Hbw Presentation Under 1 Hour


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  • Experience shows that your market in the neighborhood your looking at Many of you may know the transactional details speech
  • What is important to you is what is important to us. Our purpose as your instructors is to expand your knowledge base… This knowledge will empower you to take necessary steps to move forward (now) 2nd- Clarity Experience shows when your values are clears your decisions are easy Take out 5,6,7 form write your name on it and guide them through it through #4 and pass them forward
  • History Shows- Cycles Mom’s Testimony Current Cycle
  • Keep It Simple! Supply fueled by repos Demand lessened by decreased loan availability This is a “buyers market”
  • In New World 3 digit number more important than ever Because banks have tightened up guidelines Can anyone tell me what this represents? Why would they give me a 15K limit? Bank looks at same factors when buying home
  • Allows the bank to determine their risk 3 bureaus Transition/Experian/Equifax Bank uses middle score- Define FICO-Handout
  • Good News- Many times your credit score can be improved in couple months FICO Handout
  • Includes getting prequalified for a home loan
  • Stability in Income - Relationship- Want Roots Benefits- Ask Class
  • Once you’ve determined home is right for you & know the benefits: Who do you meet with first?
  • Like John Like me
  • This starts at home. Sit down with yourself or your family. Look at your budget. What can we realistically afford? & still fill up w/gas Its one thing when buying a home is a sacrifice and another a strenuous burden Once you know what you can afford don’t let anyone push you above that
  • Financials- Income vs debt & documentation
  • Internet- hundreds of sites Newspaper- beginning to scale back on the real estate section Or home finder email service
  • 1 Despite what you may hear from the media, the best bank owned deals sell within days and have multiple offers; that is why you need someone who can find you the hottest bank owned homes fast and insure you are in a position of power to move quickly with an offer. 2 This is why you need someone who understands the strategy and perspective of what the banks position is and negotiates like a pit bull as if your money is there money.  3 Exactly the reason why you should work with a professional that understands home inspections, hires only the best home inspector for you, and will point out areas of concern; even recommending to walk away when the risk of future problems is too high.  4 Unlike a home being sold by an individual, banks will not accept any offers without a pre-approval from a lender (no mom and pop mortgage companies).  This is a great reason for working with a professional mortgage planner. 5 A bank owned home can have different contract timelines from a standard sale, because of this it is critical to work with a real estate professional that can manage the transactional details of your bank owned home purchase now.
  • Via MLS- Will not deal with Public Time is of the essence Work with a consultant that Knows how to negotiate when dealing w/competition like me WHAT IS THE BEST STRATEGY???
  • Hbw Presentation Under 1 Hour

    1. 1. Welcome to… The Home Buyers’ Workshop
    2. 2. Agenda <ul><li>Your Real Estate Market </li></ul><ul><li>The Importance of Credit </li></ul><ul><li>The Home Buying Process </li></ul><ul><li>Top Tips For Short Sales or Bank Repos </li></ul><ul><li>How to Find the Hot Deals </li></ul><ul><li>Your Next Best Step </li></ul><ul><li>Q & A </li></ul>
    3. 3. What’s important to us… <ul><li>Expand Your Knowledge Base because Knowledge is Power </li></ul><ul><li>Clarify your Values because when your values are clear your decisions are easy </li></ul>
    4. 4. <ul><li>Do Nothing </li></ul><ul><li>Do It All On Your Own </li></ul><ul><li>Work With Typical Realtor </li></ul>
    5. 5. 4. Choose To Work With A Real Estate Consultant <ul><li>Thought Provoking Questions </li></ul><ul><li>Take the time to discover what’s important to You about buying a home </li></ul><ul><li>Negotiate On Your Behalf </li></ul><ul><li>Oversee All The Transactional Details </li></ul>
    6. 6. Part One: The State of the Market
    7. 7. Today’s Real Estate Market <ul><li>Inventory </li></ul><ul><li>Foreclosures </li></ul><ul><li>Loan Availability/Buyer Incentives </li></ul><ul><li>What Does This Mean For You? </li></ul>
    8. 10. <ul><li>Three Categories of Homes For Sale: </li></ul><ul><li>Traditional Sales </li></ul><ul><li>Short Sales </li></ul><ul><li>Bank Owned Homes </li></ul>Entry Level 10% Bank Owned Entry to Mid Level 40% Short Sales Top 50% Price 50% Traditional
    9. 11. Pending Sales Sold (Last 30 Days ) *Pending Short Sale Does Not Mean An Offer Has Been Accepted 45% 25% Bank Owned 10% 50%* Short Sales 45% 25% Traditional
    10. 12. <ul><li>You or your realtor must know how to navigate the ins and outs of each type of transaction </li></ul>
    11. 13. Important Updates <ul><li>Home Buyers Tax Credit: </li></ul><ul><li>Extended: April 30 th /June 30 th </li></ul><ul><li>Income Limits: $125K/$225K </li></ul><ul><li>Credit: $8000/$6500 </li></ul>
    12. 14. Fed’s $300 Billion bond buy-back nears end…
    13. 15. Part Two: Your Credit Score
    14. 16. Credit Scores are Based on Five Factors <ul><li>Payment History </li></ul><ul><li>% of avail credit used </li></ul><ul><li>Mix of Credit (cc, home, car) </li></ul><ul><li># of Annual Applications </li></ul><ul><li>Length of credit history </li></ul><ul><li>Helps the lender decide: </li></ul><ul><li>“ If I give this person a loan how </li></ul><ul><li>likely is it that I will get paid back on time?” </li></ul>
    15. 17. Credit (FICO) Scale <ul><li>720 and up: Great Options </li></ul><ul><li>680-720: Average </li></ul><ul><li>620-680: Needs work (FHA) </li></ul>
    16. 18. Part Three: The Home Buying Process
    17. 19. Step One: Is Home Ownership right for me at this time? Benefits of Home Ownership are ?
    18. 20. Benefits of Home Ownership <ul><li>Control over your finances - Stability </li></ul><ul><ul><ul><li>My Rent Went up, My Landlord is in Foreclosure </li></ul></ul></ul><ul><li>Pride of Ownership </li></ul><ul><ul><ul><li>I Can Paint it Pink or Blue! </li></ul></ul></ul><ul><li>Build Equity in a Long Term Investment </li></ul><ul><ul><ul><li>My Home is Worth $$$ </li></ul></ul></ul><ul><li>Tax Advantages </li></ul><ul><ul><ul><li>Sorry Uncle Sam… </li></ul></ul></ul>
    19. 21. FAQ’s <ul><li>Do I see a realtor or lender first? </li></ul><ul><li>Do I have to have a “Buyers Agent”? </li></ul>
    20. 23. Step Two: Calculate how much home you can afford Your Credit Score Your Income Your Monthly Minimum Pmts Your Down Payment
    21. 24. Get Pre-Approved First <ul><li>Seller’s of ALL Properties Will Require You To Have A Pre-Approval From A Direct Lender Before Even Considering Your Offer </li></ul>
    22. 25. Getting Pre-Approved <ul><li>Fill out Loan Application </li></ul><ul><li>Review Credit, Financials, Work History and long term goals </li></ul><ul><li>Determine whether you qualify for FTB programs. Or, what program best fits your personal situation </li></ul><ul><li>Submit the loan package </li></ul><ul><li>Receive pre-approval letter </li></ul>
    23. 26. Down Payments Options <ul><li>Conventional Loan- 20% </li></ul><ul><li>Conventional Loan- 10%* </li></ul><ul><li>FHA- 3.5%* Minimum </li></ul><ul><li>* Mortgage Insurance Required </li></ul>
    24. 27. Step Three: Your Home Search <ul><li>Internet </li></ul><ul><li>Drive Through Neighborhoods </li></ul><ul><li>Open Houses </li></ul><ul><li>24 Hour Home Watch Email Service </li></ul>
    25. 28. Step Four: Make an Offer & Negotiate <ul><li>Comparative Market Analysis </li></ul><ul><li>Days on Market/Assess Bank-Seller </li></ul><ul><li># of Competitive Offers </li></ul><ul><li>Time to Negotiate- Knowledge is Power </li></ul><ul><li>Stay Committed to a sound course of action </li></ul>
    26. 29. Step 5 <ul><li>Your Offer Is Accepted </li></ul><ul><li>Escrow Opens </li></ul><ul><li>Turbulence Begins </li></ul><ul><li>You Close Escrow </li></ul><ul><li>You Move In….Time To Celebrate! </li></ul>
    27. 30. Foreclosures, REO’s, Short Sales, Traditional Sales What Does It All Mean?
    28. 31. Day 0 Miss Pmt 90 90 21 21 REO
    29. 32. Traditional Sale
    30. 33. Short Sale Transaction
    31. 34. Bank Owned Transaction (REO)
    32. 35. 5 Inside Secrets To Buying A Bank Owned Home Now! <ul><li>1)   The Best Deals Sell Within Days     </li></ul><ul><li>2)  Negotiating To Buy A Bank Owned Home Is Different Than A Typical Transaction   </li></ul><ul><li>3)  Bank Owned Sellers Are Exempt From Legal Disclosures of A Home's Condition   </li></ul><ul><li>4)  Your Offer Will Not Be Considered Without A Pre- Approval From A Direct Lender </li></ul><ul><li>5)  Bank Owned Homes Have Their Own Terms   </li></ul>
    33. 36. What you need to know to find The HOT DEALS <ul><li>Banks always use the services of a Real Estate Broker via MLS </li></ul><ul><li>The best deals sell within 1-3 days!!! </li></ul><ul><li>Almost always with multiple offers </li></ul><ul><li>Use caution with online sites </li></ul><ul><li>Lowest price is not always the best deal </li></ul>
    34. 37. Your Best Strategy <ul><li>Develop a relationship with a proactive real estate consultant that understands what’s important to you and can alert you to the hottest deals as soon as they come on the market. </li></ul>
    35. 38. Questions & Answers