Redfin’s Home Buying Class
Presented by: The Redfin Murrieta–Temecula
Team
Date: June 10, 2014
Location: Temecula, CA
Host...
Tim Hoferer, Brian Lopiccolo, and Nicole Racz
Southwest Inland Empire
Meet the team:
● Nearly 40 years of combined
experie...
Agenda
● Overview of the process
● Are you ready to buy?
● Understanding the market
● Never miss a home
● Choosing an agen...
A Little Bit About Who We Are
Redfin is a real estate brokerage that has helped over 20,000
people buy or sell a home; 97%...
Understanding the Buying
Process
Are You Ready to Buy?
● Do you have a family and need room to grow?
● Do you expect to own the home for 5 or more years?
●...
Overview of a Purchase
Research
Neighborhoods
Real Estate Agents
Mortgage Options
Preapproval
Consider your needs
Search
D...
Never Miss A Home
Real Estate Sites: What to Look For
● Has all the homes for sale
● Updated every 15 minutes
● Real-time sales data
● Insig...
Never Miss a Home
Seeing Homes in Person
Slide 12 of 55
How Touring with Redfin Works
● Led by agent or associate
agent
● Up to six homes per tour in
two hour bloc...
Making the Most of Your Tour
1. Bring a camera, notebook & tape measure
2. See how much sunlight the place gets
3. Check t...
Choosing the Right Agent
What to Ask Any Agent
● Is this your full-time job?
● Where were your last five deals?
● Who else will be working with me?...
Redfin Agent Reviews
Redfin’s Partner Program
Partner agents are employed by other brokerages, and have
teamed up with us to provide Redfin-cer...
Understanding the
Market
Last 12 months - Ebbs and Flows of Rising Prices
Last 12 months - Ebbs and Flows of Rising Prices
How Hot Is It?
Where are Rates Headed?
Freddie Mac says:
Type of Loan June 5 May 29 May 22
30-Year
Fixed 4.14% 4.12% 4.14%
15-Year
Fixed ...
10-Minute Break
10 mins 5 mins End
Let’s Get Started!
Mortgages
Review Your Financial Situation
● Pull credit report, look for errors
● Establish comfort level for monthly payment
● Figu...
Get Pre-Approved Early
A pre-approval letter is a letter from a bank or a lender estimating
how much they'll lend you
● Es...
Pulling Credit: Is It Harmful?
● Your credit report must be reviewed by a lender before you
can obtain a pre-approval
● If...
Start Shopping for Lenders
Compile a list of 3-4 local lenders
Good sources include:
● Redfin's partner lenders
● Referral...
Local Recommended Lenders
In no way does
Redfin benefit
financially from
recommending
lenders – we just
think they’re grea...
Short Sales and Bank Owned
What is a Short Sale?
The owner owes more on the mortgage than the home is
worth
● Usually pre-foreclosure, but not always...
What is a Bank-Owned Property?
● A foreclosed home owned by a bank or lender
● Standard sale but:
►Verbal negotiations
►Lo...
Making an Offer
Crafting Your Offer
● Evaluate – your agent will provide you with information
about market conditions and recent sales in ...
Tips for Winning a Bidding War
1. Just win, baby! Simply have the best offer.
► Escalate your price?
► Tighten your timeli...
Ratification to Closing
Steps After Contract Ratification
● Earnest money deposit – usually 1-3%+
● Inspection – usually $300-$500
● Other inspect...
What are Contingencies?
This means the seller has accepted an offer on the property,
but success may still depend on passi...
Escrow & Title Companies
● Holds the earnest money deposit
● Prepares the final documents, including the HUD-1
● Conducts ...
Walkthrough & Closing
A day or two prior to closing you will do a walkthrough to make
sure the property is in the agreed u...
Selling Your Home
with Redfin
● We’re on your side
►Agents paid on your satisfaction
● Double your exposure
►Premium placement on Redfin
►Zillow, Trulia...
What’s next?
So What Now?
● Make sure it’s the right time for you
● Start browsing online
● Check out our Home Buying Guide
● Find the ...
Future Events!
All Done!
Thanks for Coming!
Questions? Get in touch:
Tim Hoferer 951-375-2600 tim.hoferer@redfin.com
Brian Lopiccolo 951-907-0360 b...
Upcoming SlideShare
Loading in...5
×

Redfin Home Buying Class - Temecula, CA

69

Published on

0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total Views
69
On Slideshare
0
From Embeds
0
Number of Embeds
0
Actions
Shares
0
Downloads
1
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

Redfin Home Buying Class - Temecula, CA

  1. 1. Redfin’s Home Buying Class Presented by: The Redfin Murrieta–Temecula Team Date: June 10, 2014 Location: Temecula, CA Host: Tim Hoferer @Redfin facebook.com/Redfin
  2. 2. Tim Hoferer, Brian Lopiccolo, and Nicole Racz Southwest Inland Empire Meet the team: ● Nearly 40 years of combined experience: Tim 16 yrs, Brian 19 yrs, Nicole 3yrs ● Together, we’ve closed over 400 homes ● We Service: Southwest Inland Empire ● Specialize in: First Time Home Buyers including FHA and VA, Multiple Offer Scenarios, Investors, etc ● We’re Local! Tim lives right here in Temecula, Brian and Nicole live in Murrieta
  3. 3. Agenda ● Overview of the process ● Are you ready to buy? ● Understanding the market ● Never miss a home ● Choosing an agent ● Touring ● Break! ● Mortgages ● Short sales & foreclosures ● Making an offer ● Acceptance to closing
  4. 4. A Little Bit About Who We Are Redfin is a real estate brokerage that has helped over 20,000 people buy or sell a home; 97% would refer us to a friend. ● Customers, not commissions ● Informed decisions ● Right home for the right price  No obligation  Commission credit
  5. 5. Understanding the Buying Process
  6. 6. Are You Ready to Buy? ● Do you have a family and need room to grow? ● Do you expect to own the home for 5 or more years? ● Have you saved up a down payment? ● Can you rent for less?
  7. 7. Overview of a Purchase Research Neighborhoods Real Estate Agents Mortgage Options Preapproval Consider your needs Search Define Preferences Saved Search Home Tours Open Houses Offer Comparables Draft Offer Docs Negotiate Mutual Acceptance Closing Earnest Money Inspection Loan application Title Review Appraisal Financing Approval Closing
  8. 8. Never Miss A Home
  9. 9. Real Estate Sites: What to Look For ● Has all the homes for sale ● Updated every 15 minutes ● Real-time sales data ● Insights from agents ● Lots of data ● Mobile apps
  10. 10. Never Miss a Home
  11. 11. Seeing Homes in Person
  12. 12. Slide 12 of 55 How Touring with Redfin Works ● Led by agent or associate agent ● Up to six homes per tour in two hour blocks ● Go on as many tours as you need ● No obligation, no pressure
  13. 13. Making the Most of Your Tour 1. Bring a camera, notebook & tape measure 2. See how much sunlight the place gets 3. Check the bathrooms for rot & mold 4. Look for wavy or discolored wood siding 5. Make sure water spouts drain away from house 6. Take stock of storage space 7. Turn off any music playing in house 8. Check for hardwood floors 9. Peek into the attic 10. Bring a marble or two 11. When sharing a wall, make sure it’s thick 12. Ignore the appliances and carpets 13. Check the closets 14. Get the disclosure packet 15. Compare the property’s tax records to the listing details
  14. 14. Choosing the Right Agent
  15. 15. What to Ask Any Agent ● Is this your full-time job? ● Where were your last five deals? ● Who else will be working with me? ● When am I committed to working with you? ● Has a client ever filed a complaint? ● How are you paid? ● Can I see some reviews of your work?
  16. 16. Redfin Agent Reviews
  17. 17. Redfin’s Partner Program Partner agents are employed by other brokerages, and have teamed up with us to provide Redfin-certified service We’ll refer you to a Partner Agent when: ►A home is below Redfin’s minimum price ►A home is outside of our service area ►If it’s in your financial advantage to work with a partner ►We’re experiencing unusually high customer demand We survey all partner agent clients ►All surveys are published on their Redfin page ►97% of customers would recommend Redfin Partners
  18. 18. Understanding the Market
  19. 19. Last 12 months - Ebbs and Flows of Rising Prices
  20. 20. Last 12 months - Ebbs and Flows of Rising Prices
  21. 21. How Hot Is It?
  22. 22. Where are Rates Headed? Freddie Mac says: Type of Loan June 5 May 29 May 22 30-Year Fixed 4.14% 4.12% 4.14% 15-Year Fixed 3.23% 3.21% 3.25% 5/1 ARM 2.93% 2.96% 2.96% 1-Year ARM 2.40% 2.41% 2.42%
  23. 23. 10-Minute Break 10 mins 5 mins End Let’s Get Started!
  24. 24. Mortgages
  25. 25. Review Your Financial Situation ● Pull credit report, look for errors ● Establish comfort level for monthly payment ● Figure out how much monthly income goes towards debt: 28 – 33% healthy ● Pay down credit balances to 1/3rd ● Don’t open any new lines of credit ● Don’t buy any big ticket items ● Source of money ● Current employment status
  26. 26. Get Pre-Approved Early A pre-approval letter is a letter from a bank or a lender estimating how much they'll lend you ● Establishes what you can afford & makes offer process go faster ● Redfin asks that you get pre-approved before your third tour ● Good for 90 days, depending on lender Info needed: ● W-2, two pay-stubs, tax returns, bank statements
  27. 27. Pulling Credit: Is It Harmful? ● Your credit report must be reviewed by a lender before you can obtain a pre-approval ● If you know your score, a lender should be able to give you ballpark pricing for their loan products ● Better to know sooner rather than later about credit problems ● Maintaining a pre-approval has a negligible impact on your credit score
  28. 28. Start Shopping for Lenders Compile a list of 3-4 local lenders Good sources include: ● Redfin's partner lenders ● Referrals from friends, family & co-workers ● Online review sites, such as Yelp ● Local chains and offices *Know your lender
  29. 29. Local Recommended Lenders In no way does Redfin benefit financially from recommending lenders – we just think they’re great lenders!
  30. 30. Short Sales and Bank Owned
  31. 31. What is a Short Sale? The owner owes more on the mortgage than the home is worth ● Usually pre-foreclosure, but not always ● Listed for less than what’s owed to the bank ● Requires 1 - 2 banks’ approval (usually 2) ● May have other liens (taxes, utilities, HOA) We Can Help With a Short Sale! ● See short sales with a Redfin Agent ● If you want to buy, work with a Redfin Agent or a short sale partner agent ● Redfin partner agents work for other brokerages but share Redfin’s commitment to customer service ● Get a 15% commission refund
  32. 32. What is a Bank-Owned Property? ● A foreclosed home owned by a bank or lender ● Standard sale but: ►Verbal negotiations ►Long response times ►Repairs unlikely ►Legal addenda may require an attorney ►Limited or no disclosures ►Banks demand use of their own contracts ►Bank can back out any time until they’ve signed ►Earnest money deposit usually held by listing agent
  33. 33. Making an Offer
  34. 34. Crafting Your Offer ● Evaluate – your agent will provide you with information about market conditions and recent sales in the area ● Consider the situation – the seller’s preferences, days on the market, and other interest will influence the process. ● Decide on price & strategy with your agent ● Common contingencies & terms: ►Earnest Money ►Inspection ►Financing ►Appraisal ►Title Review
  35. 35. Tips for Winning a Bidding War 1. Just win, baby! Simply have the best offer. ► Escalate your price? ► Tighten your timelines ► Remove some contingencies? 2. Get pre-approved with a local lender 3. What’s important to the seller? 4. Write a letter & appeal to the seller
  36. 36. Ratification to Closing
  37. 37. Steps After Contract Ratification ● Earnest money deposit – usually 1-3%+ ● Inspection – usually $300-$500 ● Other inspections – sewer, lead etc. ● Loan application – 7days or less ● Title review ● Appraisal ● Loan approval ● Document signing ● Walk through ● Closing ● Receive your keys!
  38. 38. What are Contingencies? This means the seller has accepted an offer on the property, but success may still depend on passing a home inspection or getting financing. Other types: ● Appraisal – Performed in conjunction with financing ● Financing ● Termite ● Other
  39. 39. Escrow & Title Companies ● Holds the earnest money deposit ● Prepares the final documents, including the HUD-1 ● Conducts the closing ● Receive and disburse funds for closing ● Arrange for pay off of any liens (sellers’ mortgage, taxes, etc) ● Examines and clears the title to the property ● Records the deed, mortgage and any other recordable instruments ● Issues title insurance to the lender and the buyer
  40. 40. Walkthrough & Closing A day or two prior to closing you will do a walkthrough to make sure the property is in the agreed upon condition At closing you will sign all necessary mortgage and closing documents and get your keys!
  41. 41. Selling Your Home with Redfin
  42. 42. ● We’re on your side ►Agents paid on your satisfaction ● Double your exposure ►Premium placement on Redfin ►Zillow, Trulia, and Realtor.com ● 1.5% listing fee* ►Professional photos ►Beautiful flyers *$4500 is our minimum list-side fee (only applies to homes that sell for less than $300K) Better Service, Lower Fees
  43. 43. What’s next?
  44. 44. So What Now? ● Make sure it’s the right time for you ● Start browsing online ● Check out our Home Buying Guide ● Find the right agent ● Look for a local lender and get pre-approved ● Start seeing homes in person ● Make an offer & close the deal
  45. 45. Future Events!
  46. 46. All Done!
  47. 47. Thanks for Coming! Questions? Get in touch: Tim Hoferer 951-375-2600 tim.hoferer@redfin.com Brian Lopiccolo 951-907-0360 brian.lopiccolo@redfin.com Nicole Racz 951-970-4558 nicole.racz@redfin.com Check out our upcoming classes: http://www.redfin.com/buy-a-home/classes-and-events
  1. A particular slide catching your eye?

    Clipping is a handy way to collect important slides you want to go back to later.

×