Netting A Bargain On Your Mortgage and Buying and Selling Your Home At Auction 9/28/13
podcast 9-28-13 Netting A Bargain On Your Mortgage & Buying and Selling Your Home At Auction
1. Why has there been an increase in the sale of real estate at auction?
We now live in an instant world where people want it done now. (Take the U out of auction and you have action)
2. What are the advantages of Selling Real Estate at auction?
— Auction is the most accelerated form of asset disposition.
— An auction generates excitement and heightens buyer interest.
— Auctions create competition among pre-qualified buyers.
— Auctions create intense demand and exposure where the highest bidder
wins.
–Auctions realize the properties true market value. No limit on upside
potential.
–Auctions can convert your property into cash in as quickly as 30 days.
— Auctions reduce carrying costs as a definite timetable for the sale of
the property is set.
— Auctions are cost effective there are no negotiations or
contingencies.
— Auctions offer a fair, transparent and open marketing program.
— Auctions are not filled with promise they are the “real deal.”
3. What are some of the situations listeners may be in that may want them to consider selling at auction.
Homes, land, household contents, estates, automobiles, jewelry,
It looks like you work a lot with senior citizens. Moving into retirement home, moving in with son or daughter, and downsizing.
4. We are seeing more and more online auctions. What are the advantages of an online auction?
As I look on your website (WalkerAuctions.com) It looks to me that you are using the “Online Auction Method” a great deal. Why?
Tell me what Walker Auctions sells online.
5. When someone is selling their home, they almost always have many household furnishings they need to sell. Can you help them with that?
6. Do you work with Realtors in helping them sell their client’s homes?
After 9:30 am commercial break, we can continue with your answers to questions and hopefully you will be able to ask me 1 or 2 of my questions.
Questions answered by Jo Garner:
1. 1. How do I know if I am getting the best terms on a mortgage?
YOUR GOAL IS TO PAY THE LEAST AMOUNT OF CLOSING COSTS AND PAY THE LOWEST INTEREST COSTS.
A. When you’re shopping for a mortgage rate remember the lowest rate is almost NEVER the best deal because the best deal is determined by a combination of factors. Here’s another warning about the 1-800 companies. I have seen their quotes and so many times they leave out large items on the closing costs that the borrower WILL HAVE TO PAY at closing like State real estate transfer taxes and taxes on the mortgage—amongst other things. The rate they tell you on the ads may not be the rate you actually get.
B. Let me help you net the best terms on your mortgage. A credit score of 740 and above gets the best rate quotes. There are several tiers below that with varying rates depending on the score range. The higher your credit score the lower your rate. If you are just a little bit off from the best rate, let me help you get your credit scores high enough to get what you want.
C. The lender will want your latest paystubs, W2s, ALL pages of your last 2 years tax returns, 1099s and all pages of your bank statements up front. There are strict guidelines on how your income and assets are counted. Better to know this up front before spending money on an appraisal or before putting down earnest money to buy a house.
D. If you are self-employed or if you own rental property, there are fewer and fewer loan officers out there who know how to find income in the back pages of your tax returns I have gotten so many self-employed people approved and closed over the last few months than ever before. These are people with good credit who have been turned down at other mortgage companies and banks due to lack of income. When they send me all pages of their tax returns, in so many cases, I have been able to find thousands of dollars of income IN THE BACK PAGES OF THE RETURN. If you are that person or you know someone like this, call me on the air right now at 901 535 WREC or directly off the air at 901 482 0354.
2. What mortgage scenario will insure I save the most money?
A. If you are trying to decide whether to rent a place or buy a house, then we will compare the amount you are paying in rent with your rented square footage and amenties. We can do the same comparison with the square footage and amenities on the house you are considering to purchase. The number one questions for rent vs buy is “How long to you plan on living in the geographical area?” If you are planning on living here for at least the next 3 years and, in a pinch, the house you are purchasing could one day be rented for over the amount of your mortgage payment, then BUYING a house is probably your best deal. Let’s do the numbers.
B. If you are refinancing, the way to save the most money over time is to lower your interest rate AND shorten your term and pay the least amount of closing costs, if any, for the refinance transaction. Let’s do your numbers.
When you call me to work on your numbers, take a few minutes to let me know what your current financial priorities are and what your financial priorities are going to be in the next 5 years to 10 years. Sometimes the best deal on a mortgage can be a specific loan structure designed to help you today but also set you up favorably with your future plans.
My assistant Susan Belew and I would like very much to talk with you and compare some financing scenarios with you. If we can save you the most money, we know you will refer us to your friends and family. Let us do the numbers with you. Call us on the air right now at 901 535 WREC –that’s 901 535 9732 or call me directly off the air at 901 482 0354. That’s 901 482 0354. Or catch me on the blog at www.mortgageloansblog.com
Good morning Memphis. Good morning to our listeners on IHEART radio across the country. I’m your host, Jo Garner, mortgage professional with Evolve Bank and Trust. If you have a real estate or financing challenge or you want to talk about your credit or loan approval process, call us on the air today at 901 535-WREC. That number again is 901-535-9732. Today we’re going to have some fun talking about “Netting A Bargain On Your Mortgage and Buying and Selling Your Home At Auction” with our cohost Lance Walker of Walker Auctions.
Lance and Terri Walker are award winning auctioneers and have done a great job auctioning real estate, personal items and doing charity auctions. Lance, tell our audience a little about yourself and what Walker Auctions can do for them.
(Jo) Lance, usually during an auction the prices keep going up as the bidders start bidding—-well not this week on mortgage rates. From the end of May to a couple of weeks ago, rates had started to ratchet up and had gotten into the high 4’s on the 30 yr loan. Well, consumer sentiment over the nation’s debt ceiling and the Fed’s decision to wait about tapering off the bond-buying along with some instability in the Italian markets, caused our rates yesterday to drop to a 3-month low.
• 30YR FIXED – 4.25%
• FHA/VA – 4.0-4.25%
• 15 YEAR FIXED – 3.375-3.5%
• 5 YEAR ARMS – 3.0-3.50% depending on the lender
If you or someone you know is thinking about buying a house or refinancing one, NOW would be a good time to call and let my assistant, Susan Belew and me work your numbers. Let’s see how much we can save you in interest costs on a purchase or refinance. Let’s see how much we can shorten the term on your loan without raising your payment. Since values have increased, you may be able to pull some cash out to reinvest or pay off some higher interest rate debt. Tell me what you want to accomplish and let’s see how much we can exceed your expectations. Call us now on the air at 901 535 WREC—that’s 901 535 9732. Or call me directly off the air at 901 482 0354 or catch me at www.mortgageloansblog.com
• Most people, Lance, if they are honest with themselves, do not want to have a mortgage at all. Owning real estate free and clear is a lot better than having to make payments. There are so many different ways with rates where they are now to restructure your existing mortgage to get rid of it sooner. One of my current customers needs to go back to a 30 yr mortgage to get through a current financial crisis. We are refinancing her mortgage and pulling cash out to pay off two high interest rate debts. In a year or two when she is through the crisis, she can have extra mortgage principal payments automatically applied to the balance from the savings on the two debts we paid off with the refinance. She will still pay off her mortgage in 17 years. . If you can lower your interest rate AND shorten the term on your mortgage, its like lighting both ends of a candle so it burns quicker—getting rid of your mortgage quicker. Mission accomplished
• We still have the special HARP refinance program that does not require a full appraisal. We’re still doing the FHA and VA streamline refinances with NO appraisal needed and in some cases no income verification needed. This is a great opportunity to refinance your primary residence, your 2nd home or investment properties.
• Does it make sense to you to refinance your house if you can lower your interest rate costs AND shorten the term on your mortgage eliminating a few years? If your answer is yes, then let’s look at your numbers and see how we can save you the most money shortening your term.
• Does it make sense to you right now to refinance and lower your mortgage payments considerably? Let’s look at your numbers. Susan and I can do the numbers for you free.
• Does it make sense for you to buy a house now instead of rent? Call me and let’s do the numbers.
• < (Jo) Most people realize that we are in a unique situation where our mortgage rates are artificially low and that the opportunity is now to buy a house or refinance one while they have some terrific buying power. What is “buying power?” You can purchase a much larger & better home today for a lower mortgage payment per month than you could buy in 2006. Rates ARE at historic lows and secondly, values on real estate are just beginning to creep back up in 2013 after diving down significantly during the real estate crash.
Let’ talk about your buying power. Let’s look back to 2006 when the 30 year mortgage rates were around 6.75%. If you bought a house for $275,000 in 2006, your principal and interest payment would have been about $1,427/mo. With that same payment today you could buy a house for $362,000 and get a bigger, better house for that price than you could get in 2006. That means for the same payment today you have $87K dollars more buying power—plus today you can get more value on a house per dollar that you pay. OR, you might just want to compare a payment today on that same price of $275,000 with the 80% loan amount and the payment would be about $ $350/mo LESS per month than on that same loan amount you got in 2006. Let’s look at YOUR numbers. Give me a call on the air at 901 535-WREC or call me directly off the air at 901 482-0354 that direct number off the air is 901 482 0354.
But speaking a being in a position to net a great deal right now, we have Lance and Terri Walker of Walker Auctions around the coffee table with us. Lance and Terri, if I wanted or needed to buy or sell a home quickly in this market, how can you help net a great deal using the auction method?
After 9:45 AM break: Real Estate Tip of the Week
(Lance shares a practical and time or money saving tip with listeners on buying or selling at auction)
Jo has two announcements:
Talk Shoppe offers the community free networking and education to anyone interested in real estate or business. This Wednesday 9A-10A at DeVry University 6401 Poplar Ave 6th floor in Memphis author and professional speaker, Bradley Harris will be talking about tips to improve your business image with your customers. The events are free. For more information about Talk Shoppe go to www.TalkShoppe.BIZ
Next Saturday on the Real Estate Mortgage Shoppe interior decorator and flooring expert Gwen Christensen of Builders Floors and Interiors along with successful Memphis realtor Chet Whitsitt will be talking about how to make your home attractive to prospective buyers.
The Chocolate and Shopping Show is going on at the Wolfchase Mall 10A-7pm
Transition Music: “ The Auctioneer Song” by Leroy Van Dyke; “Sold At The Grundy County Auction” John Michael Montgomery
Questions answered by Lance and Terri Walker:
4. Why has there been an increase in the sale of real estate at auction?
We now live in an instant world where people want it done now. (Take the U out of auction and you have action)
5. What are the advantages of Selling Real Estate at auction?
— Auction is the most accelerated form of asset disposition.
— An auction generates excitement and heightens buyer interest.
— Auctions create competition among pre-qualified buyers.
— Auctions create intense demand and exposure where the highest bidder
wins.
–Auctions realize the properties true market value. No limit on upside
potential.
–Auctions can convert your property into cash in as quickly as 30 days.
— Auctions reduce carrying costs as a definite timetable for the sale of
the property is set.
— Auctions are cost effective there are no negotiations or
contingencies.
— Auctions offer a fair, transparent and open marketing program.
— Auctions are not filled with promise they are the “real deal.”
6. What are some of the situations listeners may be in that may want them to consider selling at auction.
Homes, land, household contents, estates, automobiles, jewelry,
It looks like you work a lot with senior citizens. Moving into retirement home, moving in with son or daughter, and downsizing.
4. We are seeing more and more online auctions. What are the advantages of an online auction?
As I look on your website (WalkerAuctions.com) It looks to me that you are using the “Online Auction Method” a great deal. Why?
Tell me what Walker Auctions sells online.
5. When someone is selling their home, they almost always have many household furnishings they need to sell. Can you help them with that?
6. Do you work with Realtors in helping them sell their client’s homes?
After 9:30 am commercial break, we can continue with your answers to questions and hopefully you will be able to ask me 1 or 2 of my questions.
Questions answered by Jo Garner:
1. How do I know if I am getting the best terms on a mortgage?
YOUR GOAL IS TO PAY THE LEAST AMOUNT OF CLOSING COSTS AND PAY THE LOWEST INTEREST COSTS.
E. When you’re shopping for a mortgage rate remember the lowest rate is almost NEVER the best deal because the best deal is determined by a combination of factors. Here’s another warning about the 1-800 companies. I have seen their quotes and so many times they leave out large items on the closing costs that the borrower WILL HAVE TO PAY at closing like State real estate transfer taxes and taxes on the mortgage—amongst other things. The rate they tell you on the ads may not be the rate you actually get.
F. Let me help you net the best terms on your mortgage. A credit score of 740 and above gets the best rate quotes. There are several tiers below that with varying rates depending on the score range. The higher your credit score the lower your rate. If you are just a little bit off from the best rate, let me help you get your credit scores high enough to get what you want.
G. The lender will want your latest paystubs, W2s, ALL pages of your last 2 years tax returns, 1099s and all pages of your bank statements up front. There are strict guidelines on how your income and assets are counted. Better to know this up front before spending money on an appraisal or before putting down earnest money to buy a house.
H. If you are self-employed or if you own rental property, there are fewer and fewer loan officers out there who know how to find income in the back pages of your tax returns I have gotten so many self-employed people approved and closed over the last few months than ever before. These are people with good credit who have been turned down at other mortgage companies and banks due to lack of income. When they send me all pages of their tax returns, in so many cases, I have been able to find thousands of dollars of income IN THE BACK PAGES OF THE RETURN. If you are that person or you know someone like this, call me on the air right now at 901 535 WREC or directly off the air at 901 482 0354.
4. What mortgage scenario will insure I save the most money?
C. If you are trying to decide whether to rent a place or buy a house, then we will compare the amount you are paying in rent with your rented square footage and amenties. We can do the same comparison with the square footage and amenities on the house you are considering to purchase. The number one questions for rent vs buy is “How long to you plan on living in the geographical area?” If you are planning on living here for at least the next 3 years and, in a pinch, the house you are purchasing could one day be rented for over the amount of your mortgage payment, then BUYING a house is probably your best deal. Let’s do the numbers.
D. If you are refinancing, the way to save the most money over time is to lower your interest rate AND shorten your term and pay the least amount of closing costs, if any, for the refinance transaction. Let’s do your numbers.
When you call me to work on your numbers, take a few minutes to let me know what your current financial priorities are and what your financial priorities are going to be in the next 5 years to 10 years. Sometimes the best deal on a mortgage can be a specific loan structure designed to help you today but also set you up favorably with your future plans.
My assistant Susan Belew and I would like very much to talk with you and compare some financing scenarios with you. If we can save you the most money, we know you will refer us to your friends and family. Let us do the numbers with you. Call us on the air right now at 901 535 WREC –that’s 901 535 9732 or call me directly off the air at 901 482 0354. That’s 901 482 0354. Or catch me on the blog at www.mortgageloansblog.com
Notes from Lance Walker: I hope the following is helpful. I have included a few songs and some topics that would be good to discuss. I want to emphasize:
1) Selling and Buying real estate at auction
2) Helping people that have a house full of furniture to sell.
3) Advantages of Online Auctions and our alliance with MarkNet Alliance
Jo Garner’s Bio
www.MortgageLoansBlog.com www.MoneyShoppe.NET (901) 482 0354 jogarner@mindspring.com
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.BIZ She was also the editor of Power Shoppe, a free weekly ezine designed for real estate professionals and others indirectly connected to the real estate industry and currently publishes on her blog www.MortgageLoansBlog.com .
Lance and Terri Walker of Walker Auctions www.walkerauctions.com
For real estate financing solutions, plug into the Real Estate Mortgage Shoppe program. You can find mortgage rates, FHA Streamline refinance with no out-of-pocket costs, refinancing options, home purchase loan programs, answers and real estate, money-saving tips and more.