Buying Real Estate

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Buying Real Estate

• An Overview

John OConnor Jason Highland Keller Williams
Realty Boston-Metro Keller Williams
Boston-Metro 617. 861.3642 tel. [phone]
tel. John_at_BostonCity Homes.com Jason_at_BostonCityHo
mes.com
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Why This Meeting?

• Education
• Understanding your rights.
• Smarter clients are better for everyone!
• Prepared buyers can act faster if needed.
• Meeting state and ethical requirements.
• Providing an overview of the buying process
• Knowing what to expect so there are fewer
  surprises along the way.
• Explaining how I work.

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You Have Four Options

• Do nothing.
• Decide to work on your own.
• Decide Im not the one for you.
• Decide to work with me.

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Buying Your First Home Step By Step
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Step 1 - Start with the Lender

• Ensure that you can get a mortgage.
• Understand how much you can spend.
• Get pre-approved before you look
• What is pre-approval?
• How does it work?
• How is it different from pre-qualification?
• Why does it make you a stronger buyer.
• I can help refer you to excellent mortgage
  brokers if you dont already have one.

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Step 2 Where I Come In

• Consultant vs. salesperson
• Help you determine whats important to you
• Act as your guide in your new home search
• Set up showings
• Watch the market, preview properties
• Provide you with the information that you need
• Lead you through the negotiating process
• Coordinate smooth interaction between all parties
  (buyer, seller, real estate agents, mortgage
  brokers, attorneys)
• Answer questions and guides you through the
  closing process and beyond
• Stay with you beyond the closing

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Step Three The Search Begins
Client Tools
Agent Tools
MLS Database
Realtor.com
MLS Link search tools Daily LINK MLS
updates Additional pix, v-tours andinfo (MLS
listings) Broker previews Peer networking
E-mail updates
LINK Database
Boston Homes
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Step Four Viewing Property

• Scheduled Appointments
• Typically arranged by me, along with the listing
  agent.
• Normally requires 24 hours notice.
• Sunday Open Houses
• I can accompany you, or
• You can go on your own.
• Let the agent know youre working with me.
• If you must sign in, sign in with my name.
• Do not contact other agents directly!
• If you see something that interests you, call me
  and I will get the information on your behalf.

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Step Five The Purchase Process

• Offer To Purchase
• Outlines basic terms and conditions of the sale
• Price, dates, conditions, financing
• 1,000 check
• Is a serious legal commitment
• May take several rounds to come to agreement
• Inspection
• Chance to understand condition of property
• Renegotiate some terms based on report if
  necessary
• Purchase Sale
• Standard agreement outlining all the specific
  legal requirements between buyer seller
• Typically need 5 to 10 down at PS
• Mortgage Commitment
• Last date by which you can exit the deal for
  failure to secure financing
• Closing
• Signed, sealed, and delivered!

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Cost to Think About

• Purchase Costs
• 1,000 at Offer
• 5 10 at Purchase Sale
• Any additional down payment at closing
• Additional Fees
• Lawyers fee for Purchase Sale
• Bank fees for Mortgage
• Closing costs
• Lawyer fees for handling the closing
• Title insurance
• Miscellaneous fees
• Tax escrows
• These can vary greatly

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Big Picture Timeline
Get Ready
Mortgage Pre-Approval
Search
Offer Negotiation
Closing
BR!
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Work with a Buyers Agent

• Buyers Agent
• Works for the you.
• Puts the your interests first.
• Usually paid by the seller.
• Consults with you, offering you
• Opinion, strategy, insight
• Legal and ethical responsibility to treat both
  parties fairly.

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Baseline Services

• Provide ready access to inventory via LINK MLS
• Provide basic data on values and taxes.
• Provide basic neighborhood info.
• Provide overview of the whole home buying
  process.
• Make referrals to lenders.
• Show properties and describe basic attributes and
  amenities.
• Explain review standard forms.
• Submit and negotiate offers.
• Disclose material known facts about the
  property.
• Offer property without regard to race, creed,
  sex, religion, national origin, familial status
  and sexual orientation.
• Monitor deadlines subject to final review and
  enforcement by buyers attorney.

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Consultative Services

• Enter into an agreement with the you representing
  your interests.
• Provide insight and opinions on merits and/or
  drawbacks on individual properties including
  resale potential.
• Provide analysis and guidance as to value of any
  property you may consider purchasing.
• Provide guidance and advice in drafting offers.
• Consult with you regarding strategy counter
  offers.
• Provide referrals and recommendations for home
  inspectors and attorneys.
• Keep all information confidential including
  motivation for purchase and highest amount you
  may be willing to pay.

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Massachusetts A Special Case Dual Disclosure

• What happens when a Buyer Client wants to buy a
  property listed by his/her Agent?
• Because the agent is likely to be privy to
  information on both the Sellers and Buyers
  side
• Agent can not advocate for either side.
• Agent acts as facilitator to bring together both
  parties.
• Agent has a legal and ethical responsibility to
  treat both parties fairly.
• Agent must disclose this situation to both
  parties and both buyer and seller must agree to
  dual agency.
• This also happens when a Buyers Agent client
  wants to buy a property listed by that Agents
  office

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Now Lets Talk About Me

• Buying a home is serious business and I take your
  business very seriously.
• But we will have fun I promise!
• My commitment to my clients
• Keep the of clients low in order to provide
  outstanding service
• Referrals
• Focus my efforts on my clients, not on finding
  new ones.
• The transaction is important, but our overall
  relationship is critical.
• I want to earn your referrals.
• I will not vanish after the sale.
• Consultative approach.
• Information, not pressure.
• Our Agreement . . . If we decide to work together
  we will memorialize our agreement in writing.

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Forms Forms Forms!

• Agency Disclosure
• What the State wants you to know
• Buyer Agency Agreement
• Consent to Dual Agency
• So I can show you our office listings
• Inspection Fact Sheet
• What you need to know about home inspections
• Lead Paint Disclosure
• State mandated lead paint form

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After Closing

• Ongoing relationship!
• Use me as a resource.
• I will continue to stay in touch with you as a
  client (and if in the city, as a neighbor).
• Referrals
• If you are happy with me, then let me help people
  you know as I helped you.
• Best way to let me know I did a great job is to
  refer people to me.

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Contact Information

• John OConnor
• 617.861.3642 tel.
• 617.542.0012 fax.
• John_at_BostonCityHomes.com

• Jason Highland
• 617.861.3621
• 617.542.0012
• Jason_at_BostonCityHomes.com