A BUYER ORIENTATION
Dennis Toomey, CRP, CRS, GRI, ABR
RE/MAX Territory
41 Arlington Heights Road
Elk Grove Vil., IL. 60007
847-956-2800
THE TWO MAIN REASONS PEOPLE BUY HOMES:
TAX ADVANTAGES
Property taxes and qualified home interest are deductible
on Schedule A, for itemized deductions
INEVESTMENT POTENTIAL
The largest investment for most people is their home. In the long run, investments in homes far outpace inflation. Homeowners build equity and, in most states, can borrow against it.
TAX BENEFITS
(Dennis has to redo this section will give to me to type later)
Describe what you are looking for in a home.
What things are most important to you in a home:_________________________________
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Are schools important? _____________ If yes, which ones and why _________________
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Where do you want to live? _________________________________________________
What style home do you prefer? ______________________________________________
When do you want to move in? ______________________________________________
How many bedrooms? ______________ How many living areas? ___________________
How many baths? ___________________ What size garage? ______________________
When is the best time to look at homes? ________________________________________
If we found the right home for you today, would there be anything that could keep you
from buying it? _______ Does anyone else have to approve of your purchase? ____________
________________________________________________________________________
As a member of the Multiple Listing Service, I can show you any property.
If you should see an ad in the paper or a sign in a yard, call me to find out the information. If you want to see it, I’ll show it to you.
A homeowner trying to sell his home himself is usually doing so in hopes of saving commission. Coincidentally, this is the reason a buyer wants to deal directly with a homeowner.
Usually a homeowner will work with an agent, even though his home is not listed, if the agent introduces the buyer to the property.
If you should see a FSBO and want the advantages of my services, please let me contact the owner and set the appointment.
I can work with most builders and can get all the information you need to make any decisions, but I will need to accompany you to the property on the initial visit.
By letting me help you with builders, you get all the services offered in this presentation and those offered by the builder as well.
You’ll get more, but you won’t pay more for it.
Including taxes & insurance, what monthly payments do you want: $___________
What approximate price range do you want to look in: $___________
How much cash do you have available for a down payment? $___________
Does this including closing cost? _______
Are you currently renting? ____________ If yes how much rent: $___________
Do you currently own? _______________ Do you need to sell before buying? ______
How much do you think your home is worth? $___________
What is the unpaid balance? $___________ interest rate __________% term_________
dated ___/___/___ type of loan _____________________ monthly payment $_________
List your regular monthly payments (installment debt, revolving charges, student loans, etc.)
Description Amount
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Are you currently on all debts? ________ Is there any problem with your credit? ______
What is your monthly income: $_________ Your spouse’s monthly income $__________
Do you have any other monthly income? $___________
Employed_________Self-employed_________How long have you been employed with this employer?______________ Where?_______________________________________
Have you or your spouse ever taken bankruptcy?__________ If yes, explain:__________
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Have you or your spouse had a home foreclosure?_________ If yes, explain:__________
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Many buyers are applying for a loan and
obtaining approval before they find the home they
want to buy.
Here are the benefits:
You look at the “right” homes.
You save money dealing with a
comfortable seller.
You close quicker.
You minimize trauma of not knowing
whether or not you qualify.
Employment
Addresses for two full years
Gross monthly income
W-2s, if available
Proof of pensions, retirement, disability or Social Security
Proof of income from rentals, investments, etc.
Proof of child support or alimony paid/received
Year to date pay stub
If self-employed:
Two years 1040 Tax Returns
Current year profit and loss statement
Each creditor’s name, address and type of account
Account numbers
Monthly payments and approximate balances
Amount of child care expenses
Names and addresses of saving institutions
Account numbers for all accounts
Type of accounts and present balances
Miscellaneous
List of assets in stocks, bonds, land
Life insurance cash value (documented if used as cash down payment)
If applicant is selling a home, a copy of sales contracts
Social Security numbers for all parties
Veterans – Certificate of Eligibility & DD – 214
Cash or check to pay for application fee
Copy of sales agreement
Copy of listing on property
Instructions on how appraiser is to gain entrance
You can include a provision in the sales
contract that gives you the right to inspect the
mechanical, electrical, plumbing and structural
portions of the property.
There are inspection companies that provide
services of this type. You can accompany the
inspector to ask questions and receive a written
report itemizing any areas of concern.
If repairs are needed, you can request the seller
to make them in accordance with the provisions
of the sales contract.
As an additional benefit, some sellers provide a
home warranty for the buyer. This coverage is
good for one year on selected items:
If the home you choose does not have a home
warranty, you can acquire the coverage yourself.
COMPARATIVE MARKET ANALYSIS
A written report of the transactions in the neighborhood to identify similar
properties that have sold recently and are currently on the market in an
effort to determine a realistic price for the subject property.
Written proposals such as Buyer Qualification, Financing Plans, 15 year vs. 30 year
mortgages, Adjustable vs. Fixed rate mortgages, Rent vs. Buy, Repurchase Analysis,
and Amortization schedules that will help buyers and sellers in the decision making process.
MARKETING PREPARATION GUIDE
A report designed to help the homeowner maximize the marketing efforts by
improving the condition of the home, “setting the stage” before showings, and
knowing what to do when the property is being shown.
A simple and easy to understand form that shows the tax advantages of owning
a home and the net cost of housing after applying them. It also illustrates
the investment potential of home ownership.
A complete portfolio of information about the city you are moving to. This
can be very helpful in orienting you to the local housing market as well as
schools, shopping, transportation, entertainment, and many other things.
WHAT I CAN OFFER YOU
· Financial advice in making decisions
· Knowledge of the Neighborhood
· Appropriate Houses to Consider
(What you want and what you can
afford in an area you want to live in.)
· Active effort to find you the “right” home
