WIN AT YOUR REAL ESTATE DEAL—KNOW THE VALUE & BENEFITS
Welcome! Thank you for connecting to the Real Estate Mortgage Shoppe where we offer solutions to your real estate scenarios. I hope the information on our blog posts gives you something that you can use or that can save you some money.
If you are looking for information or help in areas that do not seem to be covered on this blog posts or my other posts, please feel free to call me at (901) 482-0354 or email me at jo@192.232.195.219 OR CONNECT AT www.JoGarner.com
MARKET NEWS
iShare Agency Social Media Tip of the Day
QUESTIONS ANSWERED BY TOM KING, BILL KING COMPANY
QUESTIONS ANSWERED BY JO GARNER, MORTGAGE LOAN OFFICER
REAL ESTATE TIP OF THE WEEK
ANNOUNCEMENTS
Picture Gallery from show
Good morning, Memphis! Good morning to those of you listening on internet radio across the 50 states. You’re on Real Estate Mortgage Shoppe and I’m your host, Jo Garner, Mortgage Loan Officer. Connect with me after our broadcast, about your mortgage needs, by calling me personally at (901) 482-0354 or if it’s more convenient, connect with me by going to www.Jogarner.com. If you have any questions or comments regarding today’s topic call us on the air Saturday October 24th, 2015, call the studio at 901 535-9732 or toll free (800) 474-9732. Follow me on Twitter @JoGarner. Use #JoGarner in your tweets during this live broadcast. Our general today is “WIN AT YOUR REAL ESTATE DEAL—KNOW THE VALUE & BENEFITS.”
Sitting across the coffee table we have long-term appraiser Tom King, with Bill King Company. Here’s a man who knows how to calculate value on a piece of real estate. Tom has been around the appraisal business his whole life and he has done a BUNCH of appraisals.. Tom tell our listeners a little about yourself and what you do . <Tom introduces himself and talks about what he does>
(Jo) Tom, my job as a mortgage loan officer is to give my client the benefits they want from their financing terms– listening to my client and determine what’s of the most value to THEM– What is their comfort level on a house payment, how much are they comfortable paying down, what type of financing do they need to get the house they 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. My job is to and put together a mortgage with comfortable terms that will help them achieve their goals. Its celebration time on the day of closing and I try to attend as many closings as I can so we can make that day special to that customer. Celebration day is the part of the job that is just plain fun!
<Tom gives his observations of what he sees in the real estate market>
(Jo) Tom, one factor that has helped to boost values on real estate in general is the mortgage rates that have been hanging at about a 6-month low for the last several days. Yesterday morning we woke up to news that the Chinese had lowered their benchmark rate again for the 6th time in a year to try and boost their economy which cause our bond yields to go up. Normally, when our bond yields go up, the mortgage rate prices follow—but mortgage lenders across the US surprisingly keep the lid down on mortgage rates, only moving up on the pricing by a small increment. 30YR FIXED – 3.75-3.875%,FHA/VA – 3.5%,15 YEAR FIXED – 3.125% I send my loans through Evolve Bank and Trust and have been at a couple of big celebrations a the real estate closing for doctors enjoying the low interest rate 100% financing specifically for doctors and dentists. Tom, most of the realtors at a real estate function Thursday night were talking about how they are enjoying another year of strong real estate sales. The Memphis Business Journal has had several interesting articles about how builders haven’t felt this good about the market since 2005. The Memphis Association of Realtors reports the Memphis area market remains strong through the 3rd quarter of 2015 with an increase of number of units sold up 4.4% and they base their report on the number of deeds recorded in Shelby, Fayette and Tipton counties Tennessee. But like Joe Spake, a local realtor here in Memphis says in his blog posts, “all real estate markets aren’t just local—they are hyper-local.” If we have any listeners out there that want to comment about the trend of values or number of sales in YOUR neighborhood, we want to hear from you. Call us while we’re live at 901 535-9732 or 800- 474-9732. Tom, what are your predictions for the future?
<Tom comments>
(Jo) Later in this show today Tom King is going to cover some tips on how to research the value of YOUR real estate on your own and what factors add the most value to your home. Our general topic today is “WIN AT YOUR REAL ESTATE DEAL—KNOW THE VALUE & BENEFITS.” And while what’s happening in the market DOES play into the dollar value of your home, another part of the value involves the BENEFIT that your home and your financing give YOU. We all have different priorities and life situations that dictate what makes us happy. Over the years, I have observed that the happiest homeowners are those did some research BEFORE buying their home to find out what they were spending to live comfortably and kept their mortgage payments low enough so their total debt for the house and other obligations left them enough money at the end of the month to put in savings. The happiest clients I have worked with also had an emergency fund to carry them in case of income loss for more than 3 to 6 months. Even if yours is not a perfect scenario, it pays to spend a little time with a mortgage officer who will spend the time to look at various mortgage scenarios with you. Give me a call if you want to compare some financing scenarios. Call me PERSONALLY and directly after this show at 901 482-0354 (901) 482-0354 or connect with me at www.JoGarner.com . But you need to talk with me PERSONALLY. Let’s explore the possibilities of what is available to you. You might be PLEASANTLY surprised.
Tom, our topic today is “WIN AT YOUR REAL ESTATE DEAL—KNOW THE VALUE & BENEFITS.” I know you have helped several of our listeners discover the value of a home. What are situations where they can call YOU personally to help? <Tom launches>
- 2nd SEGMENT Of Show iShare Agency SOCIAL MEDIA TIP OF THE DAY (background music “Roar” by Katy Perry)
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To our realtor friends and other savvy and sharp business friends out there, its time for the iShare Agency Social Media Tip of The Day for real estate professionals. Sherri Henley Founder & CEO of Business Over Coffee International and subsidiaries, iSHARE Agency, Sherri Henley Intelligence, Digital Citizen University, Professional Boost Program and Together Strong Revolution, Sherri Henley has mastered the art of collaboration through use of digital strategies employed by social media tools. Sherri, what is our Social Media Tip of the Day?
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QUESTIONS ANSWERED BY TOM KING:
- Talk about the fire wall between lenders and appraisers
- Talk about the changes on the FHA loan regarding FHA loans and the new appraisal rules
- Will it cost more to get an FHA loan as this new rule for a more detailed inspection kicks in?
- How can a homeowner research the approximate value of their home on their own?
- What factors in a home add the most value to the property? What factors add the least value to a home?
QUESTIONS ANSWERED BY JO GARNER:
- What is the difference between what a borrower can comfortably afford on a house note and what he actually QUALIFIES to borrow?
- Some borrowers have additional sources of income that may not be allowed to use directly for qualifying under the mortgage regulations. For instance, some of my clients work not one job, but two jobs, but they have not worked two jobs for at least 18 to 24 months. They may have only worked the 2nd job for a short time so the mortgage company ignores that income for qualifying purposes but the borrower knows the 2nd income is there.
- Other instances are when only one spouse is on the loan but both spouses bring in income, but only the income for the spouse whose name is on the loan is used directly for qualifying. That person would qualify for less of a loan amount than they may know they are comfortable paying.
- In the opposite case, you may have an income that is very large now, like for someone who has a high paying job and can qualify for a high loan amount today, but he knows he plans to retire in a year or more. That person would want to find a house payment comfortable for their retirement income and not their current income.
- A good loan officer will ask you if you know what you plan to do in the next 5 years. Some people know , in general, what their plans are and some have no idea. If you don’t know, plan a moderate, conservative low, fixed rate mortgage payment. Conservative in the opinion of some of my clients means a house payment not to exceed 25% of their gross income. Other people consider a conservative, low mortgage payment to be no more than 35% of their gross income.
- I have also seen the automated mortgage underwriting software sometimes approve someone for a house note of over 40% of their gross income. For your personal comfort level, you probably don’t want to have a payment that high. Sitting down with a certified financial advisor before making a big financial decision can give you a lot more peace of mind.
- What common solutions do you offer your customers who are trying get the seller to accept THEIR offer for a house over competing offers?
- Have a strong preapproval letter without a lot of contingencies. If you don’t have to make the contract contingent on the sale of another property first, your preapproval is stronger than someone who has a bunch of contingencies and hurdles to clear before they buy. I have had clients get their lower offers accepted over someone else’s higher offer simply because my client’s preapproval letter had stronger, surer language in it than the competing party submitted.
- Another success tip I have seen used in competing offers for houses is to make the net profit to the seller more than your competition. Some ways to give the seller more net profit is to offer a higher price sometimes than the listing price, but then we are back to our topic for this show today—you gotta’ know pretty well that the house will get an appraisal for at least that value.
- One more tip that has worked for a few of my clients is to find out more details about the seller’s situation, why they are selling and what benefits are most important to the SELLERS and its not always price. Sometimes it is being flexible on a possession date or maybe they need to close quick or maybe they just want to feel good about the person buying the old family home.
- What tips do you give your clients when it comes to finding the mortgage terms that will benefit them in unique situations?
- My standard answer for this question is “don’t put in place a temporary benefit for a permanent problem.” Here’s an example—If you’re on a fixed income with very little chance of your income going up, an adjustable rate mortgage is NOT usually a good benefit since the extra low rate and payment is, by design, TEMPORARY with a chance that the payment could go up in the future and really bite into your budget. An exception to this rule could be if you know you are going to get a lump sum of money from the sale of a property or the liquidation of an estate in the short term that could be used to pay off or pay down a significant amount of the mortgage . If you are paying down over 25% of the balance on the adjustable rate loan in the first year and the adjustable rate loan has some tight annual and lifetime caps on how high the rate can go, then paying it down in the first year may actually help you because when it starts adjusting, the principal and interest payments are calculated only on the unpaid balance and the payments may stay the same or actually go DOWN even if the rate goes up.
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REAL ESTATE TIP OF THE WEEK: (Sherri Henley, iShare Agency Expert share the iShare Agency Social Media Tip of the Day—about 2 minutes )
ANNOUNCEMENTS:
Announcements: Talk Shoppe offers free education and networking to anyone interested in real estate or business. This Wednesday October 28th, 2015. “Mastermind Principal-based on the book Think and Grow Rich by Napoleon Hill.” Talk Shoppe meets at the University of Phoenix 65 Germantown Court 1st floor Cordova, TN 38018. For more information about Talk Shoppe, go to www.TalkShoppe.com
- To hear today’s podcast of Real Estate Mortgage Shoppe and others, go to JoGarner.com
Thank you to Nick Barnes of Test Video Studios, a free-lance videographer who specializes in editing and consumer level online broadcasting. Contact Nick at testvideostudios@gmail.com
“MAKE YOUR PLAN, WORK YOUR PLAN. IF THE DEAL WORKS FOR YOU TODAY, DO IT TODAY.”
Transitional Songs : “16 TONS” by Tennessee Ernie Ford; “I Might Be Cheap, But I’m Not Broke” by Rik Roberts; “If My Nose Was Running Money” Aaron Wilburn; “Roar” by Katy Perry for the iShare Agency Social Media Tip of the Day.
QUOTE CORNER: “Money can’t buy you happiness, but poverty can’t buy you anything.” Anonymous
“Sometimes you never know the value of a moment until it becomes a memory.” Anonymous
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ABOUT TOM KING, APPRAISER WITH BILL KING COMPANY
Tom is a well- respected and sought after appraiser in Memphis, Tennessee. He is a second generation appraiser with 40 years experience. He has been elected to the Memphis Area Association of Realtors Board of Directors three times.
Tom is a certified residential appraiser in Tennessee. He have appraised over 20,000 homes in his career. A graduate from the University of Tennessee with a degree in real estate, Tom is also a Certified Relocation Professional (CRP). Tom also has vast experience in dealing with the county and state boards of equalization and in valuations of property for tax appeal purposes. (901) 487-6989
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ABOUT SHERRI HENLEY:
Founder & CEO of Business Over Coffee International and subsidiaries, iSHARE Agency, Sherri Henley Intelligence, Digital Citizen University, Professional Boost Program and Together Strong Revolution, Sherri Henley has mastered the art of collaboration through use of digital strategies employed by social media tools.
As author, speaker, and trainer, Sherri’s latest book is Come Into Your OWN – A 31 Day Experience. Sherri has also published The Power of Collaboration in Business with collaborative authors, Digital Citizen 101 – Harnessing the Power of Your Audience, Digital Diary, and L.I.K.E: Leaders In Keeping Excellence…all through BOCI Publishing. She is also published periodically in magazines as an online identity specialist and business columnist. Sherri hosts Business Over Coffee International Radio and Co-Host The Marybeth Conley Show – Together Strong Thursday on KWAM990 weekly.
Sherri teaches clients internationally through private, group and corporate discovery, development, coaching and training. Her digital expertise and business acumen motivates and equips audiences to expand their influence and advance their profession online and off.
www.sherrihenley.com Harnessing The Power of Your Audience @sherrihenley #DigitalCitizen
iShare Agency information: www.ishareagency.com – Bringing Experts Together for Project Management, Brand Development and Speakers Bureau
Social Media Minute 1: The Power of Periscope (Stats and How)Social Media Minute 2: The Purpose of Periscope (Who and Why)
Come Into Your OWN Conference 2016 – “Calm the Chaos and Live Life Well” with Sherri Henley, Marybeth Conley and Jackie Woodside – Venue: Fogelman Executive Center – January 29th and 30th – Call 901.820.4469 for early bird and group tickets.
Come Into Your OWN Book (Available on Amazon and Kindle): www.comeintoyourown.com to purchase #comeintoyourown In the news #BookTour: Live@9 – Loretta McNary Show
How to come into your OWN is a discovery process with many moving parts. Allowing these parts to move in sync and strategically carry out the evolutionary process of embracing oneself, for better or for worse…is a journey.
Operative…
Words
Thoughts
Deeds
Actions…
…move you toward or away from owning many aspects of your…
Life
Property
Feelings
Relationships
Spirituality
Business…
…you will ultimately decide the direction your actions will lead.
Come Into Your OWN will walk you through a 31 day experience based on a holistic philosophy of taking ownership of ones past and present to gain focus for the future.
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ABOUT JO GARNER-MORTGAGE LOAN OFFICER:
www.JoGarner.com (901) 482 0354 jo@192.232.195.219 twitter @jogarner
Jo’s job description: “As a mortgage loan officer, my job is to give my client the benefits they want from their financing terms– listening to my client and determine what’s of the most value to THEM– What is their comfort level on a house payment, how much are they comfortable paying down, what type of financing do they need to get the house they 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. Whatever their personal priorities are, my job is to put together a mortgage with comfortable terms that will help them achieve their goals.”
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 since 1987. 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 .
For real estate financing solutions, plug into Real Estate Mortgage Shoppe. You can find mortgage rates, FHA Streamline refinance with no out-of-pocket costs,