Whether breaking down crime scene forensics, scrutinizing serial killers, or debating the most binge-worthy true crime docs, True Crime Tonight is the fresh, fast-paced, and slightly addictive home for true crime lovers.
Dateline NBC
Current and classic episodes, featuring compelling true-crime mysteries, powerful documentaries and in-depth investigations. Follow now to get the latest episodes of Dateline NBC completely free, or subscribe to Dateline Premium for ad-free listening and exclusive bonus content: DatelinePremium.com