The Offer That Doesn’t Kill Your Commission 💼

Hi Jeffrey Richman, Thank you- I think that it is awesome that you are so eager to get on the phone with a random broker and offer assistance. It's not common- and on that end- we are of a similar mindset. I worked in capital markets prior to changing careers into real estate- and I can find easy parallels with derivative pricing models I worked with in the past when working on some of the deals I have worked on (and this is residential real estate- not even commercial- just due to the nature of how real estate works here). With a lot of these buyers- they are financially savvy, but the product they seek might not readily exist- which is why I won't spend much time working with them. Cap rates are 2-3% for the most part until you get into rent controlled/rent stabilized product- and then it's more like 5-6%...and even 8%+ might be possible. But if the buyer is seeking a newer construction elevator building with W/D's in unit with 6-15 apartments - there aren't a lot of these out there- and then to expect 7%+ cap rates- it's a product type that barely exists here- no matter what the cap rate.   

For those that have no expectations- well I can work with them in a lot of cases and help them understand the pro's and con's.  

Hi Adam Feinberg,

Thanks so much for your thoughtful message. I really appreciate the insight and the common ground we seem to share. Your background in capital markets definitely gives you a unique and analytical lens on residential real estate, and it shows. It’s refreshing to speak with someone who understands the nuance between what a buyer wants and what they really need versus what actually exists in the market.

I couldn’t agree more, so many financially savvy buyers come in with investment goals that simply don’t align with the inventory or pricing dynamics in a given area. When you pair that with specific amenity requests like newer construction, elevators, and in-unit W/Ds, it narrows the field even more. It makes me think that they just took some course from a so-called guru!  And yet, many still expect high cap rates that mostly don't exist. It’s a tough balancing act, especially in areas where that type of product just doesn’t pencil out.

That said, I always enjoy collaborating with professionals like you who take the time to educate buyers and help them recalibrate their expectations without discouraging their ambitions. That’s the sweet spot, meeting people where they are and helping them get where they want to go, even if the path looks a little different than they expected.

Let’s definitely stay in touch. I have no doubt there are opportunities where our approaches could complement each other.  I'm always here to help.

Agreed!