Representing the Homebuyer
Representing the Homebuyer
Greg & Dee Szablewski "Your Buyer Agency Team"
Greg & Dee Szablewski"Your Buyer Agency Team"
23.06.2015
Greg & Dee Szablewski / Representing the Buyer
No comments
Here is another great reason why NOW is the the time to buy BEFORE prices get too high! Click the link below: Click Here
26.10.2014
Greg & Dee Szablewski / Representing the Buyer
No comments
Here is another great reason why NOW is the the time to buy. Click the link below: Interest Rates dip below 4%
22.09.2014
Greg & Dee Szablewski / Representing the Buyer
No comments
Please click the link below for the article: Click here
17.09.2014
Greg & Dee Szablewski / Representing the Buyer
No comments
For most of us, buying a home is the biggest single investment we’re likely to make – and we’re only likely to do it maybe once or twice in a lifetime. The process is, by nature, filled with checks and balances – and many complex details. Traditionally, agents were legally obligated to protect the interests of the home seller. Today preferences are changing. One of these changes is that more home buyers are choosing to have their own real estate agent, known as a buyer's agent, to legally represent them.                                                      A buyer’s agent represents you, the buyer, not the seller, and has full fiduciary duties, including loyalty to you. By definition, the buyer’s agent has your best interests in mind throughout the transaction. The percentage of homebuyers with buyer representation has grown significantly in the past decade. According to a recent National Association of Realtors® survey, nearly half (46%) of home buyers used the services of a buyer’s agent last year, and four out of every five buyer’s agent agreements were in writing. The benefits of buyer representation is the dedication of a buyer’s agent to the home buyer. The buyer’s agent and homebuyer establish a mutual agreement, known as a buyer agency agreement, that will entitle the homebuyer to, but is not limited by: Loyalty The real estate agent must act in the best interest of the buyer. Disclosure All material facts such as relationships between agent and other parties, existence of other offers, status of earnest money, seller’s financial condition, property’s true worth, commission split with other brokers, and legal effect of important contract provisions. Confidentiality Any discussions, facts, or information that should not be revealed to others but does not include responsibility of fairness and honesty in dealings with all parties. Accounting in dealings Reporting of where any money placed in the hands of the broker is kept. Reasonable Skill and Care Arriving at a reasonable purchase price and advising the buyer of such, affirmatively discovering material facts and disclosing them to the buyer, investigating the material facts related to the sale. With a buyer agency, the interests of the homebuyer will be represented in the purchase of the home. This scenario is different from a typical transaction where the buyer is not technically represented.
08.09.2014
Greg & Dee Szablewski / Representing the Buyer
No comments
Your Credit Score Consumer lending executive Neekia McCoy answers questions about credit scores that can help customers about this key instrument to credit access in the latest Your Money Matters financial planning video from REALTOR Magazine. Click the link below to watch the 5 minute video. http://youtu.be/KPLcg1lHRXA
08.09.2014
Greg & Dee Szablewski / Representing the Buyer
No comments
Think Like a Lender: It’s a Critical First Step Most people know that discussing options with a mortgage professional is an important step to finding out how much house you can afford to buy. However, few realize that understanding what lenders look for is also critical to the home-buying process. First, you need to calculate your current debt load and your price range. To determine your price range, your debt load is determined by two ratios – your Front End Ratio and your Back End Ratio. These limits may vary, but it’s wise to stick to the guidelines. The first guideline is that your monthly housing costs  should not exceed 28 percent of your gross monthly income. This is the Front End Ratio. The housing cost is your monthly mortgage payments, which includes principal, interest, taxes, and insurance. Lenders add up your housing costs and figure out what percentage they represent of your gross monthly income. Note that the better your credit score, the higher your ratio can be. Your entire monthly debt should not be more than 36 percent of your gross monthly income. This is your Back End Ratio. Again, the better your credit, the higher the ratio. Your entire debt load includes housing costs plus all other debt payments – car loans, credit card payments, loans, lines of credit, alimony, etc. The maximum home price you can realistically afford depends on a number of other factors as well. These include your household gross monthly income, your down payment, and the mortgage interest rate. If your calculations show that you are ready to begin the home buying process, then the next step is getting preapproved. Not only is this confirmation that you are approved for a set amount, it will also lock in a favorable interest rate. The hardest part for many first-time home buyers is saving for the down payment. There are options available, and first-time home buyers should speak to their mortgage professional.
12.02.2014
Greg & Dee Szablewski / Representing the Buyer
No comments
The scam first targeted home buyers in Madison and the northwest part of Wisconsin, but in the past few months has had some success soliciting home buyers in Milwaukee. Click here to read more.
24.12.2013
Greg & Dee Szablewski / Representing the Buyer
No comments
When a lender forecloses on a person’s property, a sheriff’s sale will eventually occur. The lender will often bid the outstanding mortgage amount that is still owed by the homeowner at the sheriff’s sale and receive a sheriff’s deed to the property. Property owned by the lender is referred to as a Real Estate Owned (REO) property.  Rather than manage and sell the REO property itself, the lender often turns the affairs of the property over to an asset management company, which negotiates the new sale on the lender’s behalf, working through a Wisconsin real estate agent to list and sell the property. Frequently, neither the lender nor the asset manager is in Wisconsin and they are unfamiliar with Wisconsin real estate forms and laws. They have not seen the property so they are in no position to make meaningful disclosures about the property condition. They do not know whether there are serious defects like frozen/leaking pipes, etc. REO sales are “as-is, where-is” transactions: the seller (lender) does not make property condition disclosures and often will not make any repairs. Negotiations to purchase an REO property typically start on the Wisconsin offer to purchase form (required to be used by licensed real estate agents in Wisconsin), but the REO seller (lender) typically has a lengthy REO addendum that they want added to the contract that overrides many of the Wisconsin offer to purchase provisions.  This REO addendum is written by the lender’s legal counsel, favors them, as the seller, and is often difficult to understand. The REO seller (lender) usually will not allow any changes to this addendum by the buyer. Because it is not a Wisconsin form, Wisconsin agents cannot explain the meaning and implications of the lender REO addendum provisions to the buyer (to do so would be illegal,) so the buyer is encouraged to speak with an attorney who can interpret the addendum and answer the buyer’s legal questions. REO sellers and asset managers often respond verbally to offers and will not provide written counter-offers. It is up to the buyer to re-write the offer, based on the verbal terms provided by the lender. Until a purchase contract is in writing and signed by both parties, it is not final and 100% binding under Wisconsin state law. An asset manager or listing agent may only have the ability to give a conditional acceptance, while final acceptance requires the corporate lender’s approval. Sometimes the lender might change the terms of your offer or even sell to another buyer, while still in negotiations with you. Many REO sellers also use a title company that is not in Wisconsin and not familiar with Wisconsin law; some also appear to try to short-cut the process (and save money) by providing less coverage and protection than under a traditional Wisconsin title insurance policy.  There also may have been title errors if short cuts were taken by the lender during the foreclosure process, which may lead to additional risks and expenses for the buyer. Because of these issues, it’s always a good idea to remember that a property sold by a distant lender or asset manager (REO property) often was acquired through a foreclosure.  REO sellers do not make disclosures about the condition of the property and may include an addendum that minimizes the seller’s responsibility to provide proper proof of title and modifies other contract provisions, which may take away your negotiating advantages as a buyer. I recommend that you consider the following measures to protect your interest in an REO transaction: 1.       Have your attorney review the offer to purchase; other purchase documents, including any REO addendum; and the title evidence. 2.       Either (a) purchase the loan title insurance commitment for the your lender from a local title insurance company, or (b) purchase your own title insurance commitment (in addition to that provided by the seller) from a local title insurance company to double check the title work (this may involve additional costs). Be sure the local title agent checks all pertinent municipal information including city orders and zoning. 3.       Obtain inspections and tests to determine the property condition. 4.       Take direction from the attorney before closing or providing any closing funds.
03.12.2013
Greg & Dee Szablewski / Representing the Buyer
No comments
The article below helps illustrates that the market is continuing to turn around. It is a seller's market in many areas of SE Wisconsin and that's the reason it's more important than ever to be represented during the home-buying process. Click to view the article
10.10.2013
Greg & Dee Szablewski / Representing the Buyer
No comments
In January 2014, I’m confident the courts will rule in your favor regarding the residency you deserve. Suffice it to say that the MPA has fought long and hard for this change in law and despite the Mayor’s continued blatant failure to follow the law, you will persevere in the long run. He will be left, once again, licking his wounds, more worried about razing foreclosed properties and going door to door with a ridiculous co-sleeping campaign, than dealing with the real issues that make Milwaukee a safe place to live. But I digress for a moment……………. Background and Historical Perspective For many years, while residency rules were in place, I helped employees from many city departments move their families out of Milwaukee while they maintained a legitimate residence within the city limits proper. Throughout the years, I came to understand personally the issues and potential risks associated with city workers doing this because IT WAS NEVER CLEARLY EXPLAINED BY ANYONE WHAT IT MEANT TO ACTUALLY LIVE IN MILWAUKEE! At that time, there were archaic guidelines from the 80’s and 90’s that were still being used to determine an employee’s primary residence. It was a so-called high stakes “game” that was being played where the rules were set by Internal Affairs and the rules are always changing as they saw fit. It was completely subjective whether or not an employee was living in Milwaukee and THEY DETERMINED if a violation was taking place. At risk was the employees’ pension. It was not a lifestyle that many city employees wanted to participate in, given this risk, even though many had thought about it and wanted to do it. After seeing the success and happiness of the families that actually decided to move out, and in following up with the city employees about any regrets or mistakes with their decision, I became one of those employees as well.  After a few years of contemplating doing it myself and having seen the many other families that had already made the move, along with researching the different communities, my family decided it was time for them to move.  In July 2002, my family moved out of Milwaukee, while I spent the last 6 years of my career still living Milwaukee. They settled in the Town of Waukesha (excellent schools, country living, low taxes and close enough, yet far enough away) and I settled in around the Serb Hall area. Given my background in real estate, having helped these aforementioned families and my desire to give my kids a better education, word must have quietly and quickly spread because I had more city employees contacting me than ever before about this whole “moving out of Milwaukee” issue. After hearing what I had to say about the pros and cons, many city workers moved their families out, some did not. As one city employee put it, I had become the unofficial “underground” move-out-of-Milwaukee expert. Fast forward to Gov. Walker’s passage of the residency law, and none of these issues and concerns apply to anyone today who wants to make a better life for themselves and their families. But there are still some important things that need to still be considered if you’re contemplating moving out of Milwaukee. Considerations If you’ve been considering or have already decided to move out of Milwaukee, but are waiting until the lawsuit is settled, that’s understandable. But there are things you should consider doing right now that will put you in a position of advantage when it’s time to” make the move.” Before I get into my 3 key points, you must know that outside of Milwaukee proper, real estate didn’t take “as big” a hit in value and currently prices are quickly moving back up and it most areas, it is now a seller’s market. That means that, as a buyer, you will be in somewhat of a disadvantage when it comes to offering a price on a property. Just keep this in mind as you read on! 3 key points The 1st and best piece of advice I have for you is to get your financing preapproved. Use a local mortgage company and stay away from the online lenders or those who advertise on TV and who require you to mail away your sensitive documents. Lender preapprovals only last for 90 days, so it may seem a little premature to do so, given the pending lawsuit, however, preapprovals are routinely extended if nothing has changed in your financial life. Not everybody finds a new home in 90 days so having to extend the preapproval is “usual and customary” stuff. Getting preapproved starts with having your full credit report pulled to make sure nothing appears on it that shouldn’t be and that your scores are where they need to be. The “free” credit reports aren’t going to work in this situation. You should have the credit report pulled from a reputable mortgage company. Believe me when I tell you that these reports are completely different than those “free” ones we all here about.  With credit report pulled, the preapproval process begins and usually takes less than 2 days to complete. A full loan application is taken; including income and asset verification and all is submitted to the lender. Once preapproved, the lender commits to borrowing you “X” amount of dollars and sets that money aside for 90 days. If you buy within that time period, the money is available to you. If you don’t, the preapproval expires and can be resubmitted WITHOUT A NEW CREDIT REPORT for a fresh 90 preapproval.  The 2nd thing that should be done is determining how much new home you can afford and where you’d like to live. Obviously, Milwaukee isn’t in the equation for you, thanks to Tom Barrett taxes and failed MPS, among other things. This is where another conversation needs to take place. There are many factors that need to be taken into consideration. The discussion will include things like: what’s my  time frame, how much house can I really afford, what’s my current house worth, should I sell first and then buy, am I even able to afford a new house, where are the best schools, etc. Everyone’s situation is personal and these questions and concerns are best addressed during a meeting. During the meeting(s), either in person and on the phone, or both, a plan of action can be developed and put into place.  Desired communities and neighborhoods will be determined and the likes, needs and desires of the new property should be established. Once complete, any available properties in the MLS (multiple listing service) that meet as many of your requirements as possible will be emailed to you. The MLS system is the system Realtors use to list and find properties.  Once you’re entered into it, you will receive live updates about new properties that come on the market and/or any price changes. The biggest advantage for you during this step is going to be that you can now begin to effectively monitor and visit different properties in desired communities and get to “know” the nuances of each area and property you look at. It doesn’t hurt to get out there and actually start looking at properties so that you are prepared and educated when it’s time to write an offer. The 3rd thing that needs your attention depends on whether it’s determined you must sell your existing house in order to buy a new one outside of Milwaukee. Many times, this is the case because most people, including cops, can’t afford both mortgages and even if they could, they don’t have the down payment money needed to buy the new property. Buying in the surrounding counties is NOT at all like buying a home in Milwaukee. There are separate and distinct considerations that must be addressed such as well/septic, surveys, etc. In cases like these, my recommendation is to hire a full service Realtor at a reduced listing commission. They are hard to find but do exist. I have several reputable agents that I can recommend to help you sell your Milwaukee property. When it’s time to buy, you should be using the services of an Exclusive Buyer’s Agent. By using 2 different agents, one to sell your Milwaukee property and one to help you with the new property, you avoid the potential conflicts of interest that abound in the real estate world. This is especially important when you are the buyer, specifically because the market has turned in favor of the sellers, especially outside of the City of Milwaukee. You are going to want to make sure your interests as a buyer are being looked after, especially when the system is designed to protect the seller’s best interests. Conclusion So to offer a quick recap:  1.     While waiting for the lawsuit to be settled, your financing will have been preapproved and waiting in the background. 2.     You’ll have time to research your interested communities even further and will be receiving MLS listings of properties that you can actually look at. 3.     And finally, you’ll have set yourself up with a full service Realtor to list your Milwaukee home when you’re ready to do so and you’ll have a different Realtor, who is an exclusive buyer’s agent, and probably several new properties that you’ll want to look at while the lawsuit is settled.  Once you decide the time is right for you to buy outside of Milwaukee, by taking these 3 easy steps, you will be in a much better position to get the home that you want on terms that are beneficial to you as a buyer.

Questions?

Greg & Dee Szablewski

Your Buyer Agency Team

Your Home Buying Agency LLC

910 Elm Grove Road, Suite 31

Elm Grove, WI 53122

 

Greg's Cell: (414) 870-6102

Dee's Cell:  (414) 630-0903

e-Fax:         (262) 650-9652

Email us at: gnd@yourhomebuyingagency.com

Or use our Contact Form.

Important Tip

Get your Financing Preapproved!

It's more important now than ever before to get your financing pre-approved. Since the mortgage meltdown of 2008, homebuyer's must have "all the right stuff" in order get mortgage financing.

 

With that in mind, your mortgage pre-approval should be the FIRST thing you do.

Print Print | Sitemap Recommend this page Recommend this page
© 2013 Greg/Dee Szablewski "Representing the Homebuyer"