A BUYER ORIENTATION

 

Dennis Toomey, CRP, CRS, GRI, ABR

RE/MAX Territory

41 Arlington Heights Road

Elk Grove Vil., IL. 60007

847-956-2800

 

THE TWO MAIN REASONS PEOPLE BUY HOMES:

 

TAX ADVANTAGES

Property taxes and qualified home interest are deductible

 on Schedule A, for itemized deductions

 

INEVESTMENT POTENTIAL

The largest investment for most people is their home.  In the long run, investments in homes far outpace inflation.  Homeowners build equity and, in most states, can borrow against it.

 

TAX BENEFITS

(Dennis has to redo this section will give to me to type later)

 

HOME SEARCH INFORMATION

Describe what you are looking for in a home.

What things are most important to you in a home:_________________________________

______________________________________________________________________

______________________________________________________________________

______________________________________________________________________

Are schools important? _____________ If yes, which ones and why  _________________

______________________________________________________________________

Where do you want to live? _________________________________________________

What style home do you prefer? ______________________________________________

When do you want to move in? ______________________________________________

How many bedrooms? ______________  How many living areas? ___________________

How many baths? ___________________ What size garage? ______________________

When is the best time to look at homes? ________________________________________

 

 

If we found the right home for you today, would there be anything that could keep you

from buying it? _______ Does anyone else have to approve of your purchase? ____________

________________________________________________________________________

 

MLS MEMBER

As a member of the Multiple Listing Service, I can show you any property.

 

If you should see an ad in the paper or a sign in a yard, call me to find out the information.  If you want to see it, I’ll show it to you.

 

FOR SALE BY OWNER

A homeowner trying to sell his home himself is usually doing so in hopes of saving commission.  Coincidentally, this is the reason a buyer wants to deal directly with a homeowner.

 

Usually a homeowner will work with an agent, even though his home is not listed, if the agent introduces the buyer to the property.

 

If you should see a FSBO and want the advantages of my services, please let me contact the owner and set the appointment.

 

NEW HOMES

I can work with most builders and can get all the information you need to make any decisions, but I will need to accompany you to the property on the initial visit.

 

By letting me help you with builders, you get all the services offered in this presentation and those offered by the builder as well.

 

You’ll get more, but you won’t pay more for it.

 

FINANCIAL ADVICE

  • Buyer Qualification
  • Buyer’s Closing Costs
  • Alternate Financing Plans
  • ARM vs FRM
  • Mortgage Comparison
  • Mortgage Accelerator
  • Homeowner’s Analysis

 

FINANCIAL INFORMATION

Including taxes & insurance, what monthly payments do you want:       $___________

What approximate price range do you want to look in:                        $___________

How much cash do you have available for a down payment?               $___________

Does this including closing cost? _______

Are you currently renting? ____________       If yes how much rent:  $___________

Do you currently own? _______________      Do you need to sell before buying? ______

How much do you think your home is worth?                                     $___________

What is the unpaid balance? $___________   interest rate __________%  term_________

dated ___/___/___ type of loan _____________________ monthly payment $_________

List your regular monthly payments (installment debt, revolving charges, student loans, etc.)

            Description                                                                               Amount

________________________________________________________________________

________________________________________________________________________

________________________________________________________________________

________________________________________________________________________

Are you currently on all debts? ________   Is there any problem with your credit? ______

What is your monthly income: $_________ Your spouse’s monthly income $__________

Do you have any other monthly income?                                                            $___________

Employed_________Self-employed_________How long have you been employed with this employer?______________ Where?_______________________________________

Have you or your spouse ever taken bankruptcy?__________ If yes, explain:__________

________________________________________________________________________

Have you or your spouse had a home foreclosure?_________ If yes, explain:__________

________________________________________________________________________

 

PRE-APPROVAL PROGRAM

Many buyers are applying for a loan and

obtaining approval before they find the home they

want to buy.

 

Here are the benefits:

You look at the “right” homes.

 

You save money dealing with a

comfortable seller.

 

You close quicker.

 

You minimize trauma of not knowing

whether or not you qualify.

 

ITEMS NEEDED FOR A CREDIT APPLICATION

Employment

                Addresses for two full years

                Gross monthly income

                W-2s, if available

                Proof of pensions, retirement, disability or Social Security

                Proof of income from rentals, investments, etc.

                Proof of child support or alimony paid/received

                Year to date pay stub

 

                If self-employed:

                                Two years 1040 Tax Returns

                                Current year profit and loss statement

Creditors

                Each creditor’s name, address and type of account

                Account numbers

                Monthly payments and approximate balances

                Amount of child care expenses

Banking

                Names and addresses of saving institutions

                Account numbers for all accounts

                Type of accounts and present balances

Miscellaneous

                List of assets in stocks, bonds, land

                Life insurance cash value (documented if used as cash down payment)

                If applicant is selling a home, a copy of sales contracts

                Social Security numbers for all parties

                Veterans – Certificate of Eligibility & DD – 214

                Cash or check to pay for application fee

REALTORS

                Copy of sales agreement

                Copy of listing on property

                Instructions on how appraiser is to gain entrance

 

PROPERTY INSPECTION

You can include a provision in the sales

contract that gives you the right to inspect the

mechanical, electrical, plumbing and structural

portions of the property.

 

There are inspection companies that provide

services of this type.  You can accompany the

inspector to ask questions and receive a written

report itemizing any areas of concern.

 

If repairs are needed, you can request the seller

to make them in accordance with the provisions

of the sales contract.

 

HOME WARRANTY

As an additional benefit, some sellers provide a

home warranty for the buyer.  This coverage is

good for one year on selected items:

 

  • Central Heating System
  • Electric Central Air System
  • Interior Plumbing
  • Built-in Appliances
  • Electric Pool Equipment

If the home you choose does not have a home

warranty, you can acquire the coverage yourself.

 

EXCLUSIVE SERVICES PROVIDED

COMPARATIVE MARKET ANALYSIS

A written report of the transactions in the neighborhood to identify similar

properties that have sold recently and are currently on the market in an

effort to determine a realistic price for the subject property.

 

FINANCING PROPOSALS

Written proposals such as Buyer Qualification, Financing Plans, 15 year vs. 30 year

mortgages, Adjustable vs. Fixed rate mortgages, Rent vs. Buy, Repurchase Analysis,

and Amortization schedules that will help buyers and sellers in the decision making process.

 

 MARKETING PREPARATION GUIDE

A report designed to help the homeowner maximize the marketing efforts by

improving the condition of the home, “setting the stage” before showings, and

knowing what to do when the property is being shown.

 

HOMEOWNER’S ANALYSIS

A simple and easy to understand form that shows the tax advantages of owning

a home and the net cost of housing after applying them.  It also illustrates

the investment potential of home ownership.

 

RELOCATION PACKAGE

A complete portfolio of information about the city you are moving to.  This

can be very helpful in orienting you to the local housing market as well as

schools, shopping, transportation, entertainment, and many other things.

 

WHAT I CAN OFFER YOU

·        Financial advice in making decisions

 

·        Knowledge of the Neighborhood

 

·        Appropriate Houses to Consider

     (What you want and what you can

       afford in an area you want to live in.)

 

·        Active effort to find you the “right” home