Buyer Presentation 12/12/12

1. ________________
New Buyer Orientation
Presented by:
Andy Peers
301.370.4499
Andy@ReishmanRealEstate.com
www.PeersRealtor.com

2. _______________________
Types of Agency Representation
Seller Representation – Occurs when a Buyer does not sign an agreement to
have the Broker/Agent represent him/her.
Buyer Representation – Occurs when a Buyer signs an Exclusive Right-to-
Represent Agreement with a Broker/Agent. Buyer Agency Agreement.
Designated Representation – Occurs when a Buyer Agent sells an in-company
listing (not their own).
Dual Representation – Occurs when a Buyer Agent sells his/her own listing to
the Buyer client.

3. _______________________
Getting Pre-Approved & Financing
1) Determining how much you can afford is the first step. Do you need
lender recommendations?
2) Rates change on a daily basis.
3) Pre-approvals usually expire after 2 months.
4) Approval Process
- Documentation, Underwriting, Conditions, Appraisal
FHA Financing:
- Condos must be FHA approved.
- All homes must meet certain condition requirements.

4. _______________________
Finding Properties
• Sign-up for a customized property search @
www.PeersRealtor.com or www.ReishmanRealEstate.com
• It’s a team effort!
• Encourage you to search on my web site or your favorite site
• Open Houses, Walk-by. If you can’t make an open house, I am
happy to take you through. All the information is in the database,
so I can look-up any questions you have.

5. _______________________
Short Sales & Foreclosures
Short Sales
- What are they? “3rd party approval”, “bank approval”
- As-is condition
- 30-90 day response time from the bank typical
Foreclosures
- What are they?
- As-is condition
- Varied response time, usually 48-72 hours
Issues
- Liens
- Delays (Paperwork, Title Work, Closing, HUD Statement)

6. _______________________
Visiting Properties
1) I am available by appointment to tour properties.
2) I encourage you to visit open houses. Give them my business
card.
3) 24-hour notice is ideal, but not always necessary.
4) I will provide you with copies of the listings for information and
note taking purposes.
5) If you are too busy to see a new listing that will sell quickly I can
tour the property and send you a video (or Facetime).

7. _______________________
Possible Out of Pocket Costs
Loan Application:
1) Credit Report ($15-30)
2) Appraisal ($300-500)
Home Inspections:
1) General Home Inspection ($400-700)
2) Lead Paint Inspection ($350-500)
3) Radon Inspection ($100-250)
4) Termite Inspection (can be paid by seller or purchaser, $40-70)
Closing Costs:
1) Good estimate is 3.5-4% of sales price
2) Will be higher for FHA

8. _______________________
All About Taxes
Homestead Deduction on Property Tax:
• In DC, you can reduce assessed value by $67,500 on primary
residence
Your mortgage interest is tax deductible!
How to calculate: (P+I) x 90% x Tax Bracket %
First Time Buyer Credit:
• DC Credit: Up to $5,000 – does not have to be repaid
Income limits apply on the credit.

9. _______________________
You found it! Making an Offer.
1) Need 3 things to make an offer:
- Earnest Money Deposit
- Pre-Approval Letter
- Sales Contract
2) Contingencies (Financing, Appraisal, Home Inspection)
3) Home Inspection: P.E.A.C.H. Items (Plumbing, Electrical,
Appliances, Cooling/Heating).
4) Multiple Offers: YES they are happening! (Escalation Clause)
5) Condo/HOA Documents (right of rescission)

10. _______________________
Loose Ends Before Settlement
• Hazard or Condo Insurance is a must!
• Set-up utilities
• Pre-settlement Inspection
• Review the HUD-1 Statement, usually day before
• Funds to close (certified check or wired directly to title company)

11. _______________________
Congratulations!
There can be last minute surprises (good and bad) on the day of
settlement. I will be there to help make the entire process as
easy as possible.
Settlement typically lasts about 1 to 1 ½ hours.
Don’t forget to bring:
- Your funds to close
- Photo identification
- Personal checkbook