Vip buyer presentation joes(4)


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Vip buyer presentation joes(4)

  1. 1. Joe Dent’s VIP Buyer Services Making Your Home Buying Dreams Come True
  2. 2. Services provided Seller (Listing) Agent Buyer Agent 1. Provide you property values  2. Represent you on all MLS properties, PLUS bank properties (REO), new builds  3. Promote and protect your interests at ALL TIMES  4. Advise you even if it means advising NOT to buy  5. Negotiate best price and terms for YOU, the buyer  6. Structure your offer with your best interests in mind  7. Keep your information confidential from the seller unless authorized to disclose  8. Negotiate for a home inspection and repairs in  Benefits of Buyer Agency
  3. 3. Renting Costs a Lot – A Whole Lot! Assumptions:Assumptions: $1,500 Monthly Rent Payments$1,500 Monthly Rent Payments Landlord Increases Rent 5% YearlyLandlord Increases Rent 5% Yearly Five Year Costs…Nearly $100,000!Five Year Costs…Nearly $100,000!
  4. 4. Show Your Landlord The Money Assuming a 5% increase per year:Assuming a 5% increase per year: YearYear Monthly RentMonthly Rent Annual RentAnnual Rent 11 $1,500 $18,000$1,500 $18,000 22 $1,575 $18,900$1,575 $18,900 3 $1,654 $19,8483 $1,654 $19,848 4 $1,737 $20,8444 $1,737 $20,844 5 $1,8245 $1,824 $21,888$21,888 Total $99,480Total $99,480 Average monthly rent over five years $1,658Average monthly rent over five years $1,658
  5. 5. Getting In Is Easy $300,000 Mortgage – PITI $2,200+/-$300,000 Mortgage – PITI $2,200+/- After Tax Breaks –After Tax Breaks – Payments Similar toPayments Similar to Average Rent over 5-yearsAverage Rent over 5-years Assume 25% Tax BracketAssume 25% Tax Bracket
  6. 6. Now For The Good Part! After 5 years:After 5 years: Mortgage BalanceMortgage Balance Declines to $279,000Declines to $279,000 Home Value Increases toHome Value Increases to $383,000 @ 5% Appreciation$383,000 @ 5% Appreciation Net Worth Up $104,000!Net Worth Up $104,000! 3.5% Home Appreciation3.5% Home Appreciation Still Yields $77,000 Net WorthStill Yields $77,000 Net Worth
  7. 7. Your $ Works For You After 5 years:After 5 years: Home appreciation (assuming 5% per year):Home appreciation (assuming 5% per year): 11 $315,000$315,000 22 $330,750$330,750 33 $347,288$347,288 44 $364,652$364,652 55 $382,885$382,885 AppreciationAppreciation $82,885$82,885 Mortgage balance ($279,163)Mortgage balance ($279,163) $20,837$20,837 Total $103,722Total $103,722
  8. 8. Your Uncle Wants to Help If Cash Is Tight –If Cash Is Tight – Uncle Sam Can Help NowUncle Sam Can Help Now Don’t Wait For Refund Bucks:Don’t Wait For Refund Bucks: Increase Your Take Home PayIncrease Your Take Home Pay Quit Lending Money toQuit Lending Money to Uncle Sam Interest FreeUncle Sam Interest Free Check Out:Check Out: IRS Withholding CalculatorIRS Withholding Calculator To Do It RightTo Do It Right,,id=14806,00.html
  9. 9. Tax Advantage Assuming a $300,000 loan:Assuming a $300,000 loan: P&IP&I $1,798.65$1,798.65 TaxesTaxes 312.50312.50 InsuranceInsurance 100.00100.00 TotalTotal $2,211.15$2,211.15 Tax deduction for five years:Tax deduction for five years: Interest $87,082 + Taxes $18,750= $105,832Interest $87,082 + Taxes $18,750= $105,832 Using a 25% tax bracketUsing a 25% tax bracket $26,458$26,458 MonthlyMonthly $ 441$ 441 Mortgage Payment $2211 – 441 = $1,770Mortgage Payment $2211 – 441 = $1,770 Average Rent (five years) $1,658Average Rent (five years) $1,658 Payment difference $ 112Payment difference $ 112
  10. 10. homeowner tax reductions increase exemptions to reduce withholding increase take home pay $441/mo $441/moDon’t wait for refund check. Increase take home pay now!
  11. 11. Joe Dent’s VIP Buyer Services Making Your Home Buying Dreams Come True
  12. 12. As A Homebuying Specialist:.. …I Will Help You: 1.1. Find theFind the best homebest home for yourfor your needsneeds 2.2. Negotiate theNegotiate the lowest pricelowest price 3.3. Secure theSecure the best financingbest financing 4.4. Meet your home buying needsMeet your home buying needs with thewith the least amount of hassleleast amount of hassle
  13. 13. None of My Services Will Cost You a Penny* *Exception: Fairfax Realty’s $195 admin fee to cover costs of Federal, State, Local (County) compliance and quality control. Included in your closing costs and payable at settlement. In most cases we get the Seller to cover this fee.
  14. 14. My Homebuying System… Focuses on Your Needs
  15. 15. Step 1: LOAN PREAPPROVALLOAN PREAPPROVAL To Determine Your Purchasing PowerTo Determine Your Purchasing Power Find Out How Much Home you Can Afford ( by helping you getFind Out How Much Home you Can Afford ( by helping you get FREEFREE Home Loan Pre-ApprovalHome Loan Pre-Approval))
  16. 16. Step 2: Your Home SearchYour Home Search Send You Information on Homes That Match Your CriteriaSend You Information on Homes That Match Your Criteria ( our( our UniqueUnique Buyer Profile ServiceBuyer Profile Service ))
  17. 17. Step 3: OFFER ON A SPECIFIC HOME Help You Get the Home You Want Using My Specialized Knowledge
  18. 18. At Each Step, You will benefit from my Innovative Consumer Programs
  19. 19. The 3 Step Process toThe 3 Step Process to HomeownershipHomeownership 1. Your Home Loan Preapproval 2. Home Searching with my Buyer Profile Service 3. Offer to Contract Using My Specialized Knowledge SETTLEMENT & your new home keys! Inspection( s) appraisal final loan approval
  20. 20. Should I Start Viewing HomesShould I Start Viewing Homes Before I’m Loan Approved?Before I’m Loan Approved? 1. Loan Preapproval 2. Home Search 3. Contract Negotiations Settlement
  21. 21. How much house can you afford?
  22. 22. What is a GFE? What is an EMD?
  23. 23. What 4 upfront expenses are required to purchase?
  24. 24. Home Loan Pre-Approval 3 key Benefits
  25. 25. Three Key Benefits...Three Key Benefits... 1.1. You Know ExactlyYou Know Exactly How Much Home YouHow Much Home You Can AffordCan Afford
  26. 26. Three Key BenefitsThree Key Benefits 2. You Get the2. You Get the Best FinancingBest Financing
  27. 27. Three Key BenefitsThree Key Benefits 3.3. You Can Make aYou Can Make a Stronger OfferStronger Offer
  28. 28. Consider These Two Offers Buyer A (You with pre-approved Home Loan)  $ 250,000  $ 250,000  Cash Offer  No Conditions  Conditional Upon Financing Buyer B (Another buyer who is NOT pre-approved)
  29. 29. Which Offer Would You Accept?
  30. 30. Pre-Approval It’s as Easy as 1-2-3
  31. 31. 1. A Home Loan Credit Report is Generated by the Credit Bureau 2. Application Taken & Financial Details (e.g. income, assets) Are Verified 3. All Information is Forwarded to the Underwriter for Approval Pre-Approval
  32. 32. You’re Pre-Approved!
  33. 33. Step 2: My Auto E-mailMy Auto E-mail Buyer ProfileBuyer Profile Service...Service...
  34. 34. What Are You Looking For in a Home?
  35. 35. Multiple Listings Service* Buyers presentation Buyers presentation Buyers presentation Buyers presentation Buyers presentation Buyers presentation Buyers presentation Buyers presentation Buyers presentation Buyers presentation Buyers presentation Buyers presentation Buyers presentation Buyers presentation Buyers presentation Buyers presentation * MRIS (Metro Regional Info Service)
  36. 36. The MLS has information on thousands of homes for sale by ALL companies
  37. 37. How Most Realtors Pick Out Houses:
  38. 38. How Most Realtors Pick Out Houses: 1. They make a random search through the MLS 2. They pick 6-8 homes 3. They try to sell you one of them
  39. 39. The WRONG Person is deciding which homes you’ll get to see...
  40. 40. The Solution My One-of-a-kindMy One-of-a-kind Buyer ProfileBuyer Profile SystemSystem gives YOU prioritygives YOU priority access to hot new listings thataccess to hot new listings that match YOUR home buyingmatch YOUR home buying criteriacriteria
  41. 41. … I put YOU in control 1.Your home buying criteria is entered into my custom computer database 2.Every evening, my computer searches the MLS to find homes that match your specific criteria
  42. 42. … We put YOU in control 3.I only send you the homes that match your criteria 4.You can pick the homes you like and drive by them
  43. 43. … I put YOU in control 5.After driving by, when you see a home you want to look at give me a call, I’ll arrange a private showing 6.NO pressure to buy
  44. 44. YOU are in control which means...
  45. 45. NO MORE... Searching through the paper, looking at homes that may already be sold You get AUTOMATIC access to hot new listings BEFORE other buyers YOU are in control which means...
  46. 46. NO MORE... Wasted time viewing homes a real estate agent has picked out that don’t interest you You only receive homes that match your criteria and YOU pick the homes you want to see YOU are in control which means...
  47. 47. NO MORE... Pressure (most agents pick out 6-8 homes and try to sell you one of them You pick out as many homes as you want to see (there’s never any pressure to buy) YOU are in control which means...
  48. 48. NO MORE... Overpaying for the home you want Because you beat out other buyers, you can negotiate the best possible price YOU Are in control which means...
  49. 49. 10 Problems with SHORT SALES: 1. Competitive, and Often Unrealistic List Pricing 2. The Bank calls the Shots…and Dumb shots at that! 3. Property sold as-is
  50. 50. 10 Problems with SHORT SALES: 4. The Bank holds your deposit money … 5. Delays, delays! 6. And More Delays!
  51. 51. 10 Problems with SHORT SALES:: 7. Uncooperative/uninformed Realtors: 8. Little/No Closing Costs Help. 9. HOA/Condo violations or delinquencies, outstanding utility company bills from previous
  52. 52. 10 Problems with SHORT SALES:: 10. Totally uncertain, unpredictable outcome for your offer!
  53. 53. How to Beat Out Other Buyers in Multiple Offers: 1. It’s the NET not the Gross! Offer = $200,000 Seller help = $6,000 Seller net =$194,000 2. 1st impression – 1 chance
  54. 54. How to Beat Out Other Buyers in Multiple Offers: 4. Strong lender letter! 5. 1st impression – 1 chance 6.Financial Info Sheet & Bank Statement Showing Cash to Close Match
  55. 55. How to Beat Out Other Buyers in Multiple Offers: 7. The greater the contingencies (e.g. home, radon, mold, termite inspections) the less competitive the offer
  56. 56. Bank Foreclosures (REO’s): 1. Sold AS-IS, no repairs, all need work 2. Lots of competition, multiple offers 3. Usually require certified cashier check for EMD (earnest money deposit) 4. Properties sometimes have appraisal/title issues 5. Many require seller bank loan prequal
  57. 57. How to Make a Winning FCL Offer: 1. No concessions, few contingencies 2. Bumping price causes appraisal issues 3. Big deposit (2%); but make deposit in 2 installments (small initial, large balance) to give equitable rights 4. Proof of funds, buyers name on EMD check, completed financial statement
  58. 58. Step 3: Negotiating your offerNegotiating your offer with mywith my SpecializedSpecialized KnowledgeKnowledge
  59. 59. When You find the home you want, I will 1.Help you prepare an offer that meets your needs and a Comparative Market Analysis (CMA) showing the relative value of the asking price. 2.Present the offer on your behalf to the seller 3.Negotiate all terms and conditions of the offer in your best interest
  60. 60. In Summary... HowHow YouYou BenefitBenefit
  61. 61. You get pre- qualified FREE of charge for a home loan and get access to special financing You can afford more home for your money HowHow YouYou BenefitBenefit
  62. 62. You AUTOMATICALLY receive the best new listings that match your criteria BEFORE the average buyer knows about them You can beat out other buyers to hot new listings HowHow YouYou BenefitBenefit
  63. 63. You are represented & backed by my Specialized Knowledge You get the house you want at the lowest possible price HowHow YouYou BenefitBenefit
  64. 64. None of these Valuable Services Costs You a Penny*
  65. 65. All We Ask in Return is Your Loyalty
  66. 66. Your Offer to Purchase Real Estate Docs
  67. 67. What to Say and Do When You Come Across Homes on Your Own
  68. 68. What to Say and Do When You Come Across Homes on Your Own 1. If you see a home you like, feel free to call for information but always tell the agent that you’re working with us (this will prevent you from being hounded by other agents with questions and sales pitches)
  69. 69. What to Say and Do When You Come Across Homes on Your Own 2. Get the price and (if available) MLS number and I’ll send you complete information 3. If you see a house you want to look at, always call ME for appointments
  70. 70. Why Couples Should Look At Homes Together
  71. 71. How We Schedule Private Home Tours
  72. 72. The Next Step ...The Next Step ...
  73. 73. One of my many Success Stories
  74. 74. Dear Mr. Dent. My family would like to extend our heartfelt gratitude for making one of our dreams become a reality (to own a house). We thank you for your patience, professionalism, and knowledgeable ways of dealing with every need that we had when we were on the process of purchasing our property. From the very basic to the most complex part of the process, you were there with us. My family, especially my kids Joshua, and John were happy to see you all those times you worked with us because you made them feel that you care for our family. Having you as our realtor is a tremendous blessing to us. May the good Lord continue to bless you and your family so that you may continue to bless others. Ronaldo and Melany Garcia A Proud Home Owner of 5104 Marlborough Pl. Upper Marlbor, MD 20772
  75. 75. Joe’s NEW-Home Buyer Seminar
  76. 76. Everybody has heard of a new-build “horror story.”
  77. 77. 1. It always takes more TIME, MONEY, PATIENCE than the original estimate. 2. NEW construction does not equal SOUND, QUALITY construction! 3 TRUTHS about Buying a New3 TRUTHS about Buying a New Home No One Will Tell YouHome No One Will Tell You 3. HIGH PRICED construction does not equal SOUND, QUALITY construction!
  78. 78. How You and I Will Work Together 1. Call me before visiting & registering at any new home sales center, or talking to any builder sales rep. 2. To represent you as your buyer agent with the builder, I have to be present with you at the time you register with the sales rep, or give any information about yourself. We have to come in the door together! 3. Builders will only recognize & cooperate with buyer agents who register with their buyer clients.
  79. 79. “The construction of our home in Hanover has truly been one of the most stressful and challenging tasks we have ever faced. Our initial troubles dealing with our builder and the construction details left two new homebuyers like ourselves in a near tailspin.
  80. 80. Money Bombs!Money Bombs!
  81. 81. Money Bombs!Money Bombs! 2. Can be (a) cheap materials behind the walls, (b) defective installation of good products, or (c) competent installation of cheap appliances, fixtures, components, in front of the walls. 1. Special scams or rip offs that can trip up new home buyers.
  82. 82. Money Bombs!Money Bombs! 5. Hurricane Andrew August 1992 in Dade County Florida 3. Too many builders operate under the cheaper the better philosophy. The rush for profit can be at your expense. 4. Home inspectors say one in three homes has serious flaws or code violations which don’t show up for years sometimes.
  83. 83. No better measure of defective homes than the “Hurricane Test” Andrew ripped off the roofs of 100,000+ homes. Much of the destruction caused by defective construction.
  84. 84. Miami Herald . . . “The homes most damaged by the hurricane were built recently in the 1980’s & later. By contrast subdivisions right across the street that were of older vintage . . .”
  85. 85. “. . . often suffered LESS damage. The reason is clear: homes built in the last 10-20 years were riddled with defects that directly contributed to their destruction in Hurricane Andrew.” By the way! Dade County FL has some of the strictest building codes in the nation!
  86. 86. The Paper Trail: Protecting Your Rights With A Good Contract
  87. 87. When you sign a contract, you might as well consider that pen in your hand to be a stick of dynamite.
  88. 88. How Bad Contract ZapHow Bad Contract Zap Good BuyersGood Buyers
  89. 89. 6. Builders have expert lawyers6. Builders have expert lawyers & take extensive classes all& take extensive classes all designed to limit your rights –designed to limit your rights – and their liability for problems.and their liability for problems.
  90. 90. Builder’s Side of Contract Buyer’s Side of Contract
  91. 91. Here’s how you can takeHere’s how you can take control of the process:control of the process:  DO YOUR HOMEWORK BEFORE YOU STEPDO YOUR HOMEWORK BEFORE YOU STEP INTO A MODEL.INTO A MODEL.  A. Research the builder in local papers.A. Research the builder in local papers.  B. Check out Hoover’s OnlineB. Check out Hoover’s Online (( for profiles of 8500for profiles of 8500 companies including their latest SEC filingscompanies including their latest SEC filings and reports from analysts.and reports from analysts. C. Check to see if the builder has been suedC. Check to see if the builder has been sued by a site calledby a site called Cost:Cost: $1.50-$6.95 for a search, and $2.95-$6.95 for$1.50-$6.95 for a search, and $2.95-$6.95 for a detail record.a detail record.
  92. 92.  Ask for the price lists, options list,Ask for the price lists, options list, and brochures up front.and brochures up front. Here’s how you can takeHere’s how you can take control of the process:control of the process:  See “real” homes. (homes lived in bySee “real” homes. (homes lived in by real, live people!)real, live people!)  Check out the “modelCheck out the “model variances.”variances.”
  93. 93. Ryan Homes (NVR) The Ripp-Off Report and www.ripoffreport.comm
  94. 94. The Most Important PartThe Most Important Part of This Presentation …of This Presentation …
  95. 95. The 1The 1stst of 3 Most Critical, Time-of 3 Most Critical, Time- Sensitive Points for a HomeSensitive Points for a Home Inspection During ConstructionInspection During Construction 1.1. FoundationFoundation (before backfill!)(before backfill!)
  96. 96. The 2The 2ndnd of 3 Most Critical, Time-of 3 Most Critical, Time- Sensitive Points for a HomeSensitive Points for a Home Inspection During ConstructionInspection During Construction 2.2. Pre-drywallPre-drywall
  97. 97. 3.3. Pre-Pre- settlementsettlement walkthroughwalkthrough The 3The 3rdrd of 3 Most Critical,of 3 Most Critical, Time-Sensitive Points for aTime-Sensitive Points for a Home Inspection DuringHome Inspection During ConstructionConstruction