The Smart Buyer's Program

The Smart Buyer'sProgram

Our Creed to Excellence

Many agents think their most important job is satisfying the customer. I don’t think that’s true. I believe that satisfying the customer is simply the minimum requirement for staying in business. My staff and I work constantly to improve our systems, processes, and services to go well beyond the standard level of “service” provided by most agents.

Simply put, our objectives are to get you the best home in the least amount of time, and with the fewest hassles. We want to provide the best service in the industry. Period!

As you open your guide, you will discover valuable facts about our popular Smart Buyer’s Program, along with recordbreaking statistics, and a description of our assertive marketing. We have also provided comments from our previous clients, and helpful tips on buying a new home.

We want to make you so satisfied that you chose to buy your home with us, that you would gladly refer us to your friends and family.

The Smart Buyer'sProgram

Benefits of Buying a Home

Pride in Owning:

Dislike Paying

Rent:

Settling Down:

Good Investment:

Most people buy homes to have control over where they live. Although investment features are important, the psychological reasons for buying, the satisfaction of owning and freedom from paying rent are also very important. In a survey done by The National Association of Realtors of 6,000 homeowners and 2,000 renters (perhaps the largest ever of attitudes toward home ownership) showed that 76% of owners and 66% of renters considered pride of ownership an important reason for buying.

Almost equal portions of owners and renters - close to 7 in 10 - said a dislike of paying rent was an important reason to buy. Renting offers a lifestyle that’s nearly maintenance free. That may appeal to you, but consider that renting offers you no equity, no tax benefits, and no protection against regular rent increases. Writing a rent check is like watching your hard earned money sail away!

More than 7 in 10 renters said “settling down” was an important reason to buy.

76% of owners and 69% of renters said the investment aspect of ownership was important. Tax advantages: property taxes and qualified home interest are deductible on schedule A, for itemized deductions.

Long-term Appreciation:

Leverage Investment:

Source of Savings:

Sacrifices are Worth it:

People consider home ownership a good investment because they view it as a long-term venture. Historically, home prices have risen at relatively steady rates, and existing home prices rise an average of 6% per year.

People borrow a great deal to buy a home, yet they receive the full benefits of price appreciation. In the long run, investments in homes far outpace inflation.

Home ownership always has and continues to comprise the single largest source of savings for American households.

Almost 8 in 10 renters in the National Association of Realtors home ownership survey said they planned to buy a home in the future. More than three-quarters of these people said they were willing to sacrifice to do that.

The Smart Buyer'sProgram

Benefits of Buying a Home

Owning a home can bring financial rewards as well as a personal satisfaction that comes with knowing that you have a piece of the American dream. The financial benefits of homeownership range from the tax breaks that the owner can enjoy by writing off interest, to the possible appreciation in the equity of your home over time Some of the benefits include:

Appreciation - Real estate values generally rise over a period of years

Tax Advantages - Homeowners may deduct mortgage interest and property taxes as an expense against income, while residential investors may write off cost recovery or depreciation

Being a Tangible Asset - Real estate is seen by lenders as low risk, durable and marketable Therefore, lenders are more willing to loan a high percentage of value This allows owners to benefit by having control over an entire high-value asset with a low initial investment or down payment

Real Estate is Marketable - It can be sold at a predictable price to a dependable group of available buyers, provided enough time is allowed to expose the property to those buyers.

Real estate provides its owner with valuable control and management of its value. The following is a list of common motivations that inspire people to own their own homes.

Owning your own home provides some buyers with a deep sense of security. Possibly owning a home gives you the feeling that you have roots and really belong to your community.

You can make your own decisions about design and decor.

You can invest in upgrades that will not only bring you pleasure, but can also add value to the property over time.

You have control over your property You are not answering to a Landlord

Usually the question is whether a person should rent or buy There are many factors that influence this decision such as how long a person intends to stay at one certain address If there is a possibility that occupancy will last only a year or two, then it is probably advisable to rent unless you are willing to lease the property out as a rental once you move on The only time it makes sense to buy with the intention of a quick turn around is if the property purchased was under-valued, or if the real estate market is appreciating so rapidly that the increase in equity will exceed the cost of selling the property

The decision to buy has as much to do with your personal needs as it does with the financial reasons that can motivate a buyer Do the math to understand the ramifications Take time to understand your own motivations before you rush into this decision. Homeownership has its definite rewards.

The Smart Buyer'sProgram Buying Your Next Home with The Glen Russell Group

Buying a home is a complicated business. Mistakes could literally cost you thousands of dollars or the missed opportunity of owning the home of your dreams. As a buyer, you are always in competition with all of the other buyers who are looking to buy their dream home There is a vast difference in the level of expertise and quality of service provided by real estate agents Give yourself the advantage of working with the very best work with The Glen Russell Group, and get these value-added services that will make a big difference for you.

Highly Trained Buyer Specialists

Who focus on nothing else but finding the perfect home for you Each team member is talented and sells a minimum of 24 homes per year They are not taken out of focus like many other real estate agents, by listing properties, making brochures and following closings (We have other specialists who do these things!)

A Computerized Tracking System

That instantly alerts us about properties coming on the market that meet your needs. Our highly sophisticated computer search system allows us to provide you with pertinent information about each property as it hits the market Homes can be emailed, faxed, mailed, or hand delivered however you like

Counseling Session/Needs Analysis

This one hour intense session opens your mind and explores your options. An excellent opportunity for you to uncover your true wants and needs Allows you to get to know the agent that will assist you with this highly important decision, what to expect throughout the process and more

The Largest Inventory of Homes for Sale

Access to the entire Multiple Listing Service (MLS) through our websitewww.TheGlenRussellGroup.com

Expert Negotiation Skills

Each year The Glen Russell Group helps hundred of families move successfully throughout Montgomery, Chester and Berks counties This level of success is a testimonial to the expertise and negotiating skills that gives our clients a major advantage over buyers working with other agents

A Highly Trained Team of Specialists

Each working together as a team to make sure that all of the important details are handled.

Use of our Free Moving Truck

Enjoy using our very own moving truck loaded with moving blankets, ramp, and dolly for your big moving day and any other time you need a truck for something. (For the rest of your life!)

How Most Agents Operate The Smart Buyer'sProgram

Try to juggle dozens of tasks for multiple clients all by themselves, as they have little or no support staff to help.

Eventually run up against the limits of time, energy and money.

See relatively few properties that meet your search criteria and handpick the ones they want to show you.

Have such limited time and resources for you, the client, that service suffers.

The Glen Russell Group Home Buying System

You get a whole team of seasoned professionals working for you, versus a single agent.

We never run out of time for you because each of us is responsible for a specific process in the buying of your property.

Together, our combined efforts and resources add up to superior marketing, tracking, and customer service, resulting in you finding your home faster and with less headaches.

The Smart Buyer'sProgram The Glen Russell Team

Why Hire One Agent, When You Can Have An Entire Team?

With the Glen Russell Sales Team, you get a whole team of professionals working for you We never run out of time for you, because each of us is responsible for a specific process in the sale or purchase of your home Together, our combined efforts add up to superior customer service!

Glen Russell

Team Leader/ Licensed Realtor

Glen has been in the industry for 30 years! He has an extensive knowledge of the area and is known for providing home-buyers and sellers with professional, responsive and attentive real estate services. If you want an agent that will really listen to what you are looking for in a home, as well as an agent who can effectively market your home so it sells, Glen is the guy for you!

Connor Russell

Selling Partner/ Licensed Realtor

Connor has been with The Glen Russell Team the entire time he has been in the business. He specializes in working with buyers-- specifically first-time homebuyers. Clients have said that Connor tends to “go above and beyond expectations”!

Emily Olson

Selling Partner/ Licensed Realtor

Whether you are interested in buying or selling a property, Emily will provide valuable insight and guidance throughout the process. Due to her genuine and personable demeanor, Emily has a way of making clients feel more like family. Prioritizing open communication, transparency and trust, she will work hard to help you achieve all of your real estate goals!

Savannah Derstine

Administrative Assistant/ Licensed Realtor

Savannah specializes in customer service. She answers calls & inquiries, generates and executes documents for clients, listing/pending agreements and contracts. She assists all team members in order to maintain efficiency and productivity so that we, as a team, may better serve our clients!

Jennifer Botchway

Broker of Record - eXp Realty

Jennifer comes from an extensive background in hospitality and customer service-based industries and has used that experience in Real Estate sales while progressing her career into Brokerage Management. A lifetime resident of Chester County, Jennifer knows the areas from all 12 school districts across the region.

Erich Earhart

Mortgage Specialist

Erich has been in the mortgage business for over 20 years; much of that time spent with Union Home Mortgage. He has helped thousands of clients buy or refinance their home. He has received the Customer Service Award with Union Home Mortgage as well as being a 6x member of their Presidents Club. If you are looking for a trustworthy and responsive loan officer, who can structure a transaction so that it fits your financial goals, then look no further than Erich!

The Smart Buyer'sProgram

Advantages of a Buyer’s Agency Agreement

Your interests are professionally represented

Enlisting the services of a professional Buyer’s Agent is similar to using an accountant to help you with your taxes, a doctor to help you with your health care, or a mechanic to help you with your car So the first advantage is pretty obvious If you had all the time to devote to learning all you need to know about accounting, medicine, and automotive mechanics, you could to these services yourself But who has the time? You probably already have a full-time career to which you are committed This is why you allow other professionals to help you in specific areas of expertise We have devoted our time to perfecting a career in real estate service Continuous education, market research, and a vast experience are combined with an excellent team of real estate professionals to find you the perfect home quickly. We will take care of all the hassles of an every day real estate transaction for you. We let you concentrate on your full-time job, while we do ours. We will guide you through the home buying process and exclusively represent your interests as we help you find a home, present your contract offer, negotiate, and close!

You will get a great home quickly and conveniently

The advantage of signing a Buyer’s Agency Agreement with us is that you will have a professional working to find and secure the perfect home for you exactly when you need it. It is nearly impossible to find a home that meet your needs, get a contract negotiated, and close the transaction without an experienced agent. We have vast computer networks to make sure you only tour homes that meet your specific needs You won’t need to spend endless evenings and weekends driving around looking for homes for sale or trying to search computer networks yourself When you tour homes with your professional Buyer’s Agent, you will already know that the homes meet your criteria for bedrooms, bathrooms, garage space, square footage, neighborhood, etc Also, your agent will ensure you are looking at homes that are within your price range

You get a personal specialist who knows your needs

Just as your accountant, doctor, and mechanic get to know your needs through a steady relationship, your Buyer’s Agent gets to know your real estate needs and concerns This type of relationship is built by open communication at all times and by touring homes with your Agent to get a good idea of your feedback and concerns about each home If you try to jump from Agent to Agent, you will not receive the best real estate service possible, and you will be violating your agreement with your Agent There is nothing to gain by trying to find homes on your own, and you will save a lot of time when your Agent can tell you everything about a home before you see it.

What is the Buyer’s Agency Agreement

Benefits to Homebuyers

Entering into a Buyer’s Agency Agreement has countless advantages and no disadvantages. When you sign the agreement, you simply agree to “hire” a personal representative who, by law, must represent your best interests to the best of his/her ability. All of this personal service is available at absolutely NO COST TO YOU! The Seller’s Agent is responsible for paying your Buyer’s Agent fee. With us, you get a professional devoted to protecting your needs to help you make one of the most important investment decisions in your life - and you don’t even have to pay the fee

The Smart Buyer'sProgram Let Us Help You!

Buying a home can be confusing at times, with many options to choose from. No matter where you find a home you may be interested in seeing or learning about, call your Buyer Specialist with The Glen Russell Group for help. We share a cooperating relationship with all real estate offices within our community, which means we can show you properties that are listed with us or any company in our area. We can also assist you in “for sale by owner”, new construction, foreclosure and repossession transactions. Just call your Buyer Specialist for all the information you need.

Hear about a property for sale?

Give us a call and we’ll search out the details for you.

See a sign?

We can show you properties that are listed with us or any company in our area. We can also assist you in “for sale by owner” transactions.

Read an ad?

We can help you with any house you read about in the paper, no matter what company or individual is marketing the home. In fact, just circle the ads, drop off your paper, and we’ll find out all of the details!

Want to visit an open house?

Out for a weekend drive and see an open house, go ahead and take a peek. Be sure to advise the real estate agent that you are represented by The Glen Russell Group. When you sign in, put your Buyer Specialist’s name after yours, or ask about our guest passes saving you all the hassle.

New construction?

Your Buyer Specialist will need to accompany you to the property or make the initial contact with the builder on your behalf, assuring you get the representation and services offered in this presentation, as well as those offered by the builder... without paying more for it!

Viewing Homes

After your initial counseling appointment, your Buyer Specialist will have a good idea of your wants, needs, price range, and locations. They will then enter your requirements into the Multiple Listing Service (MLS). From the many listings in its inventory, the computer will print a list of homes tailored just to you. Your Buyer Specialist will make arrangements to show you those that seem to meet your desires.

As you walk through the homes, feel free to open the cabinets and closets. Most often the sellers will be absent, but should they be present, they will understand your need to examine the home carefully. When a home appeals to you, make notes. It is easy to recall the home as you review your tour. Whenever possible, your Buyer Specialist will have given you a copy of the MLS information on the homes you are viewing.

Don’t be surprised if the first home you see is the perfect one for you, and don’t be discouraged if none of those you visit the first day are what you want. Your Buyer Specialist is committed to finding the one that you want to call “home”, and will work diligently until you find it. Usually, your Buyer Specialist will be able to find the home of your dreams rather quickly and will find 3-5 homes that best fit the desires you expressed.

The Smart Buyer'sProgram Step by Step... The Buying Process

The First Step... Finding a Realtor You Can Trust

Now that you have chosen a Buyer Specialist you can trust, you have accomplished the first step in the home buying process. We will make sure that all your needs are met, and will be representing you through the entire process of buying your new home.

An Important Step... Getting Approved

We feel an important aspect when starting the process of buying a home is to meet with a lender and get a pre-approval. Your Buyer Specialist can put you in contact with a lender, if you desire, who can give you information not only on your approval, but also explain some of the financing options available to you.

Important Information... Consulting Session

Your Buyer Specialist will meet with you one-on-one to discuss the features you desire in a home, as well as to pin-point the area you wish to live in.

The Next Step... Looking For a Home

Your Buyer Specialist is available, by appointment, to help you find your dream HOME.

Be Careful - This is a BIG Step... Your Offer

When you find your dream home, you should present a competitive offer immediately. Your Buyer Specialist has extensive experience in contract negotiations. He or she will ensure you get just what you want for a fair price - a transaction in your best interest.

We’re Starting to Jog Now... The Accepted Offer

When the seller accepts your offer, you will have what we call a pending offer. You want to make sure every detail is handled accurately and immediately. The Glen Russell Group’s closing manager will ensure your home closes properly and on time.

You’re on the “Home” Stretch... Inspections

Final details are handled and inspections are performed to ensure the property is “perfect” for you. Contract details are further negotiated, and we head to closing!

Finalizing the Lender’s Commitment... Signing the Loan Documents

Be prepared to bring your cashier’s check, insurance binder, and driver’s license to the closing. The next steps you will take will get you over the threshold of your new home!

You are Finally Home... Now it is YOURS!

After the deed is recorded, and the possession date is decided upon, pick up the keys and move into your new “Home, Sweet Home”!

The Smart Buyer'sProgram How Much Home Can You

When you are ready to begin looking at various houses to find your dream home, you need to prepare all of the necessary material to present to the lender Your lender will tell you exactly what you can afford so that you do not spend time looking at “too much” home There are three key factors that you will need to consider when determining how much home you can afford These are: 1 ) down payment, 2 ) your ability to qualify for a mortgage, and 3 ) closing costs associated with your transaction

Down payment requirements: Most loans today require a minimum down payment of between 3% and 5% depending on the type and terms of the loan. However, there are many options to choose from with 100% financing. If you are able to come up with 20-25% down payment, you may be eligible to take advantage of special fast-track programs and possibly eliminate private mortgage insurance (PMI).

It is often thought that bigger is better when it comes to down payments In many cases, this may be true However, the arithmetic will differ from case to case A bigger down payment means smaller monthly payments and lower interest expense for as long as you remain with a mortgage This can be an important factor for many people But if you can put your available funds to work for you so that they can earn more than the interest rate on your loan, you could be dollars ahead with a smaller down payment Also, a smaller down payment may allow you to keep your extra cash liquid and available for an emergency

Closing Costs: Don’t forget to think ahead carefully. In addition to the down payment on your dream home, you will be required to pay fees for loan processing and other closing costs. These fees must be paid in full, in cash, at the time of signing loan documents, unless you are able to include these in your financing. Typically, total closing costs will range between 2-5% of your mortgage loan A more detailed schedule and good faith estimate will be supplied by your lender

Qualifying for the Mortgage: Most lenders require that your monthly payment range between 25-28% of your gross monthly income Your mortgage payment to the lender includes four items PITI These items are discussed in detail on the page entitled, “Predicting Your Monthly Payment (PITI) ” Remember, when you buy a home all interest is tax deductible, so you will qualify for a major tax advantage that will effectively increase your take-home pay. Your total monthly PITI and all debts (from installments to revolving charge accounts) should range between 33-38% of your gross monthly income. This is a general rule of thumb, but other key factors specifically determine you’re ability for a home loan. These factors are: income, history of employment, stability of income, potential for future earning, education, vocational training and background, and any secondary income such as bonuses, commissions, child support, etc

Credit Report: History of debt repayment, total outstanding debt and total available cash If you have concerns about your credit report, consider contacting one of the major credit bureaus for a copy of your file TRW (800-422-4879), Trans Union (800-916-8800)

Assets: Cash on hand, other liquid assets such as savings, checking, CD’s, stocks, etc.

Property: The home you are buying must be appraised to determine that it has adequate value and is marketable to ensure it will secure the loan

The Smart

It is extremely important that you connect with a qualified lender. We can recommend several lenders who have earned our trust and with whom we’ve had good experiences with in the past The lender will review your financial position to determine the price most suited to your ability to pay and comfort level. The pre-approval process will help you in the following ways:

You will know in advance what your payments will be.

You won’t waste time considering homes you cannot afford.

You can select the best loan package without being pressured. There are many options and programs to choose from in today’s market. Your lender will explain the alternatives to help you select the one best suited for you. Sellers will find your offer to purchase more favorable if they know in advance of your ability to secure financing. This will make your offer more competitive if you are in competition with other offers. Nowadays, most listing agents require a pre-approval letter to accompany all purchase agreements.

Eliminate closing costs and explain them in detail.

Peace of mind!

610.792.3000

The Smart Buyer The Softening

The Smart Buyer'sProgram Buyer Satisfaction Guarantee

If you decide to sell the home you purchased through The Glen Russell Group within 18 months of the date you settled, and eXp Realty acted as your agent in the home purchase we will:

1 Offer to buy back your home for current market value as determined by closed sales for similar homes occurring within the last 180 days or

2 Offer to sell the home for you for FREE waiving our normal commission charges

Buy Back Conditions:

1. You must purchase another home of equal or greater value using The Glen Russell Group as your exclusive Buyer Representative, with The Glen Russell Group receiving no less than 3% cooperative fee from the listing company, private home owner (FSBO), or new home builder, on the home you purchase. Any amount received less than the 3% cooperative fee shall be made up by you and paid to The Glen Russell Group at closing as part of the brokerage fee due to and owing The Glen Russell Group under this agreement.

2. Any sale based upon a job transfer that requires selling your home, whether or not your employer is paying your closing costs will invalidate this agreement

3 Upon acceptance of our Buy Back offer, escrow will close in 120 days from date of agreement During this period, The Glen Russell Group will list your home for sale under the terms of our Guaranteed Sale Program You agree to sign The Glen Russell Group Guaranteed Sale Contract and adhere to its terms and conditions

Sell For Free Conditions:

1 Glen Russell will waive his portion of the 3% listing broker fee normally charged, however you will be responsible for paying a 3% brokerage fee to the co-op agent, including Glen Russell or one of his sales agents who brings an acceptable offer to purchase, normal customary closing costs associated with selling the home, and any advertising costs associated with the sale of your home There will be a $595 conveyancing fee due and payable to eXp Realty upon closing

2 You will sign a 120-day exclusive authorization listing agreement with The Glen Russell Group

3 You must purchase another home of equal or greater value using The Glen Russell Group as your exclusive Buyer Representative, with The Glen Russell Group receiving no less than 3% cooperative fee from the listing company, private home owner (FSBO), or new home builder Any amount received less than the 3% cooperative fee shall be made up by you and paid to The Glen Russell Group at closing as part of the brokerage fee due to and owing The Glen Russell Group under this agreement.

4. Any sale based upon a job transfer that requires selling your home, whether or not your employer is paying your closing costs, will invalidate this agreement.

I offer this unique Buyer Satisfaction Guarantee to you so that you are in more control of the relationship. I want you to know that I too have a vested interest in helping you get the best possible home. I hope that putting this in writing helps you understand how committed to my clients I really am!

For additional value to our service, we offer the free use of our moving truck when you buy or sell a home through us. The best part about this is: Once you are a client of ours, you may use the truck for the rest of your life!

Barbeque Clause

Once you buy your home, pick a party date, because The Glen Russell Team will be supplying the food!

You pick the date, and we will supply your choice of steaks, chicken, or hamburgers & hot dogs!

This is our way of saying thanks for the business, and your way of letting your friends and family know about your move!

The Smart Buyer'sProgram Our Cancellation Guarantee

If you’re not completely satisfied with our services as promised, you can cancel the Buyer Broker Agency Agreement with us. I’m so confident that our Buyer Profile System will work for you, that I guarantee you the right to cancel our agreement at anytime prior to executing an Agreement of Sale, with no penalties or obligations, if you feel our services do not live up to our promise

Cancellation Guarantee

Entering into a Buyer Broker Agency Agreement with a Real Estate Agent can be risky business. Every sales representative will promise you the world when it comes down to working, locating, communicating and customer follow-up, but how many of them can back that up with solid performance? According to a recent survey, 52% of homebuyers were dissatisfied with the performance of their agent However, most Buyer Contracts lock you into long-term commitments and lengthy broker protection periods with some companies having heavy cancellation fees In other words, it’s an agreement your agent can get out of, but you can’t!

I’m offering you a way to work with our TEAM that is totally risk-free!

Success in real estate is the ability to search, locate, get you the best price for your home quickly and efficiently, and guide you through the inspection and financing process I’m confident that I can do this for you, because our team has already helped hundreds of families just like yours purchase their homes

Our pledge is to provide you with the highest level of service in The Real Estate industry, and our commitment to this pledge is 100%

Your right is to evaluate whether we live up to this standard, and to cancel your Buyer Broker Contract with us at any point, with no penalties or obligations, if we fail to deliver the service we promised.

The Smart Buyer'sProgram

Buyer Representation: How We Can Help...

Question: Do home buyers need the help of a Buyer Representative?

Answer: You bet! Because when buyers work with a real estate professional who is 100% loyal and completely committed to them, chances are that the entire home buying process will go smoothly, with more buyer satisfaction

Question: What exactly is a Buyer Representative?

Answer: A Buyer Representative works solely for you and has no legal or other responsibilities to the seller When working with a Buyer Representative, you have the advantage or personal representation, independent counseling, loyalty, confidentiality and trust On the other hand, while helping you present an offer, negotiate, and close a transaction, a general real estate agent has certain fiduciary responsibilities to the seller and agent of any property

Question: Will a Buyer Representative disclose more information to us?

Answer: Yes indeed. Because a Buyer Representative’s fiduciary responsibility is to YOU, he or she can be more forthcoming with any negative aspects about properties that you’re investigating for purchase.

Question: Does a Buyer Representative make decisions for us?

Answer: No. As your personal ally, advocating your best interests, a Buyer Representative is obligated to provide you with maximum information about buying a home, each step of the way. That means disclosing specifics about location, property values, offering price, negotiations, counter offers, contingencies, financing, and the entire closing process. Armed with such vital and detailed information, you’ll be thoroughly prepared to make decisions that are right for you and your family.

Question: What about negotiating the details?

Answer: First, a Buyer Representative is fully qualified and highly skilled in the back and forth negotiations and financing queries that precede the closing of most real estate transactions Second, a Buyer Representative is also experienced and committed to helping protect your best interest in the purchase In representing and supporting you, that’s a powerful combination!

Question: What did you mean by “confidentiality?”

Answer: Since a Buyer Representative is legally obligated to only you, he or she can help you maintain absolute privacy with regard to financial and personal information That’s another important benefit of working closely with a qualified Buyer Representative

Question: A few more questions?

Answer: Your Buyer Specialist with The Glen Russell Group can give you more details and answer all of your questions.

The Smart Buyer'sProgram Mortgage 101

Your home is collateral for your mortgage loan, which is also a legal contract you sign to promise that you’ll pay the debt, with interest and other costs, typically over 15-30 years. To repay the debt, you make monthly installments or payments that typically include the principal, interest, taxes and insurance, together known as PITI.

Principal - The principal is simply the sum of money you borrow to buy your home. Before the principal is financed, you can give the lender a sum of cash called a down payment to reduce the amount of money that will be financed.

Interest - Usually expressed as a percentage called an interest rate Interest is what the lender charges you to use the money you borrow As well as the given rate, the lender could also charge you points, and additional loan costs Each point is one percent of the financed amount and is financed along with the principal

Principal and interest comprise the bulk of your monthly payments in a process called amortization, which reduces your debt over a fixed period of time With amortization, your monthly payments are largely interest during the early years and principal later on In additional to your principal and interest, your mortgage payment could include money that is deposited in an escrow or trust account to pay certain taxes and insurance Generally, if your down payment is less than 20%, your lender considers your loan riskier than those with larger down payments To offset that risk, the lender sets up the escrow account for these expenses, which are rolled into your monthly payment

Taxes - The taxes are property taxes your community levies based on a percentage of the value of your home. The tax is generally used to help finance the cost of running your community, say to build schools, roads, infrastructures and other needs. You must pay property taxes even if you don't need an escrow account and even after your mortgage is paid off.

Types

The Smart Buyer'sProgram

Personal Information

Full names of all purchasers as they are to appear on title. Social security numbers of all purchasers.

Present residence address for all purchasers.

Previous address for all purchasers going back two years if they have not resided in the present home for two years

Home, office, and cell phone numbers

Employment Information

Present Employer: Name, address and contact person to send employment verification form.

Explanation for any gap during two year history.

Relocation letter for any transferees - giving date, salary, new location, and any relocation benefits.

Previous employer: Name, address and contact person, going back two years if not in present job two full years.

Present Salary: Year to date pay stub and last two years’ W2s. If any variable income, commission, part time income, bonus, overtime, interest income, etc is being used to qualify: two years’ signed federal individual and corporate returns (if applicable) Also a profit and loss statement and balance sheet

Diploma or transcript if student during two year period

Other Income

Rental Income: Copy of lease which is current and at least one year in length. Alimony and Child Support (only if used for qualification): Copy of Divorce Decree and property settlement (ratified) setting out terms. Proof of payment will also be requested at application.

Income From Notes Held: A copy of the Ratified Note.

Retirement, Social Security and Disability Income: Copy of award letter and latest check showing amount of present payment. Copy of year statement if applicable.

The Smart Buyer'sProgram Preparing

(cont.)

Assets

Bank Accounts: Name of bank, address, account numbers, types of accounts, and present balances. With checking, use average balances.

Copy of two most recent statements of all accounts

Stocks and Bonds: Copy of certificates or copy of recent (within 30 days) broker statement listing the holdings

Life Insurance: Cash value, only if being used for a down payment

Vehicles: Year, make and value If free and clear, deed of release, deed or mortgage payoff

Real Estate: Address and market value. If free and clear, deed of release, deed or mortgage payoff.

Present Home: Copy of sales contract, settlement sheet and/or lease.

Gift Letter: Form will be provided by financial representative. Donor capacity must be verified. Receipt of funds must be shown in account.

Liabilities

Credit Cards: Account numbers and outstanding balances

Loans (Auto, Mortgage, Personal, Student, Etc ): Name of institution, address, account numbers, outstanding balances, monthly payments, months left on loan Copy of next payment coupon 12 months’ statements or canceled checks for present mortgage

Alimony and Child Support: Copy of Ratified Decree and property settlement setting out terms

VA Loans

Certificate of Eligibility: To obtain certificate, you will need a DD-214 (Separation of Service) or if in the Service, you will need a Statement of Service signed by the Commanding Officer or Personnel Officer (certificate must be updated prior to application).

If in service, you will need Authorization to Live Off Base (DD-1717 from Housing Office) and Transfer Orders (if applicable)

When applying for a Real Estate Loan:

1. Thou shalt not change jobs, become self-employed or quit your job.

2. Thou shalt not buy a car, truck or van (or you may be living in it)!

3. Thou shalt not use charge cards excessively or let your accounts fall behind.

4. Thou shalt not spend money you have set aside for closing.

5. Thou shalt not omit debts or liabilities from your loan application.

6. Thou shalt not buy furniture.

7. Thou shalt not originate any inquiries into your credit.

8. Thou shalt not make large deposits without first checking with your loan officer.

9. Thou shalt not change bank accounts.

10. Thou shalt not co-sign a loan for anyone.

5 Items We Negotiate

The Smart Buyer'sProgram What to Expect When Writing an Offer

Here are some things to consider to ensure your offer gets accepted:

What type of sale is it?

- Foreclosure, Short Sale, Traditional Sale

Is it priced right for the market?

- What is the buyer activity?

- Are there other offers on the property?

- What other homes are for sale in the neighborhood?

- What has sold recently in the area?

- How long has it been on the market?

What is the seller’s motivation?

- Are they price driven or are there other terms that are important to them such as a lease after sale?

- How long of an escrow are they looking for?

Do you need concessions for closing costs?

- Closing costs such as title, escrow, and lender fees usually cost between 1-3% of the sales price.

Are there multiple offers on the property?

- This is not uncommon for homes priced right for the market and in great condition.

- Often times the seller will ask you for your “highest and best” offer. In other words, what is the highest price you will offer that if another buyer offered more you would not have any regrets because you gave it your best shot?

The Smart Buyer'sProgram Purchase Agreement

In negotiating the purchase of your new home, the initial step will be to make an offer to purchase. This offer should be in writing and accompanied by an earnest money check to show good faith. The offer will include:

The amount you are willing to pay

Financing terms

Any personal property specifically included

Loan commitment date

Closing and possession date

Other contingencies, including inspections

The offer will be written on a standard contract form Your Buyer Specialist will prepare the purchase agreement for you and explain each detail and term. If the initial offer is not accepted by the seller, further negotiations, often called a “counter,” generally reach terms agreeable to both buyer and seller. Once the inspections (if any) are completed within the time frame designated, your Buyer Specialist will provide you with copies of your accepted offer which you will need to provide to your lender to proceed with financing.

Earnest Money Deposit

At the time a written offer on a property is initiated, you will be required to make a deposit in the form of a personal check or cashier’s check. The amount deposited will be kept in the escrow fund account of the listing company and will not be turned over to the seller. This money represents your sincerity in the attempt to purchase and is fully refundable if the offer is not accepted, your loan is not approved, or other conditions of the contract are not met by the seller You should anticipate a minimum of $500$1,000, for homes under $100,000 In homes over this price range, expect to deposit 1-5% of the purchase price The MLS printout will indicate the amount desired by the seller of each home The check will be made out to the listing agent’s company This earnest money will be credited to you at closing as part of your down payment and/or closing costs

Title Insurance

When a property is sold or refinanced, the lender and/or buyer needs a preliminary title report to see exactly what liens and encumbrances are against the property Items that a preliminary title report show include:

Easements of record

Restrictions, covenants and conditions

Liens and/or judgments

Exact vested owner of record

Legal description

When the sale of the subject property is final and the title company has recorded the necessary documents, they will then issue a policy of Title Insurance to the new lender and the buyer showing clear title to the property.

The Smart Buyer'sProgram Home Inspection

Is an inspection necessary? You have the right to request an inspection of any property you are thinking of purchasing by a professional inspector of your choice. Your Buyer Specialist will assist in providing choices and setting the inspection for you. You should always exercise your option to have the physical condition of the property and its inclusions inspected. Many of the more severe and expensive problems such as mechanical, electrical, structural and plumbing are not noticeable to the untrained eye. If major repairs or defects are found, negotiate these in your response form. A professionally conducted home inspection followed by a written evaluation is becoming standard procedure in home buying because of increased buyer awareness and savvy. The home inspection company should provide you with a written report at the time of inspections. You will have 2 days following the receipt of the report to respond to the seller with any major defects. Your Buyer Specialist will assist you with the response.

What does an inspection entail? A qualified inspector will follow Standards of Practice in conducting their inspections. We recommend the following minimum standard when choosing an inspector: (1) membership of ASHI (American Society of Home Inspectors) and adherence to its Standards of Practice and Code of Ethics. (2) Written report at the time of inspection. The inspection consists of a physical inspection of the home with the purchaser present, followed by a written report detailing their findings. They report on the general condition of the home’s electrical, heating and air systems, interior plumbing, roof, visible insulation, walls, ceilings, floors, windows, doors, foundation and visible structure. The inspection is not designed to criticize every minor problem or defect in the home. No home is perfect. It is intended to report on major damage or serious problems that require repair for the well being of the home, and that may require significant expense.

Buyer education is necessary! The primary purpose of the inspection is to educate the buyer to make an informed purchasing decision. The inspector should allow and even encourage the buyer to attend the home inspection. A good home inspector knows how the home’s many systems and components work together and how to minimize the damaging effects of sun and water. The buyer’s attendance of the inspection provides them with an overall idea of possible future repair costs and maintenance routines. This is valuable information, which could increase the life span, and perhaps the future selling price of the home.

Continuing education is important for inspectors. A competent home inspector is familiar with the latest construction material, home building techniques, and professional equipment. Consumers should research whether prospective inspectors actively monitor the changes in construction and real estate in order to keep their business practices current and professional. Members must meet annual and continuing education requirements for this purpose.

Time and fee guidelines for the inspection - The time necessary to properly inspect a home, as well as the fee charged by the inspector, varies according to market location, the size and age of the home, and the individual inspection company. However, you can expect that it will take an average of 2-3 hours to competently inspect a typical one-family, 3 bedroom home, with an average cost of $250-$400. Your Buyer Specialist may not be at the inspection, but will follow up with you at the end of the inspection or after the inspection is completed, to discuss the report.

Inspection extras - Some inspectors may be qualified to provide other types of services with their inspection that go beyond the scope of the ASHI standards. Such as: termite/pest inspection, radon test, water test, structural and out buildings.

The Smart Buyer'sProgram Prior to Closing

Our closing manager will be in touch with you once we obtain an accepted offer. She will monitor the entire closing process to ensure that everything gets done in a timely manner. She will deal directly with your lender to coordinate the mortgage loan approval process, which may include the following:

Loan commitment

Credit report

Appraisal

Verification of employment

Verification of assets

Coordinate the following as applicable to your transaction:

Occupancy permit (if needed)

Survey

Home Warranty application

Special agreements

Escrow agreements

Lien waivers

City letters

Title policy

Closing/Escrow statement

Affidavits

Authorization to deliver deed

Deed preparation

PMI (Private Mortgage Insurance)

Submission to underwriter

Verbal approval

Written approval

Need to amend contract

Provide you with a closing checklist of items to prepare for the final closing or settlement

Remind you to coordinate the following one week prior to final closing or settlement:

Transfer utilities

Check keys

Insurance policy with paid receipt

Time, date and location of closing

Day of closing - Closings are typically help at the title company that provided the title policy for your purchase A closing officer will conduct the closing and go over your closing statement and lender documents that need to be signed

The Smart Buyer'sProgram Understanding Closing Costs

Application Fee:

Closing Fee:

Commitment Fee:

Discount Points:

Funding Fees:

Fee charged by lender to offset fixed costs related to mortgage loan processing such as appraisal, credit report, and underwriting.

Fee charged by the closing agent who prepares the closing documents and closes the loan on behalf of the lender.

This is often called an origination fee, and is generally computed at 1% of the mortgage amount.

Each point is equal to 1% of the mortgage amount. Points are used by the lender to adjust the yield on the mortgage when it is sold to an investor. By paying more points, the borrower can obtain a lower mortgage interest rate.

Normally applicable to VA loans only, equal to 1% of the loan amount. The fee is due at closing or may be added to the loan amount and financed.

Home Owners Insurance:

Mortgage Insurance:

Pre-payables:

Recording Fees:

Survey Fee:

Title Insurance:

Underwriting Fees:

One year premium is due in advance at time of closing.

Insurance required by the lender when the down payment is less than 20%. In the case of loan default, this insurance reduces the lender’s loss.

Adjustment to the escrow accounts from the date of closing to the date of the first payment. Interest is paid through the end of the month of closing. Taxes are paid through the end of the month of closing plus the following month. Two months of PMI (Principal Mortgage & Interest) are collected. Two months of home owner’s insurance may be collected. A home owner’s insurance policy must be provided along with a receipt showing the first year’s premium is paid.

Fees charged by state or municipal entities for entering the closing documents into the public record.

Is usually required and is used by the lender to check for encroachments from within or from outside the subject property.

Provides protection for lenders and homeowners against financial loss resulting from legal defects in the title.

Usually included in the application fee. However, practices vary from lender to lender.

The Smart Buyer'sProgram Moving Checklist

Plan Ahead By:

Deciding what to move and what not to move. Possibly plan a garage sale!

Obtaining estimates from several moving companies or truck rental companies, depending on how you plan to make the move.

Transferring your bank accounts. They will be happy to open your accounts by mail.

Obtaining your child’s school records to make for an easier transfer.

Drawing up a floor plan of where your furniture should be placed. This will help avoid confusion for you and your movers.

Paying existing bills and closing out local charge accounts.

Recording expenses incurred during your house-hunting trips. You will also want to save your moving expense receipts (if the move is employment related) for tax deductions.

Arranging any special movers, such as for an expensive piano, breaking down and moving a pool table, or an above ground swimming pool, etc.

Do not use your stereos, computers, televisions, other electronic devices and appliances for 24 hours after delivery to prevent possible damage. Allow them to adjust to room temperature.

Make sure all utilities have been connected.

Locate your local post office, police, fire stations and hospitals, as well as gas stations near your home.

Get information on schools, libraries, community activities and emergency calling services from your local chamber of commerce.

Get familiar with your local shopping areas. You may need housewares, tools, or other items for your home unexpectedly.

Appliances:

Basement Waterproofing:

Carpet Cleaning:

Electrical Work:

Exterior Construction:

Flooring/Carpeting:

Garage Door Repair:

Handyman:

Heating/HVAC:

Home Inspector:

House Cleaning:

Kitchens:

Landscaping:

Locksmith:

Mold:

Moving:

Painting:

Pest Control:

Remodeling & Renovations:

Roofing:

Keiffer’s Appliances Kristen Cossa 215 852 3910 Kristen@keiffers com Sanatoga Corporation 610.326.9800 www.sanatogacorp.com

Dry Tech Waterproofing Solutions Dave Shifflet 610 864 8090

Oxifresh Daniel DiGiovanni 610 324 0197 oxifreshmontcopa@gmail com

Sands Electric JJ Sands 215. 519.1740 Jjsands@gmail.com

Rutter Roofing & Exteriors Alex Kotch 484 889 8177 Alex@rutterroofing com

A&E Flooring Adam Kasopsky 610.831.5942 adam@aandeflooring.com

Volpe Door Services Mike Volpe 267 532 6036 volpedoor@gmail com

Matgen Property Solutions Eugene Dychdala 484 387 9385 Matgenpropertysolutions@gmail.com

Ed Weick 215 239 4470 edweick2@aol com New Age Air Jason Schondra 610 454 0749 jason@newageair com

Dunn Right Property Inspections Uriah Dunn 484.938.8878 uriah@dunnrightpropertyinspections com

Nogueira Cleaning Services Mislene Nogueira 484 630 9503 mislenemislenenogueira@gmail.com

Santoro Tile & Marble Inc Roxanne Santoro Hoover 610 272 7511 santorotile@aol com

Tinoco Galvan Landscaping Peter Tinoco 484.684.0802

Distinctive Outdoor Structures Russell Miller 445.448.0775

Carter’s Lock & Safe 610 323 1313

Total Restoration: 610.226.5098

Angel Pedraza 484 716 4096 angel@realtimeds net

Professionality Painting Brock B 484 857 2468

ProfessionalityPaitingLLC@gmail.com

Patriot Pest Solutions Inc Ryan Ritchey 814 937 1607

Ryan@Patriotpestsolutions net

Brown Services LLC Michael Brown 610.324.0330 info@brownservicesbiz.com

Buckwalter’s Roofing Brian Buckwalter 610 948 4283

DiCesare Roofing Eric DiCesare 610 334 0532 dicesareroofing@comcast net

The Smart Buyer'sProgram A Word From Our Clients...

Our most recent client survey shows 91.6% of our clients would come back to The Glen Russell Team!

“Glen was an incredible realtor who made the process enjoyable even with the stress and uncertainty around buying a first home. We were in such good hands with Glen that I unreservedly recommend his services I never felt pressured to go above our budget or to look at properties that weren’t what we asked for Glen went above and beyond and made sure our mortgage provider was taking care of us Glen also contacted an agent listing a property we were extremely confident about that had stopped showings due to the sheer number of offers His advocacy on our behalf got us in to see the property after the cutoff AND then helped us make an offer that was accepted Glen is the only realtor I’d call to help me in this region. He’s the first person in the sales industry I can’t wait to call again.”

– Julius Davin

“We could not have had a better person helping us with our recent purchase. Glen kept us updated and involved us in every step of our purchase process. He is professional and knowledgeable and we will recommend his services to others.”

–-Maureen Williams

“We simply could not have asked for a better person to work with! Glen and his team are so dedicated and focused, we knew we were in good hands! We appreciate the hard work and excellent communication throughout the process Ten out of ten and we look forward to recommending Glen to friends and family “

– Jennifer Leininger

"Glen was an amazing realtor to work with He was very knowledgeable about the market and offered amazing recommendations both during our home search and extending an offer He is always quick to respond with any messages with questions or concerns and, because of his extensive experience, we felt much more comfortable with the house we chose with Glen as our agent. I cannot say enough good things about the experience and would highly recommend him to anyone looking to buy or sell their home. You won't find a better agent!"

– Kelly Grubola

The Smart Buyer'sProgram

“We’ve known Glen since we bought our 2nd home in 2000, and since then we’ve always turned to him for all of our real estate transactions. Not only is Glen an MVP in the real estate business when it comes to his knowledge and experience, but he is also one of the most honest and easy to work with persons I know. If you are looking for someone who will market and sell your property quickly and for a fair market price, Glen and his team are the best around!”

– Tony S.

"Amazingly proficient and very knowledgeable. I would recommend him to a potential buyer or seller. He helped us throughout the entire process. Glen has a very helpful team behind him and it was a pleasure working with him to sell our home."

– Colette Finegan

"It was such a pleasure to work with Glen Russell and his team! Glen is so personable and worked tirelessly for us. From the start we had a laundry list of what we were looking for in our forever home. Glen was always professional, incredibly helpful, and most of all patient with us in our search. He was a wealth of knowledge, often giving us insight on things we would have otherwise overlooked. When we did finally purchase our home, we needed contacts for contractors. Glen had a contact for everything from painters to flooring to insurance agents. He truly goes above and beyond. We are forever grateful to Glen and his team for providing us with such a positive experience in both selling & buying our homes. Highly recommend!"

– Emily O.

“Excellent to work with and pays great attention to detail. Thank you for your hard work and dedication all the way to the end. He is great in communicating and explaining everything all the way through the transaction.”

– Rich Brown

T E S T I M O N I A L S

G L E N W A S T H E P E R F E C T C H O I C E F O R U S ; H I S V A R I O U S O P T I O N S

F O R C O M M I S S I O N , U N I Q U E M A R K E T I N G S K I L L S , K N O W L E D G E O F

T H E L O C A L M A R K E T A N D U S E O F H I S M O V I N G T R U C K J U S T F O R

T H E C O S T O F G A S W E R E A L L R E A S O N S W E C H O S E G L E N . H E

S A V E D U S T H O U S A N D S O F D O L L A R S W I T H H I S E X P E R T

K N O W L E D G E A N D W A S T R U E T O H I S W O R D I H I G H L Y R E C O M M E N D

G L E N I F Y O U N E E D Y O U R H O M E S O L D A N D N E E D I T S O L D F A S T !

- S T A N , L I M E R I C K , P A

G L E N M A D E S O M E E X C E L L E N T R E C O M M E N D A T I O N S T O P R E P A R E

M Y H O U S E F O R S A L E . H E A L S O S H A R E D G R E A T I N F O R M A T I O N

A B O U T R E C E N T S A L E S I N M Y N E I G H B O R H O O D A N D H O W M Y

H O U S E C O M P A R E D H E S O L D M Y H O U S E I N L E S S T H A N O N E W E E K

I H I G H L Y R E C O M M E N D H I M T O A N Y O N E L O O K I N G T O S E L L ! - P A M , P O T T S T O W N , P A

W E ’ V E S O L D T W O H O M E S A N D B O U G H T O N E W I T H G L E N A N D H I S

T E A M . O U R E X P E R I E N C E S O N A L L O C C A S I O N S W E R E E X C E L L E N T -

B O T H T I M E S T H A T W E W E R E S E L L I N G A H O M E , I T W E N T U N D E R

C O N T R A C T W I T H I N A W E E K G L E N A N D H I S T E A M W E R E A L W A Y S

E A S Y T O R E A C H , A N D T H E Y C O M M U N I C A T E D W I T H U S R E G U L A R L Y

S B O U T F E E D B A C K T H E Y R E C E I V E D F R O M O T H E R A G E N T S

R E G A R D I N G S H O W I N G S T H E Y D I D A G R E A T J O B O F T Y I N G U P A L L

P O S S I B L E C O M P L I C A T E D I S S U E S P R I O R T O C L O S I N G D A Y , S O T H A T

W E N E V E R E N C O U N T E R E D A N Y S U R P R I S E S A T T H E S E T T L E M E N T

T A B L E W E C O U L D N O T R E C O M M E N D G L E N A N D H I S T E A M A N Y

M O R E H I G H L Y , A N D O U R O N L Y R E G R E T I S T H A T W E R E C E N T L Y

M O V E D O U T O F T H E I R A R E A A N D W O N ’ T B E A B L E T O U S E T H E M

F O R F U T U R E R E A L E S T A T E T R A N S A C T I O N S . - G A I L , B O Y E R T O W N , P A

O U R H O M E W A S L I S T E D F O R 6 M O N T H S W I T H A N O T H E R R E A L T O R

W H O D I D A S B O L U T E L Y N O T H I N G T O S E L L T H E H O U S E W H E N T H A T

C O N T R A C T E X P I R E D G L E N G O T I N T O U C H W I T H M E T O F I N D O U T

I F I W A S S T I L L I N T E R E S T E D I N S E L L I N G . H E A C C O M P L I S H E D M O R E

I N A M O N T H T H A N T H E O T H E R A G E N T D I D I N S I X W I T H I N D A Y S

O F S I G N I N G O N W I T H G L E N I N J A N U A R Y , I W A S A L R E A D Y G E T T I N G

C A L L S F R O M H I S O F F I C E A B O U T S H O W I N G S T H A T W E R E B E I N