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David McCarthy
David McCarthy
Operating partner, KW Boston-Metro, KW Chestnut Hill and KW Boston MetroWest
Age: 58
David McCarthy has been selling homes for almost 30 years, but only three weeks ago he became the face of Realtors across Massachusetts. The operating partner at three Greater Boston Keller Williams brokerages is the 2023 president of the Massachusetts Association of Realtors. He takes office at a time when the association’s muscle on Beacon Hill is going to be put to the test – to push for more housing production on one hand and to fend off policies like a real estate transfer tax or rent control that the association opposes.
Like many Realtors, McCarthy’s first career wasn’t in real estate. Rather, the Massachusetts native picked it up in the mid-1990s after his first career was poised to take him out of state and away from family and a brief stint in property management convinced him that the margins were better and the headaches were fewer as a traditional agent. He opened his first brokerage in 2005, then as now affiliated with Keller Williams.
Q: Where do you think MAR can move the needle most on its priorities on Beacon Hill this year?
A: The area we’ve been most supportive of has been MBTA Communities [zoning reform], and right now we’re in the phase of communities trying to meet the state’s expectations. They’re hitting their first landmark at the end of this month where they have to submit their action plans to the state for how they’ll zone for more housing near transit.
Where I wish we could move the needle more is on accessory dwelling units – ADUs. I’ve always been a huge fan of them. It feels like to me they keep people in their homes and let them age on-site. It also lets them get money to pay for property taxes or upkeep. And sometimes it lets someone living on the property keep an eye out for the elderly resident. But it’s not something that elected officials and other people easily jump onto. Their thoughts often go right to the idea that allowing ADUs automatically opens the door to two-family or multifamily development on these lots.
Q: Turning to the market, you’ve said you think high mortgage rates are the chief driver of low inventory, here. What data points tell you that?
A: We’re hearing from a lot of consumers. You might have been in your home for 10 years and you refinanced that, so now you have a 3 percent mortgage. And you have a third kid, you want to have a bigger yard but you’re going to have a 5 percent rate or more? No thanks. We also had this massive amount of activity [in 2020, 2021 and early 2022], and statistically people move every seven years. That makes me believe we sold a bit from the future. You had people saying, “We’re working from home, we can do this, we can do that.” I think we’re in that conundrum where we’re going to see less people moving because of that.
Q: What’s your prediction for where inventory is headed in the spring?
A: So far this year, we’re seeing a nice increase in activity in the marketplace – attendance at open houses, things like that. In new construction, we’re seeing strong, strong activity. Our days on market are still shockingly low. The biggest piece, I think, why we’re going to see why we’ll see prices stay steady – we’re ending the year with prices up 8 percent – is that inventory levels are so low that it’s going to be competitive and keep prices where they are. And I don’t necessarily see inventory levels climbing. In my mind one of the biggest drivers of this is itself the lack of inventory. We keep hearing from prospective sellers that “I would buy something but I can’t find anything.”
Q: What are you and your agents doing to try to rustle up more listings?
A: It’s the same advice we’ve always given agents, to keep in touch with your database. You never know when someone is going be ready to sell, and you want to be the first one they talk to. It’s all about being in their sphere of influence, being the first name they remember, and to have always been that true professional they’ll always remember each time you met. One thing agents are for a buyer and a seller, even in this age of the World Wide Web, is a resource. I mean, people still call me for advice on which plumber to use!
Q: Keller Williams traditionally puts a high priority on agent recruitment. How are you approaching that in the current market?
A: I always believe very strongly that agents have to have a mix of agents with regards to production. There are people who are going to be out there who are doing more production this year than next year. You also have to have a group of agents who are always growing because they’re going to bring you the next rockstar in five years.
Q: How fierce is the competition going to be this spring among the different brokerages in each Massachusetts housing market?
A: I honestly don’t see it as any different. I really don’t. For agents it’s never an easy business. You have to be the consummate professional and you have to be top of mind for buyers and sellers – you’ve reached out to them recently in some way shape or form whether it’s a postcard, an event or a phone call to check in and see how they’re doing.
Q: If you could give real estate agents and brokers across the state one piece of advice to help increase housing production, what would it be?
A: I personally believe very strongly that agents should be active in their communities. I’m on the planning board in my town. I felt so strongly that I ran for public office. Some people think they really should stay behind the scenes, but you’re never going to win every client, anyway. You’re better off being a positive effect in our industry and for homeowners – because that’s who we’re for, as Realtors. Some people chose to be active in their sports, in their churches. My thing has always been town government. I live in a town where we often ask people to show up and give their input. But not many people show up so if you do raise your hand and contribute, you can have a greater effect.
Five Things McCarthy Is Passionate About
- How Realtors facilitate the dream of home ownership and volunteer in their communities.
- Working with new agents to build their businesses and give back.
- Advocating for policies that will help make homeownership more accessible.
- Helping first-time homebuyers reach this significant milestone.
- His home (and Koi pond) that I enjoy with family, pets and friends.
