The Brendan Moran Team Buyer Guide

STEPS TO SUCCESS For Buying A Home [email protected] . 800-215-0198 . moranhomes.com

IntroductionBuying a home can be one of the most exciting adventures in your life. It can also be one of the most overwhelming if you try to go it alone.When you are looking at and negotiating on properties listed for sale, the Seller will have a real estate agent working for them. You should also have an experienced Realtor® working for you, guiding you and looking out for your best interests. And the best part is that hiring a Realtor® as a buyer, it is basically at no cost to you. In most circumstances, the Buyer’s agent is paid by the Seller from the proceeds of the sale.

Brendan Moran Renee DeWeese Moran The Brendan Moran Team Keller Williams Realty 760 Camino Ramon #200 Danville, CA 94526 800.215.0198 [email protected] “Best Realtors I ever used. They were really nice and knew their stuff. I recommend them to anyone.” – Sara A. Buying A Real Estate Home Our clients refer us because we’re responsive, we’re honest and we know the area. Whether you’re a long time homeowner or first time buyer, we In 7 Steps can help you make the best decisions with confidence.Introduction Family We’re married with three children. We’ve chosen this wonderful A Little About community to raise our family and we want to share our knowledge and Who We Are passion for our area with you.KELLER WILLIAMS Other Pursuits In addition to running a successful real estate brokerage, Renee is also co-owner of Lamorinda Theatre Academy. Brendan is the host of the award winning current events show ‘Creek Currents’ on Walnut Creek TV and a Walnut Creek City Commissioner. When we’re not working, we enjoy hanging out with our kids.

Buying A Home in 7 StepsStep 1 - Buying ConsultationStep 2 - Loan Pre-ApprovalStep 3 - Searching for a HomeStep 4 - Viewing HomesStep 5 - Develop a Pricing StrategyStep 6 - Writing and Negotiating an OfferStep 7 - Managing the Transaction Through Closing

Working for You as Your Buyer’s Agent Buying A There are 3 types of Agency Relationships between parties in a Home real estate transaction: In 7 Steps • Seller’s Agent - An agent who represents the Seller • Buyer’s Agent - An agent who represents the Buyer Step 1 • Dual Agency (Limited Agent) - An agent who represents both Buying the Seller and Buyer Consultation When you select Brendan and Renee to assist you in finding andKELLER WILLIAMS purchasing a home, we become your “Buyer’s Agent.” Typically the seller already has an agent representing them, who is working hard for their best interests, not yours. You too should also be represented with an agent who will be working on your behalf and looking out for your best interests. We will help you to find a home, evaluate pricing, negotiate offers, and guide you throughout the entire transaction to ensure a successful closing. The greatest part of hiring a Buyer’s Agent is that in most cases there is no cost to you! We are compensated for our services only when we successfully close on a home for you. When a seller lists their home with a Seller’s Agent, a commission amount for the Seller’s Agent and for the Buyer’s Agent is pre-determined and paid for by the Seller upon the closing of the sale.

DETERMINE YOUR NEEDS What is Most Important to You? Buying A Motivation - Why have you decided to buy a home? Home Timing - Are you flexible in timing or are we working towards closing before a certain date? In 7 Steps Pricing - What is your price range? Have you begun talking with a mortgage professional? Step 1 Decision Making - Will anyone else (family member, financial advisor) be involved in the transaction? Buying Location - What areas of town do you prefer, or are you not Consultation yet sure? Home Type - Are you looking for a condominium, townhome,KELLER WILLIAMS single family residence or land? Home Size - What size of home are you looking for? How many bedrooms, bathrooms, etc.? Lot Size - What size of property are you looking for? Floorplan - What is important to you in the layout of a home? Architectural Style - Is there any particular style you prefer - rustic, traditional or contemporary? Amenities - What additional features will you be looking for? (pool, hot tub, clubhouse, golf, etc.) What Exactly Are You Looking For?

Buying A Home in 7 StepsStep 1 - Buying ConsultationStep 2 - Loan Pre-ApprovalStep 3 - Searching for a HomeStep 4 - Viewing HomesStep 5 - Develop a Pricing StrategyStep 6 - Writing and Negotiating an OfferStep 7 - Managing the Transaction Through Closing

Securing a Pre-Approval for Your Home Loan How Much Can You Afford?Buying A It can be discouraging to find that your salary won't Home stretch as far as the home you want to own. However, sacrificing a huge part of your income just to pay theIn 7 Steps mortgage can very quickly make home ownership a burden rather than a point of pride. It may be better to buy a modest home now and look at purchasing your \"dream home\" in a few years. Step 2 A Pre-Approval Adds Strength to Your Offer Loan Pre- Once you have been successfully pre-approved for a Approval mortgage with a local lender, you will appear to be a stronger buyer to sellers. When we submit an offer, we willKELLER WILLIAMS include a written letter of your pre-approval. This demonstrates to the seller that you are indeed a serious and capable buyer.

What Type of Loan is Best? Buying A There are many variables to consider when choosing a mortgage Home loan. To figure out what loan program will be best suited for your needs you will need to talk with a local mortgage professional for In 7 Steps guidance in weighing the many different options. Your income, job history, and credit rating can determine what programs are available Step 2 to you. As a real estate agent, we cannot answer these important mortgage questions, but we will be sure to help you get to the right Loan Pre- mortgage provider to help you with this very important part of the Approval process. Below is a list of mortgage programs and definitions to be familiar with.KELLER WILLIAMS Interest Rate - What are current interest rates? What rates are you being quoted? Fixed Rate Mortgage - A mortgage where the rate remains the same through the life of the loan. Adjustable Rate Mortgage (ARM) - A mortgage where the rate changes based on a financial index. Down Payment - What amount do you have for a down payment? How much will you really need? Origination Fee - A charge levied by a lender for underwriting a loan. Typically 1% of the loan amount. Points - A point equals 1% of a mortgage. Should you pay \"discount points\" to reduce the loan's interest rate? Mortgage Term - 15, 20, 30 year loan terms. What is best for you? Conventional Mortgage - A fixed-rate, 30-year mortgage that is within the limits set by FNMA & FDMC. Jumbo Mortgage - Exceeds the limits set by FNMA & FDMC. Usually has a slightly higher interest rate. FHA Mortgage - Usually requires less money down, but has tighter guidelines. Can you qualify? Balloon Mortgage - Can be a great option for short term situations, but will you be ready to pay it off at the end? Interest-Only Mortgage - This will give you a lower monthly payment, but is it the best route to go?

Recommended Local Lenders Just like any major purchase, it is usually worthwhile to shop around for the best deal. It is also important to choose a local lender with long term experience. Below we have a few recommended mortgage professionals we have worked with.Buying A Lisa Andrews Home All California Mortgage Phone: (415) 464-8243In 7 Steps Email: [email protected] Step 2 Matthew Sharp Mortgage Master Loan Pre- Phone: (925) 387-6166 Approval Email: [email protected] WILLIAMS

Until You Close on a Mortgage Loan... Buying A • Do NOT change jobs, become self-employed or quit your Home current job! • Do NOT buy a car, truck, boat or RV! In 7 Steps • Do NOT use your credit cards excessively or miss payments! • Do NOT transfer balances or open new credit cards! Step 2 • Do NOT pay off any credit cards or other revolving debts! • Do NOT spend money set aside for closing costs! Loan Pre- • Do NOT withhold debts or liabilities from your loan application! Approval • Do NOT open new credit accounts to buy new furniture, appliances, etc.!KELLER WILLIAMS • Do NOT make any inquiries into your credit! • Do NOT make large deposits or withdrawals from your bank accounts! • Do NOT change banking accounts! • Do NOT co-sign any loans for anyone! Inquire with your lender before considering any of the above.

Buying A Home in 7 StepsStep 1 - Buying ConsultationStep 2 - Loan Pre-ApprovalStep 3 - Searching for a HomeStep 4 - Viewing HomesStep 5 - Develop a Pricing StrategyStep 6 - Writing and Negotiating an OfferStep 7 - Managing the Transaction Through Closing

Our Home Searching Resources As we begin our search we will utilize our many resources and strong network of information to seek out the best opportunities and find the home that best suits your needs. • REALTOR® Listings / Multiple Listing Service: The most up-to-date home information resource! • New Home Construction Developments • “Pocket” Listings Buying A The Value of the Multiple Listing Service Home As a member of the Board of REALTORS®, we have access to the In 7 Steps Multiple Listing Service (MLS). The MLS is an extensive database that contains information on all Step 3 listed homes in the area. When sellers decide to list their home with an agent, their agent posts all the information for that home Searching for a into the MLS database. All relevant information on a home is Home available such as location, size, price, layout, features and photos. As your buyer’s agent we can enter desired information based onKELLER WILLIAMS your search criteria and the MLS will analyze the database and list all available homes that match your needs.

Search for Homes on Simplybayarea.com Internet 37%Buying A Over 90% of home buyers use the internet as a tool Home when searching for a new home! Now more than ever people are accustomed to using theIn 7 Steps benefits of technology to better gather information. Many home buyers start with surfing the web, where you Step 3 can easily and quickly view pricing, details and photos of many homes right from your living room. It is a quick waySearching for a to educate yourself on the local real estate market. On Home our website you can also save your favorites to view later and keep track of the homes you want to go see. We believe we have one of the best local resources for home buyers on the internet.KELLER WILLIAMS Check it out at Simplybayarea.com

Short Sales and Bank Foreclosures Buying A A short sale is a property where the seller owes more to the bank Home than what the property is worth. For example the home may only be worth $300,000 but the seller owes $350,000. So how do they In 7 Steps sell the home? They will need to get special permission form the bank (third party approval) to sell the home for less than what is Step 3 owed. For a buyer It can be discouraging to wait for this lengthy process. Often a short sale can take months to obtain the Searching for a approval from the bank, especially if there are multiple mortgages Home or additional liens on the property. If you are trying to coordinate a move based on your current home selling or lease ending, thisKELLER WILLIAMS can be a very difficult process to go through. A bank owned or foreclosure property is a property where the owner failed to make the mortgage payments, and the bank completed a foreclosure process and is now the owner of the home. Banks are not in the business of owning homes so they typically will price the home low to get it sold quickly. But buyer beware, bank owned homes play by different rules. These homes are sold “as-is” with no warranties on the condition of the home. Additionally bank owned sales are often sold with limited Title Insurance coverage.

Buying A Home in 7 StepsStep 1 - Buying ConsultationStep 2 - Loan Pre-ApprovalStep 3 - Searching for a HomeStep 4 - Viewing HomesStep 5 - Develop a Pricing StrategyStep 6 - Writing and Negotiating an OfferStep 7 - Managing the Transaction Through Closing

Narrowing Your Search Buying A Your role and participation in this stage is obviously crucial to our Home success. You may even find or preview homes on your own (Open Houses) but it is very important to keep us notified and included In 7 Steps in the process so we can better assist you to be sure your best interests are are fully met. Step 4 Determine Neighborhoods Prior to Viewing - We can do anViewing Homes area tour to examine & discuss potential neighborhoods. We encourage you to spend some time driving through desired areasKELLER WILLIAMS on your own to get the feel of different locations. Clearly Know Your Criteria - Think about what is the right fit for you. We select homes together based on the criteria you give us. We may drive by many other homes on our property tour that may look interesting from the exterior. If it is not on our list, it is most likely because it was priced too high, home size is too small, did not have enough bedrooms, etc. It is best to stay focused on the homes that do meet your needs. Immediately call us if you find a home - In a newspaper or magazine ad, driving by a “For Sale By Owner\" sign, or visiting an open house. When approached by other REALTORS® - They will appreciate you letting them know you are working with us.

Scheduling Viewing Tours Buying A Now the fun part begins, time to go view some homes. Now that we Home know what your price range is, and what your wants and needs are, we can schedule to see the homes you are most interested in. In 7 Steps Be Mindful of the Appointments Made - It takes a great deal of Step 4 time to set up a smooth, productive property viewing tour. Please do not be late, and we must stay on track with the timing of all theViewing Homes homes. Many of the homes we will be viewing are primary residences and families must make plans to accommodate our visit.KELLER WILLIAMS Comfortable Shoes - Most homes will ask us to remove our shoes, so wear easy slip-on/off shoes. Eat Prior to Tour - You will feel much more alert & productive if you simply eat before our tour. Take Notes - We will supply you with a clipboard, pen and a sheet for each home in the order we plan to view them. Be sure to take descriptive notes on each home - good, bad, etc. After viewing many homes, they all seem to blend together when trying to think back. Share these notes with us, it will help us to better know what you like and do not like. If you have questions on a property, write them down so we can work on getting answers from the seller's agent quickly.

Buying A Home in 7 StepsStep 1 - Buying ConsultationStep 2 - Loan Pre-ApprovalStep 3 - Searching for a HomeStep 4 - Viewing HomesStep 5 - Develop a Pricing StrategyStep 6 - Writing and Negotiating an OfferStep 7 - Managing the Transaction Through Closing

Comparing the Seller’s Pricing to Recent Sold Homes 4 Bedrooms, 5 Bathrooms 3450 Square Feet Asking Price: $1,899,000Buying A 3 Bedrooms, 4 Bathrooms 6 Bedrooms, 4 Bathrooms Home 3230 Square Feet 4050 Square FeetIn 7 Steps Sold for: $1,740,000 Sold for: $1,940,000 Step 5 As a member of the Board of REALTORS® we have access to the Multiple Listing Service (MLS). With the MLS we can prepare aDevelop a Pricing report that analyzes values of properties comparable to the one Strategy you want. We can also gather background information on the desired property such as how long it has been on the market,KELLER WILLIAMS pricing changes, or if it has gone through a previous listing period. Using this valuable information, we can assist you in determining a realistic, yet attractive offer price for the desired home.

Buying A Using a Comparative Market Home Analysis as a Guide In 7 Steps A Comparative Market Analysis (CMA) is the strongest tool we use when estimating the potential market value for a home. As a Step 5 member of the Board of REALTORS® with access to the Multiple Listing Service, we can prepare a report that analyzesDevelop a Pricing comparable homes in your area. Using this valuable information, Strategy we can assist you in determining an attractive, yet realistic offer price for the home.KELLER WILLIAMS A Comparative Market Analysis highlights similar homes in your area that are: Active Listings - Homes that are currently available for sale. We can see what comparable asking prices are, but remember these homes have not yet received an acceptable offer. Under Contract - Homes that have received and accepted an offer and give a good indication of realistic pricing. Sold - Looking at the prices paid for recently sold homes provides the best foundation in determining a home's most accurate market value. Once adjustments are made for square footage and features, we can make a qualified recommendation for the offer price on the home. Expired - Homes that have gone through the duration of a listing period, but failed to sell. Many factors could be responsible such as lack of marketing or the home’s condition, but most often it is simply because the home was priced too high.

Buying A Home in 7 StepsStep 1 - Buying ConsultationStep 2 - Loan Pre-ApprovalStep 3 - Searching for a HomeStep 4 - Viewing HomesStep 5 - Develop a Pricing StrategyStep 6 - Writing and Negotiating an OfferStep 7 - Managing the Transaction Through Closing

Writing an Offer: What important factors should you consider? Buying A Below are some of the items that we will need to pay close Home attention to: In 7 Steps Purchase Price - You want a good buy, but your offer must also be attractive to the Seller. Step 6 Included Items - What is included - Refrigerator, Washer & Dryer, Hot Tub, Furniture, Artwork, etc.? Writing and Earnest Money - This is the initial deposit. The importance ofNegotiating an Offer this item is often overlooked. Possession - When does the property legally change ownership?KELLER WILLIAMS (You receive keys and move in) Seller Disclosures - What information about the home should you be asking for? Contingencies - What \"outs\" will you have? Appraisal Condition - Will the sale be contingent on the home's appraisal amount? Financing Condition - Will the sale be contingent on you securing financing? Contingency Deadline - What should the deadline date be for you to complete due diligence? Financing & Appraisal Deadline - What should the deadline date be for you to cancel based on loan denial? Close of Escrow- What should the deadline date be for you and the Seller to complete closing? Response Deadline - How long should you allow for the Seller to respond to your offer? After considering all terms... The Seller may Accept, Counteroffer, or Reject the Offer.

Buying A Home in 7 StepsStep 1 - Buying ConsultationStep 2 - Loan Pre-ApprovalStep 3 - Searching for a HomeStep 4 - Viewing HomesStep 5 - Develop a Pricing StrategyStep 6 - Writing and Negotiating an OfferStep 7 - Managing the Transaction Through Closing

Buying A Receive the Seller's Disclosures Home This is the process where the Seller is required to provide information In 7 Steps relating to the property. • Seller Property Condition Disclosure - filled out, signed and dated Step 7 from Seller. Managing the • Commitment for the policy of Title Insurance, showing easements, Transaction encroachments and liens.Through Closing • HOA information, budget, minutes, assessments, CC&R's, and survey, water rights if applicable.KELLER WILLIAMS • Copy of any leases, rental, and property management affecting the property not expiring prior to closing. • Notice of any claims and/or conditions relating to environmental problems & building or zoning code violations. Your Due Diligence (Evaluations and Inspections) – IMPORTANT DATE! This is the time period provided to you as the Buyer to learn, review, inspect and decide if acceptable. • Carefully review all items provided in the Seller's Disclosures. • Schedule any physical condition inspections, tests and evaluations deemed necessary. • Review the costs, terms and availability of homeowner's insurance for the property. Settlement (Closing) – DO NOT SHOW UP IN YOUR MOVING VAN! Settlement, and then Closing shall take place only when all of the following occur: • Buyer and Seller have signed all documents required by REPC, Title, Lender, etc. • Any monies required to be paid have been delivered by Buyer and/or Seller. • The proceeds of the new loan have been \"funded\", then all closing docs are \"recorded\" at the County Recorder. • Hand off keys, garage door openers, manuals, warranties. • Help you to find a new home in this area or offer relocation assistance.

Lets Get Started! There is so much thought, knowledge and preparation that goes into a successful home-buyer process. We will be your resourceful guide through every step. Lets get started right away and we’ll find your dream home soon.

Thank You for Your Business Much of our business is based on referralsfrom satisfied clients. If you know anyone whocould benefit from our services, please let us know how we can be of help!