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Jury Says Realtor Not to Blame for Purchase Price.

By: Vance Remele
Thursday, April 17, 2008 8:49 AM

Remember Marty Ummle? Sure you do

Friday, April 11, 2008 | A jury sided Thursday with Carlsbad real estate broker Mike Little in a closely watched lawsuit that pitted a local couple against the agent that helped them buy a home. The couple, Vern and Marty Ummel, claimed that Little neglected to mention recent sales in their neighborhood, leading them to overpay by about $150,000 for their home in July 2005.

The case attracted national attention as it posed a hot question: What are the responsibilities of a real estate agent? The real estate camp was concerned that if the plaintiffs won Thursday, it would catalyze and focus a growing urge around the country to find someone to blame -- and to hold financially responsible -- when houses aren't worth as much as their buyers once paid. Those who sided with the Ummels worried their case would be chalked up to rich people problems, a matter of a measly $150,000 in the scope of a million-dollar tract home near a golf course in North County.

With an enthusiastic and unanimous response, the jury found that Little had executed a reasonable standard of care when he showed his clients, Vern and Marty Ummel, more than 80 homes in a house hunt that began in May 2005, ultimately leaving them to their decision to pay $1.2 million for their house two months later.

In arguments delivered Thursday morning to conclude the jury trial that began last week, attorney David Bright said his client, Little, was being unfairly blamed for the Ummels' house dropping in value.

"The Ummels want to own the most desirable house and pay for the least desirable house and have Mr. Little make up the difference," he told the jury.

At a time when housing market trouble has rocked the global economy, the individual roles of people involved in the basic housing transaction have come under fire. A soaring market this decade hid a multitude of mistakes, a plethora of cut corners and fudged appraisals, because buyers could sell for a profit, nearly no matter what.

The full story

http://www.voiceofsandiego.org/articles/2008/04/15/housing/883ummel041108.txt

Vance World Of News 

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Comments

Candice A Donofrio
Member Since '07

Candice A Donofrio said:

I didn't have much doubt that the R would prevail here.

We are not PSYCHIC or we'd all be lottery winners!  :)

80 homes! Buyers knew what was 'out there' and what their dollar would buy.

Our duty is to present the information and the buyer then makes an informed decision. The Ummels were probably more informed than most. They got the house they wanted and need to ride the ebb and flow of real estate values in changing market like the rest of us.

My house went down in value too since the 'crest of the wave'. SO?

April 17, 2008 8:13 AM
Vance Remele
Member Since '04

Vance Remele said:

Oh for those of you that may have missed the story from the beginning

as to how this all came about, here is the Today show report when it first aired.

http://www.msnbc.msn.com/id/21134540/vp/22838905#22838905

Unfortunaly with all the bad press, did we Realtors, really Win in the eyes of public opinion?

Vancepinion

April 17, 2008 8:17 AM
Nate Covington
Member Since '07

Nate Covington said:

Vance, I am glad for everyone out there, that the jury sided with the agent as it shows that people are still deemed responsible for their own decisions.  It is good to see that the messenger was not shot.  

April 17, 2008 9:25 PM
John Rainville
Member Since '06

John Rainville said:

This is good news for sure.  

I would LOVE the rest of the world to be held to the same standards everyone always wants to hold the Realtors to.

I'd settle for just our politicians to start with. LOL

April 18, 2008 5:02 AM
Candice A Donofrio
Member Since '07

Candice A Donofrio said:

[Vancegumba sez: Unfortunaly with all the bad press, did we Realtors, really Win in the eyes of public opinion?]

I consider the verdict a validation for our industry and its practitioners.  

And a wake up call to consumers to consider themselves more personally accountable for their choices.

We are no more an ATM machine for when they screw up - than their HOMES were during the boom!  :)

April 18, 2008 7:23 AM
Dan  Grammatica, e-PRO
Member Since '05

Dan Grammatica, e-PRO said:

I think the Today Show owes it to Mr Little to have him on to discuss his victory.

April 18, 2008 2:36 PM
Mary Welch
Member Since '04

Mary Welch said:

Thanks for keeping us up Vancemedia. I have faith in our system!

April 18, 2008 4:50 PM
Cyd  Weeks
Member Since '05

Cyd Weeks said:

"80 homes! Buyers knew what was 'out there' and what their dollar would buy."

Candice... Oh. My. God.  80 homes!!!!  Can you imagine?  I do believe this couple was one of those..."special" couples.  

April 20, 2008 10:26 AM
Vance Remele
Member Since '06

Vance Remele said:

Dan said

I think the Today Show owes it to Mr Little to have him on to discuss his victory.

I agree 100% Dan,

But lets not hold our breath on it to happen, that would be Good News !! and we can't not have Good news being reported about our industry !!!!! the news only like to report Dirty laundry!

Example ->   http://youtube.com/watch?v=t2PxAIAI1QQ

April 21, 2008 4:39 AM
Candice A Donofrio
Member Since '07

Candice A Donofrio said:

[Cyd sez: Oh. My. God.  80 homes!!!!  Can you imagine?  I do believe this couple was one of those..."special" couples.]

Yeah, like ride the little bus special, LOL!

The only times viewing THAT many homes is necessary is if

a. Client has no clue what they want

b. Agent has no clue about the market and client's needs (either did not qualify/needs assess clients or (see a.)  :)

c. Client/Agent both have too much time on their hands!

In this technological age, homes can easily be 'viewed' online and then unsuitables eliminated. 80 homes is nuts for all concerned.

We've had threads on that before, with mixed opinions. But I don't see how anyone can REMEMBER that many homes.

If I am buying something, I'm gonna operate on the premise that there is ALWAYS a chance I might miss something that would meet or even exceed my criteria--BUT what I select will be the best for me at that time and good enough.

Make choice, be happy with choice, live with choice . . .

April 23, 2008 8:23 AM
Vance Remele
Member Since '06

Vance Remele said:

D. Agent provided  a Taxi Service for free, and bought 4 new tires!

http://www.youtube.com/watch?v=Kzhwx8aOO0A

Vancefare :)

April 23, 2008 5:53 PM

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