Today is August 25th, 2018 and we are looking at ways to keep your home’s foundation safe and strong. Clint Cooper of Redeemers Group will be sharing common tell-tale signs of trouble. I will be sharing 3 or 4 proven procedures you can march through to feel good about the home you are buying and the financing you use to get it.
What do YOU want to accomplish with YOUR mortgage? Let’s stay in touch! Subscribe for Real Estate Mortgage Shoppe weekly podcasts and show notes at www.JoGarner.com Call and let’s get started on YOUR financing plans (901) 482-0354. Online secure loan application available if you prefer at https://jogarner.evolve.mortgage
To Your Success,
Jo Garner, Mortgage Loan Officer NMLS# 757308 (901) 482-0354 Jo@JoGarner.com
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Hello to real estate and mortgage listeners!
Good morning, Memphis! Welcome to our internet listeners and podcast listeners across the 50 states! You’re on Real Estate Mortgage Shoppe. I’m your host, Jo Garner, Mortgage Loan Officer. You can connect with me at www.JoGarner.com. Our general topic is BUILDING A FIRM FOUNDATION FOR YOUR HOME, YOUR MORTGAGE, YOUR LIFE. Thank you to Joe Rojas of Quality Title Group for sponsor’s Real Estate Mortgage Shoppe today. Do you know someone who is buying a home or refinancing one? For title work and closing, Contact Joe Rojas at (901) 289-5821.
Digging Into The Foundations of Your Home and Mortgage
Today is August 25th, 2018 and we are looking at ways to keep your home’s foundation safe and strong. Clint Cooper of Redeemers Group will be sharing common tell-tale signs of trouble. I will be sharing 3 or 4 proven procedures you can march through to feel good about the home you are buying and the financing you use to get it.
Introducing Foundation and Basement Repair Expert
We have back in the studio Clint Cooper, owner of Redeemers Group, fixers of foundations and basements. Clint, you have been in the foundation repair business since 2007 and you have published several articles and a book on your areas of expertise. I believe you were also recently named as an INC magazine top company to watch. Take a minute or so and tell us a little more about yourself and what you do for your clients.
Musings From Ground Zero
(Jo) When we talk about laying a firm foundation it brings back memories of my visit to Ground Zero in New York City a few months after 9/11 to pay my respects to those who lost their lives. At the time of my visit, the area had been cleaned up with nothing left but a very deep hole which had served as the basement of the erstwhile buildings.
The Twin Towers had 110 stories and weighed 1,500,000 pounds. Fifty thousand people worked there. Thirty thousand cups of coffee were served there every day. Three thousand five hundred construction workers labored there during peak construction and 60 of them lost their lives on the job.
So many thoughts and feelings swept over me as I stood at Ground Zero. The area below-ground was stunningly 70 feet deep with 7 levels underground. Gazing down that far to bedrock reminded me of a well-known quote about tall buildings in general. “It’s not the beauty of a building you should look at; it is the construction of the foundation that will stand the test of time.”
The principle of building a foundation that can stand the test of time applies to building a home, a dream, a life. How do you want your life to look 20 years from now? 10 years from now? 5 years from now? Tomorrow? If your “want-to” isn’t strong enough to sustain you to hammer out and make the sacrifices necessary to bring to life what you envision, then maybe you should consider doing something for the benefit of others—a calling far beyond yourself.
A little later in the show we can dig into some of the questions you can ask yourself to make sure you are laying a supportive foundation with your mortgage financing that will support you today and not sink you tomorrow. But for now let’s look your home’s foundation or on the home you are about to buy.
What Are the Tell-tale Signs of Home Foundation Problems?
Clint Cooper of Redeemers Group, expert on house foundations and basements, what do we look for if we are checking for signs of a faulty house foundation?
1. SYMPTOMS
Clint: There are so many signs and symptoms, and the best thing you can do is to have it looked at as soon as you notice them to save you in the long run.
*Clint discusses all the different signs any symptoms
(Jo) You’re on Real Estate Mortgage Shoppe. I’m your host, Jo Garner, Mortgage Loan Officer. Connect with me at www.JoGarner.com or call me at (901) 482-0354.. Let’s talk about what YOU want to accomplish with YOUR mortgage. Do you want to buy a home or refinance one? Are you looking purchase a second home or an investment property? MAKE YOUR PLAN. LET’S WORK YOUR PLAN. IF THE DEAL WORKS FOR YOU TODAY, LET’S DO IT TODAY. When we come back Clint will be sharing with you some things you really need to know about your home’s foundation—and of course, the Look Back Memphis Trivia Contest. Join us on the air while we are live by calling (901) 535-9732.
2nd segment after 9:15 break: Our Look Back Memphis Trivia Contest is sponsored by John and Jennifer Lawhon of Lawhon Landscape (901) 754-7474 the Lawhon’s can help you plan your landscaping if you have a BIG, BIG project or a smaller project . The Lawhons are giving away a $25 gift card to the first person with the correct trivia answer. If you know the answer to our trivia question, call us at 901 535 WREC 901 535-9732.
Garner # 8/25/18
ANSWER: 100 N Main Building
Question: Which building is the tallest building in Memphis, TN?
Hint: I was completed in 1965
Hint: Robert Lee Hall was the architect who designed me
Hint: I stand 430 feet tall
Final Hint: I have recently been in the news about plans for a better future
Answer: 100 North Main
Recent talks with the mayor and others about repurposing 100 N Main as a multi-family residential building or a hotel.
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TOPICS COVERED BY CLINT COOPER OF REDEEMERS GROUP
Guests: Clint Cooper, owner
Overall theme- Foundation issues get worse over time.
Topics:
2. Dry season and the affect it has structurally
Jo: We are in a dry season right now. How does that affect people’s homes?
Clint: (Focus on structural) Discusses how the ground contraction and foundations begin to adjust. Symptoms of structural issues begin to appear….
3. How long people wait to address structural issues
Jo: You mentioned to me that people tend to wait a really long time to address structural issues. Why do you think that is?
Clint: Jo, thinking you have a structural issue with your home can be really unnerving if
not scary. Some recent research says that, when people call us, only 36% of
them have had the problem for a year or less. Another 36% have had the issue for 6-10 years, and the other 28% for more than 10 years. So, when people start noticing cracks in drywall or the brick on the exterior, they patch it for the time being and wait and see what happens.
Jo- interjects thoughts and asks how this affects the actual repair when it does happen.
Clint discusses how the longer you wait to address the problem, the more time and cost it will take to address it, and the difference in what the results could be.
4. SYMPTOMS
Jo: What do people need to be looking for around the home?
Clint: There are so many signs and symptoms, and the best thing you can do is to have it looked at as soon as you notice them to save you in the long run.
*Clint discusses all the different signs any symptoms
5. STABILIZING VS LIFTING
Jo: We have talked before about the difference in stabilizing a home versus lifting it back to level. Does how long you wait to address a settling foundation affect how likely it is to lift it back to level?
Clint: (concept)Discusses 1. Yes, it is harder to get aesthetic results that are desired the longer it has been settling and 2. That stabilization is always what we guarantee and lifting to level is a secondary “hope.” With the punctuation that there’s a better chance to lift to level if it is addressed in a timely manner.
6. INC 5000 etc.
Jo: Inc 5000 just released their 2018 list… I understand Redeemers Group made the list for the 2nd year in a row? (rank is 2765)
Clint: responds… (growth has been the talk for quite some time now)
Jo weighs in.
Jo: Have you been adding a lot of people to your team?
Clint: Without a doubt. We have added a tremendous number of people, and we are still looking for multiple positions, specifically within our installation and sales teams.
Jo: How would someone look into that?
Clint: Right on our website there is a Job Opportunities section. You can learn more about what it is like to be a part of our team, and what opportunities are currently available.
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TOPICS COVERED BY JO GARNER:
1. What kind of preparation goes into making sure you build a strong financial foundation when it comes to getting the right mortgage terms?
A. In the lending industry we use the 4 C’s of Credit to help us determine what terms to approve for a borrower. The automated underwriting software is set up similarly. The 5 C’s of credit are :
(1) Your character or Credit
(2) Your ability to afford to make the payments on your loan which we call , Capacity,
(3) Your amount available for funds to pay at closing and any reserve funds left after closing on your home loan. We call this Capital.
(4) Your value on the home you are buying or refinance which we call Collateral
(5) Conditions is the 5th C of Credit. Conditions might refer to how long you are going to get a certain type of income and if it is not going to be available for the next 3 years or more. If an income such as child support or other income paid regularly is set to expire or not continue for at least the next 3 years, a lender might not be able to quality you for the loan.
Jenna Jordan (not her real name) had just endured a long, drawn out divorce. At first it looked as though she would be stuck very little income to support her two sons—Jake who was 16 and a senior in high school and Jimmy who was still in 8th grade. For their sake as well as her own, she had mustered up enough energy and money to fight for child support on both children. But she was in for a surprise when it came to qualifying for a mortgage—her capacity to pay.
After selling the big home where they had lived when she was married, Jenna had what she considered a large amount of money to pay down on her next house -even though she had to split the proceeds with her ex-husband. She had the capital to pay down and still leave some reserves.
Jenna’s credit was good. Before the divorce proceedings had started, Jenna got her name off some of the credit accounts that her now ex-husband had started using. She kept her own credit card balances fairly low. The house she wanted to purchase was in good shape and at a price she could afford only if she paid down extra down payment, so the collateral was good too.
The surprise came when Jenna’s loan officer called to tell her she could not use the portion of child support paid on behalf of her oldest son because his child support was due to expire when he turned 18 years old, which was less than 3 years away. She could use the income from her work and the child support income for her youngest son.
Jenna was able to able to buy the smaller home she really wanted even though some of her income was not allowed for qualifying. She paid a little more down from the proceeds on the sale of the old home. We switched to a mortgage with a 30 year fixed rate and a little more money down to get the payment low enough to meet the income-to-debt ratio guidelines. The payment was now low enough to quality and be comfortable.
2. You have a “Get-It-Right-The-First-Time Mortgage Checklist” with questions to help your clients nail down the right mortgage program and terms. What are some of the questions on that list?
A. Getting the right mortgage is very much like laying a down a strong foundation for building your current and future financial life.
You first need to visualize what kind of life you want to have over the next 5 years so you can better determine what house payment will be comfortable for you to pay and how much money you will be comfortable putting down.
Just like when you are building a house or setting yourself up to live comfortably and still experience some of the things on your life’s bucket list, to make sure you have a supportive foundation with your mortgage terms , you want to ask yourself these questions:
– What is the maximum house payment I can afford right now?
A. Several financial gurus say that your total house note including principal and interest, taxes, homeowners insurance, and/or mortgage insurance and homeowners association fees needs to be between 25% and 30% of your gross income. Your total income-to-debt ratios, including the new house payment and payments on other debt does not need to exceed 38% to 45% of your gross income.
– Mortgage underwriting software can sometimes approve you income-to-debt ratios of 45% or upwards to 55% of your gross income. Stay within your PERSONAL comfort level though, regardless of what the mortgage software tells you.
-Consider where you plan to be in the next year, the next five years, and the next ten years.
• Are you planning to retire? What will your income be when you retire? Will you still be living where you are living now?
• Are you planning to get married? Do you plan on expanding your family? Do you plan on taking an aging family member into your home? How much do you estimate your living expenses go up? Will your income likely increase too? How much?
• Are you just getting started in your career? Is it likely your income will go up? Will you need to relocate? How long is it likely you will keep the house? What would it cost to rent versus buy a home like the one you want?
• Do you own a house with a lot of equity that you plan on selling within a year of buying the new house? Do you plan to make a very large prepayment to principal once you sell your old home?
• Do you plan on starting your own business or acquiring income-producing real estate? This might require you to keep your mortgage payment low so that you can afford to finance other investments.
-What is the maximum down payment that is comfortable for you?
Several financial gurus say that if you enjoy a stable, salaried job, you probably need about 3 months of living expenses in an emergency fund. But, if you are self-employed or get a 100% commission income, you probably need about 1 full year of living expenses in an emergency fund
– What kind of property are you purchasing?
-If the property is a fixer-upper with lots of needed repairs, you may want to consider a Renovation and Repair loan so you can finance some of the repairs.
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– Is the property you are financing a condominium or a manufactured home?
– What special mortgage programs are available to you specifically?
A. Are you a military veteran? Are you eligible for the Veteran Administration 100% VA home loan?
B. Are you a first-time homebuyer, not having your name on title to real estate within the last 36 months? There may be down payment assistance programs available to you, even if you are not a first-time homebuyer.
– What methods can we use to develop more than one exit strategy?
A. Is the property in an area that is going up in value? If you really needed to sell the home one day, you could probably do it profitably if the value is stable or headed upward.
B. Is the property in an area that is a strong rental market? In a pinch, you could possibly rent the house and get a nice income from the home.
C. Is the mortgage you have an assumable loan? If mortgage rates go up, one day someone may be willing to pay you good money to have the opportunity to quality to assume your low interest rate mortgage when they buy your home.
What do YOU want to accomplish with YOUR mortgage?
Thank you for allowing me to be on your mortgage financing journey.
B. The higher your credit score, the lower your rate.
A great mortgage FICO credit score is over 740 up to 850. A good score is 700 to 739. A ok score, but a few tiers below the best pricing would be about 660 to 699. Scores below 660 are considered riskier and some loan products will price up the rates for these credit profiles.
– One good practice is to pull your annual free credit report at www.annualcreditreport.com Review the tradelines and other information showing balances owed and payment histories. Make sure there are no erroneous entries.
– Thirty percent or more of your credit score is comprised of the percentage of revolving credit lines you use.
For instance, if you have a credit card with a credit limit of $10,000, you would never want to allow the balance owed during the month to move up over $3,000—even if you pay it off regularly. Keeping your balance owed on a revolving credit line under 30% usage builds your credit scores up. Keeping your owed balances under 10% usage on the credit line can really build the score even higher. Borrowing 50% or more of your revolving credit lines actually tears down your credit score.
-Don’t allow your debt payments to be posted over 30 days late
-Stay away from 12-months-same-as-cash and accounts like that. These 12-months-same-as-cash accounts can really do damage to your score because they score as if they are maxed out revolving accounts.
-Work with companies that are repeatedly reporting negative credit on you. Try to get an acceptable payment or other arrangement with them to keep them from continuing the negative reports against you.
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REAL ESTATE TIP OF THE WEEK (Clint Cooper shares a real estate related money-saving or time-saving tip):
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ANNOUNCEMENTS:
Talk Shoppe offers free networking & education to anyone interested in real estate or in business. Talk Shoppe meets every Wednesday 9A-10A CT at Pinot’s Palette 8225 Dexter Rd Cordova, TN. This Wednesday August 29, 2018 Shoppe presents: “The Mastermind Principle based on the book Think and Grow Rich by Napoleon Hill”
Talk Shoppe events are free thanks to advertisers like Mary Lou Nowak of Mid-South Home Helpers. Mary Lou knows what to do to assist your aging or handicapped loved ones so they can remain safely and comfortably in their own home. (901) 414-9696 www.homehelpershomecare.com
If YOU are interested in supporting the free Talk Shoppe networking and education to our business community, let’s talk. Call me, Jo Garner, at (901) 482-0354 Check out the advertising platforms to promote YOUR company at www.TalkShoppe.com
2. Thank you to Joe Rojas of Quality Title Group for sponsoring today’s episode of Real Estate Mortgage Shoppe. For YOUR real estate home purchase or refinance, give Joe a call for your title work and closing. (901) 289-5821.
4. Subscribe at www.JoGarner.com and you can get our weekly blog posts with podcasts conveniently in your inbox.
5. Real Estate Mortgage Shoppe reminds you to MAKE YOUR PLAN. LET’S WORK YOUR PLAN. IF THE DEAL WORKS FOR YOU TODAY, DO IT TODAY.
SPECIAL NOTE: REAL ESTATE MORTGAGE SHOPPE RECOMMENDS THAT YOU CONSULT WITH A FINANCIAL, LEGAL OR OTHER CERTIFIED, LICENSED PROFESSIONAL BEFORE ACTING OR INVESTING ON ANYTHING YOU HEAR OR SEE FROM THE CONTENT ON THIS SHOW OR BLOG POSTS. THE INFORMATION WE SHARE ON REAL ESTATE MORTGAGE SHOPPE IS GENERAL IN NATURE MEANT FOR GENERAL EDUCATIONAL PURPOSES ONLY. ALL EXAMPLES GIVEN FOR ILLUSTRATION PURPOSES ON REAL ESTATE MORTGAGE SHOPPE USE FICTIONAL CHARACTERS AND DO NOT REFLECT REAL PEOPLE OR ACTUAL DETAILS IN ANY OF THE SITUATIONS.
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QUOTE CORNER:
Jim Rohn “Whatever good things we build end up building us.”
Tony Gaskins “ If you don’t build your dream, someone will hire you to help them build theirs.”
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REJOINDERS:
1. Kevin Yee, Save Energy Solutions Duct Sealing If you’re coughing and sneezing, your ducts may be the reason Call Kevin (901) 492-1649 sesinfo.biz
2. Troy and Lynn McDonald of Erin McDonald Insurance Agency (901) 849-7101
3. Jeri Jeffries of Tiger Paws Carpet Cleaning (901) 210-9746 www.tigerpawscarpet.com
Transitional Music: “We Built This House” Scorpions; “This Is The House That Jack Built” Aretha Franklin; “I’m Proud Of The House We Built” Brooks and Dunn; “Memphis” by Johnny Rivers for the Look Back Memphis Trivia Contest
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ABOUT CLINT COOPER OF REDEEMERS GROUP
Facebook: Redeemers Group Inc
Twitter @redeemers_group
Instagram @redeemersgroup
– Clint was born and raised outside of Nashville, TN and is a graduate of MTSU.
– He served in Iraq with the Marine Corps Infantry before returning home to Tennessee to live and work in Memphis.
– In Nov 2007 he started Redeemers Group.
During his time with Redeemers Group, Clint has published several articles on his areas of expertise. Most recently his first book entitled “Mold Prevention Science” was published and is used by entire the Basement Systems and Foundation Supportworks’ network of dealers to help them communicate with their clients about mold and mold prevention. He teaches CE classes for Memphis Areas Association of Realtors several times per year.
He has also earned the following certifications and licenses:
• Basement Systems Waterproofing Certification
• Basement Systems Crawl Space Repair Certification
• Foundation Supportworks Diagnostics School Certification
• National Association of Mold Remediators and Inspectors License
• Blue Institute- LEED Training Certification, Member ID#:
• Green Building Council, Certification
• TN State Board for Realtors CE Authorized Instructor
Clint lives in Germantown, TN with his wife and two children.
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ABOUT JO GARNER-MORTGAGE LOAN OFFICER:
WHAT DO YOU WANT TO ACCOMPLISH WITH YOUR MORTGAGE?
www.JoGarner.com (901) 482 0354 jo@jogarner.com twitter @jogarner NMLS# 757308
“Whatever YOUR personal priorities are, my job is to help you get the mortgage terms that will give you bragging rights when you talk about it and help you score on hitting your goals .”
As a mortgage loan officer, my job is to help you get to the benefits you want from your financing terms. What is most important to you? I can help you find the financing terms that will help you get to what you want. What is your comfort level on a house payment? How much are you comfortable paying down,? What type of financing do you need to get the house you want to buy or refinance?
Different clients have different priorities in life—some are buying their first home with very little down payment funds. Some are recovering from medical challenges, divorces or preparing to send children to college and some are embarking on a long term goal of buying properties to build rental income.”
Jo Garner is a mortgage officer with extensive knowledge in tailoring mortgages to her customers who are refinancing or purchasing homes all over the country. She offers conventional, FHA, VA or other loan programs for refinancing and purchases.
Jo can help you look at rent vs buy, when it makes sense to refinance, how to get the best deal on your home purchase financing.
Jo Garner has been in the real estate/financing business for over 20 years. She got her start in Portland, Maine where she first began her real estate career. She received her real estate education from the University of Southern Maine and was personally mentored in San Diego, California by Robert G. Allen, author of Nothing Down, Creating Wealth and The Challenge.
On moving back to West Tennessee in 1987, she went into business buying and selling discounted owner-financed notes secured on real estate. In 1990 Jo went to work for a residential mortgage company and has been a mortgage loan officer for over 20 years. Her goal is to offer excellent, affordable service to her customers, tailoring the loan programs to the specific needs of her clients.
In addition to her work in the mortgage field, Jo Garner is the primary sponsor and founder of Talk Shoppe in Memphis. www.TalkShoppe.com She was also the editor of Power Shoppe, a free weekly e-zine designed for real estate professionals and others indirectly connected to the real estate industry and currently publishes on her blog www.JoGarner.com