The When, How & What Guide to Buying a Home in Today's Real Estate Market

Where homeownership education takes flight!

The When, How & What to do Guide to Buying Your Home

Thank you for attending

We will begin in a momentClass Scheduled to begin at 6:00pm

Homeownership Educator

Scott SchangBranch Manager

Broadview Mortgage Corporation

1-866-667-6724


When, How & What to do Guide

The Purpose and Goals of this Class

• Purpose: To present you with an insider’s perspective on how the Real Estate industry has changed and how you can gain the advantage

• Goal: Help you to understand your local real estate market in terms of price, timing, competition

• Goal: Use the internet to educate yourself about the home buying process and avoid the traps and tricks by 99% of the websites out there

• Goal: Understand what will give you an advantage in competitive buying environments



Topics we will cover

• When to buy: How to identify “the competition” in your local real estate market

• How has the internet has changed the real estate industry and the home buying process

• What you need to know about gaining an advantage in a highly competitive offer environment

• Wrap up and Take Aways



Getting the most value out of the class

• You may type questions in at any time during the presentation – Questions box on your screen

• Homeownership experts are standing by to answer your questions during the presentation

• This is an interactive learning environment. You will get the most value by having your specific questions answered

• The only dumb question is the one you don’t ask

Write this number down in case of technical difficulty

1-866-667-6724



When to Buy: How to Identify “The Bottom”

• The bottom of the market is not a tangible or measurable event – It’s more about luck

• Luck is when preparedness meets opportunity– Preparedness: Educated about your local market– Opportunity: Approved for financing

• Throw in the education necessary to hire the best team to give you a competitive advantage and you’ve got a recipe for home ownership

• Let’s talk about what tools are available to you for determining the “right” time to buy and what kind of competition could expect



Tools for Measuring “Competition”

• Your local real estate market is unique and presents it’s own unique opportunities and challenges

• Your real estate agent can provide you with market reports. These market reports can be very valuable.– Median home price – where do you fall?– Activity by sales price – Competition– Sales price trends – Rate of change +/-– Inventory trends – Less homes, more competition– Days on market – Less days, more competition– CMA for homes you’re interested in



Factors that affect affordability

• Mortgage Payment & Down Payment = Affordability

• Two things that can affect your mortgage payment– Interest rates: Monitor national averages– Sales price: Sales price reports / trends

• How changes in interest rate and sales price influence the affordability of home ownership– If interest rates stay the same / sales prices up

• Requires increased down payment– If sales prices stays the same / interest rates up

• Results in less purchasing power



How the Internet has changed Real Estate

• It used to be that you would have to get information from Real Estate Agent– Your search was limited to what data was

available to the real estate agent– You had to rely on the agent to tell you what

homes are available– Real estate agents had hyper-local expertise

because they controlled information

• The internet allows buyers to shop in any area at any time at their convenience– Reliability of internet data is assumed by most

buyers




• The up-side is that home buyers can educate themselves about the home buying process.– Many professionals share their expertise and

experience openly without expectations– You can anonymously research information about

the loan process, interest rates and homes for sale without fear of being “sold to”

• The down-side is that your trust can be taken advantage of by savvy sales and marketing experts

• Attract your attention by offering what you seek– Foreclosures (unusually low prices)– Homes for Sale (require your info to view details)




• Foreclosure sites that advertise extremely low prices– Public data of specific liens – usually 2nd & 3rd – Data collection sites or subscription based

• Homes for sale – Usually out of date or inaccurate– Listings are posted and never updated– Density of “local” listings ranks higher in search – Information remains on website to attract activity– Require contact info because one thing is clear

• You’re in the market to buy a home

• Reliable sources for accurate and up to date listings– Realtor.com– MLS access from your Realtor



Gaining a competitive advantage

• Have a specific and purposeful plan– Financial plan – What payment you can afford– Building your team – Hiring a Lender & Agent

• Get approved for financing first– This will determine the price range and maximum

payment you can qualify for– Empowers your real estate agent to make

aggressive offers on your behalf– Gives you the ability to make aggressive offers

• Communicate with your lender to understand all of your loan options – there is usually more than one




• Request and understand the market data provided to you by your real estate agent to better understand your competition

• Familiarize yourself with the terms, timelines and parties involved in processing your purchase transaction

• Always operate from a position of being informed and educated. If you don’t understand something, ask




• The decision to work with a Loan Officer and Real Estate Agent is a decision to hire someone for a professional service – it is to be taken very seriously

• Hold your team accountable to high expectations of character, communication and expertise

• A quality home buying team will educate and inform you – not tell you what you should be doing and how you should be doing it.

• Always avoid pressure tactics and implied urgency

• Make sure your team specializes in the programs you are interested in qualifying for



Wrap up and Take Aways

• We are a direct Lender that specializes in CalSTRS, CalPERS, CalHFA, FHA, VA, USDA and Community based down payment assistance programs

• We are more than happy to be your “second opinion” if you are already working with someone

• We are more than happy to recommend a qualified Real Estate Agent that we have interviewed and worked with – Shares our values and education



Wrap up and Take Aways

• You will receive a “Thank you” email with links to the information we’ve talked about here today including

– Copy of power point presentation– Secure on-line loan application– Dream Home Finder request– Links to the topics we discus in all classes– Video Library – Archived Webinars


Thank You for AttendingIf you enjoyed this class – Tell a friend

Please tell us how we’re doingFollow up email includes a link to “Praise” page

Your feedback is greatly appreciated

For more information

1-866-667-6724Homeownership Educator

Scott SchangBranch Manager

Broadview Mortgage Corporation

The When, How & What Guide to Buying a Home in Today's Real Estate Market

Real Estate

Transcript of The When, How & What Guide to Buying a Home in Today's Real Estate Market