Stop Paying Your Landlord Buying vs. Renting How To Buy A Home Using an  FHA Loan and The $8,000  First Time Buyer’s Tax C...
Stop Paying Your Landlord Steve Wagner – MBA, CIPS Real Estate Investment Consultant [email_address] <ul><li>REMAX Action ...
Buying vs. Renting <ul><li>If you are paying approximately $1500/month in rent, you could own a 2 or 3 bedroom home instea...
Buying vs. Renting <ul><li>If you are paying approximately $1500/month in rent, you could own a 2 or 3 bedroom home instea...
Buying vs. Renting <ul><li>In order to implement this plan, you will need to understand your financial situation completel...
Buying vs. Renting <ul><li>In order to implement this plan, you will need to understand your financial situation completel...
Buying vs. Renting <ul><li>If you are paying approximately $1500/month in rent, you could own a 2 or 3 bedroom home instea...
Buying vs. Renting <ul><li>If you are paying approximately $1500/month in rent, you could own a 2 or 3 bedroom home instea...
Cash Needed To Buy- Example <ul><li>Cash Required To Buy $200,000 Home Using FHA Loan; Seller Funding Closing Costs and Ta...
Buying vs. Renting - Example <ul><li>Comparison: </li></ul><ul><ul><li>Rental Cost - $1,500 plus utilities </li></ul></ul>...
FHA Loans - Buying a Home using a FHA Loan   <ul><li>Minimal Down Payment and Closing Costs.  </li></ul><ul><li>Downpaymen...
Buying vs. Renting - Example <ul><li>Assumptions: </li></ul><ul><ul><li>$65,000 household income </li></ul></ul><ul><ul><l...
Buying vs. Renting <ul><li>If you want to me to help you develop and implement a plan to achieve home ownership, register ...
Buying vs. Renting – You Can Do This <ul><li>If you are paying approximately $1500/month in rent, you could own a 2 or 3 b...
For More Information <ul><li>Contact:  Steve Wagner – MBA, CIPS </li></ul><ul><li>www.TransferToChicago.com </li></ul><ul>...
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Buying vs. Renting Using FHA Loan & $8,000 First time Buyer Credit

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How To Save Money & build Wealth; Buying A Home Using The $8,000 First Time Buyer's Credit and an FHA Loan

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Buying vs. Renting Using FHA Loan & $8,000 First time Buyer Credit

  1. 1. Stop Paying Your Landlord Buying vs. Renting How To Buy A Home Using an FHA Loan and The $8,000 First Time Buyer’s Tax Credit To Save Money and Build Personal Wealth
  2. 2. Stop Paying Your Landlord Steve Wagner – MBA, CIPS Real Estate Investment Consultant [email_address] <ul><li>REMAX Action </li></ul><ul><ul><li>1600 – 16th Street </li></ul></ul><ul><ul><li>Oak Brook, IL 60523 </li></ul></ul>
  3. 3. Buying vs. Renting <ul><li>If you are paying approximately $1500/month in rent, you could own a 2 or 3 bedroom home instead and you will actually save money and build equity </li></ul>
  4. 4. Buying vs. Renting <ul><li>If you are paying approximately $1500/month in rent, you could own a 2 or 3 bedroom home instead and you will actually save money and build equity </li></ul><ul><li>This presentation will show you how you can buy a home using a FHA Loan, Seller Closing Credits, and the $8,000 First Time Home Buyer Tax Credit to buy a home for approximately $200,000 with little or no money down. </li></ul><ul><li>These are good quality homes which will allow you to stop paying rent, build equity and you can do it in an affordable way. </li></ul>
  5. 5. Buying vs. Renting <ul><li>In order to implement this plan, you will need to understand your financial situation completely. I can help you do this. </li></ul>
  6. 6. Buying vs. Renting <ul><li>In order to implement this plan, you will need to understand your financial situation completely. I can help you do this. </li></ul><ul><li>We need to understand your current credit situation. This is not just a credit score, it includes your whole credit report. You are entitled to get this information for free 3 times a year. Ask me how. </li></ul><ul><li>We need to understand your income and employment status. </li></ul><ul><li>We need to understand your sources of capital for an investment. There are sources you may not have considered. </li></ul>
  7. 7. Buying vs. Renting <ul><li>If you are paying approximately $1500/month in rent, you could own a 2 or 3 bedroom home instead and you will actually save money and build equity </li></ul>
  8. 8. Buying vs. Renting <ul><li>If you are paying approximately $1500/month in rent, you could own a 2 or 3 bedroom home instead and you will actually save money and build equity </li></ul><ul><li>Comparison: </li></ul><ul><ul><li>Rental Cost - $1,500 plus utilities </li></ul></ul><ul><ul><li>PIITI * = $1,465 plus utilities </li></ul></ul><ul><ul><li>After Tax Cost of Owning = $997 ** </li></ul></ul><ul><li>* Principal, Mortgage Interest, Mortgage Insurance, Interest, Taxes, Insurance </li></ul><ul><li>** Assumes 20% Tax Rate </li></ul>
  9. 9. Cash Needed To Buy- Example <ul><li>Cash Required To Buy $200,000 Home Using FHA Loan; Seller Funding Closing Costs and Tax Credit Bridge Loan </li></ul>Purchase Price $200,000 Downpayment -$7,000 Loan Required $193,000 50% of Mortgage Insurance Premium $3,317 Loan Including 50% of Mortgage Insurance Premium $196,317 Closing Costs (up to 6% paid by seller) -$2,571 Upfront MIP -$3,317 Uses of Cash Downpayment -$7,000 MIP Upfront -$3,317 Total Cash Out -$10,317 Sources of Cash Adjustments At Close & Seller Closing Costs Paid $5,000 Tax Credit Bridge Loan $6,500 Net Cash Required -$1,500
  10. 10. Buying vs. Renting - Example <ul><li>Comparison: </li></ul><ul><ul><li>Rental Cost - $1,500 plus utilities </li></ul></ul><ul><ul><li>PIITI * = $1,465 plus utilities </li></ul></ul><ul><ul><li>After Tax Cost of Owning = $997 ** </li></ul></ul><ul><li>* Principal, Mortgage Interest, Mortgage Insurance, Interest, Taxes, Insurance </li></ul><ul><li>** Assumes 20% Tax Rate </li></ul>With a qualifying FHA Loan and a Tax Credit Bridge Loan This Can Be Done With Little or No Money Down
  11. 11. FHA Loans - Buying a Home using a FHA Loan <ul><li>Minimal Down Payment and Closing Costs. </li></ul><ul><li>Downpayment less than 3.5% of Sales Price </li></ul><ul><li>100% Financing options available* </li></ul><ul><li>Gift for downpayment and closing costs allowed. </li></ul><ul><li>FHA regulated closing costs. </li></ul><ul><li>Seller can credit up to 6% of sales price towards buyer’s costs. </li></ul><ul><li>Easier Credit Qualifying Guidelines such as: </li></ul><ul><li>Minimum FICO credit score of 620. </li></ul><ul><li>FHA will allow a home purchase two years after a Bankruptcy . </li></ul><ul><li>FHA will allow a home purchase  three years after a Foreclosure .  </li></ul><ul><li>Easier Debt Ratio & Job Requirement Guidelines such as: </li></ul><ul><li>Higher Debt Ratio's than other home loan programs. </li></ul><ul><li>Less than two years on the job is allowed. </li></ul><ul><li>Self-Employed individuals o.k. </li></ul>
  12. 12. Buying vs. Renting - Example <ul><li>Assumptions: </li></ul><ul><ul><li>$65,000 household income </li></ul></ul><ul><ul><li>FHA Loan with 3.5% down payment </li></ul></ul><ul><ul><li>30 year fixed rate mortgage at 5.25% </li></ul></ul><ul><ul><li>$200,000 purchase price </li></ul></ul><ul><ul><li>$7,000 down payment bridge loan (repaid </li></ul></ul><ul><ul><li>with $8,000 first time buyer’s tax credit) </li></ul></ul>
  13. 13. Buying vs. Renting <ul><li>If you want to me to help you develop and implement a plan to achieve home ownership, register on my web page and I will contact you right away. </li></ul><ul><li>As a real estate investor in 3 countries over 25 years, I can personally attest that affordable investment in real estate is a great way to build wealth. </li></ul><ul><li>With an MBA in Finance, I can help you thoroughly understand what you can afford and how to go about investing. </li></ul><ul><li>This is not a get rich quick scheme. It requires discipline and good sense, but it does work. </li></ul>
  14. 14. Buying vs. Renting – You Can Do This <ul><li>If you are paying approximately $1500/month in rent, you could own a 2 or 3 bedroom home instead and you will actually save money and build equity </li></ul><ul><li>I will only work with you if you are serious about implementing this strategy. </li></ul><ul><li>If we choose to work together, I will give you my total loyalty and commitment. I will expect the same from you. </li></ul>
  15. 15. For More Information <ul><li>Contact: Steve Wagner – MBA, CIPS </li></ul><ul><li>www.TransferToChicago.com </li></ul><ul><li>[email_address] </li></ul><ul><li>630-433-6646 </li></ul><ul><li>REMAX Action </li></ul><ul><ul><li>1600 – 16 th Street </li></ul></ul><ul><ul><li>Oak Brook, IL 60523 </li></ul></ul>
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