jgR Buyer's Guide

OUR ROOTS

Chicago native John Greene moved to Naperville in 1969 He came here because he was inspired by the unique opportunities that were surrounding him More than four decades and 145,000 residents later, Naperville and the surrounding areas are admired as great places to live, raise families, and retire

Initially, John worked with a large Chicagoland brokerage While the brokerage experienced successful growth, the quality of service and their ability to make real-time, locally-based decisions began to decline. John saw an opportunity to add value to the local market through a new model that focused on personal relationships, hand-picked agents and local expertise. The vision for the company was captured in the tagline “A Better Way”

Since that day, John Greene Realtor has been committed to helping its communities grow, not just growing its business As a result, John Greene Realtor is revered as a family-owned boutique brokerag that brings the reach of an expansive global network of independent real estate companies to each an every one of its clients.

As the next generation of family leadership guides John Greene Realtor into the future, we remain committed to the people and values that built this company

"I don't think anyone should wake up in a home that they don't love."

John Greene, 1976. Grand Opening of John Greene Realtor.

OUR STORY

We are john greene Realtor®, a family-owned and operated company founded in 1976 by John Greene

Our company is a full-service residential brokerage firm that is filled with hand-picked agents who share the same vision, sensibilities, respect and dedication as our founder

We proudly maintain our reputation for excellence, innovation, and delivering a five-star client experience

EXCEPTIONAL PEOPLE

Quite simply,we believe that real estate is a peo ple business first. We believ e in investin g in our tea m, providing top-quality ser vice to our lcients, and contributingin a positiv e way to thecommunities we serve.

WE HIRE THE BEST

We have a carefully-selec ted team of f ull-time & highly traine d agents. We seek to hirethe best an d most dedicate d agents in the industry,and we inve st heavily in their success. Our talentedteam prides itself in providing excep tional clientcare and consistentlyexceeding ex pectations.

MARKET EXPERTISE

Our local agents and comm unity cultureplay a majo r role in providing you the best local market knowle dge, and making sure your home is priced right from the start. We pride ourselves on our personal market expertise andour ability to provide v aluable information t o better ser ve our client s on buyers, competition,and the mark etplace.

RESULTS

Our team consistently ran ks at the topof the indu stry and consistently outperfo rms the competition. We a re committed toproviding th e highest level of servic e and getting h omes sold.

The Path to Buying Your Home

Buying a home is a complex process. Our job is to make this journey as stress free as possible and get you across that finish line. Your john greene agent will assist you all through the search, comparable homes sold, making an offer, inspection, repair, and appraisal processes, as well as help you find the best value, neighborhood, and quality for your budget and requirements. We will guide you through every step of your search to help you find the perfect home, and will work to make the process of purchasing your home seamless, providing guidance and resources throughout the transaction to closing and beyond.

Real estate is complicated. We make it easy.

Selecta john greeneRealto r as your agent.

Get pre-qualified.

Make your wish li st.

Neighborhood identificati on. View propert ies.

Negotiate offer. Under contract.

Submit offer.

Comparative market analysis.

You are a Homeowner!

Title a nd homeowners insurance.

Final walk through.

The Buying Process

1. Select a john greene Realtor Agent:

Your real estate professi onal should be an expertin the area where you want to liveand familiar with the typ e of home you want to buy. Your agent has experienc e in your ne ighborhood and can offerthe best ad vice on homes in yourrange.

2. Get prequalified:

Your lender will look at your income, credit scores , revolving debts, obligations s uch as child support as well as the ytpe of loan you choose. Other factorsthat impact how much home you canbuy is the d own payment; smaller down pay ments mean higher monthly payme nts. Last, the interestrate and ter ms (30-year, fixed or adjustable rate) will determine wha t you can af ford in monthly payments.

3. Make your wish list:

Decide whereyou want to live and how many bedrooms and bat hs you’ll need. Conside r lifestylecondominiumsoffer shared amenities, with little ersponsibilit y. Single-family homes offer more space an d privacy, but much moreexterior an d yard maintenance.

4. View Properties:

No home is perfect, so do n’t let minor flaws influence you. Thin k long-term. Which home best suits the activities and needs ofyour househo ld now and in the yearsahead? Don’t buy more than you needor can comf ortably afford.

7. Get an appraisal:

The bank appraisal determ ines market value. If thehome doesn’ t appraise for the purchase price, t he bank will refuse to mak e the loan u nless you renegotiate with the sell er. If it appraises, th e lender wil l move toward closing.

5. Make an offer:

Your offer depends on the current market. If ahome has bee n on the market a longtime, you c an ask the seller for aprice reduct ion, but ifti’s new on the market, the se ller is unlikely to a ccept a low offer. Ask your real estate agent fo r advice.

8. Go to closing:

Once final negotiations a re complete, the parties t o the transa ction meet at the escrow office, along with the titl e company, andreal estate attorney, or whatever is c ustomary in your area. All paperworkis signed b y both parties. Thelender pays the seller, minus any liens against t he home such as the s eller’s mort gage. Once all the disbursements hav e been made, you getthe keys to your new home, according to your a greement.

6. Get an inspection:

A home inspection is a pr ofessional third-party o pinion of th e home’s condition. Th e inspector will point ou t the age of systems, and l arge and small repairsthat are ne eded, so you’ll know what you’re f acing as the next owner.

P R E P A R E

Understanding Your Budget

Before starting your home search process, it is important to evaluate your financial situation, confirm your budget, and familiarize yourself with mortgage options.

AFFORDABILITY

Your monthly payments should be comfortable for you to handle, in relationship to your total obligations, about 28% of gross monthly income Your house payment and your debts should not exceed 36% of your income, including revolving credit, student loans, and child support You should also pick the correct loan for your needs A fixed rate is more expensive, but offers more protection than an adjustable rate mortgage that can reset to a higher amount, making your monthly payments higher

Working with your Realtor™ and your lender, you will evaluate:

• How muchnfiancing you can qualifyofr

• Your credithistory and credit score

• How much yo u will need for a down payment

• Items included in your mortgage payment

• Possible nfiancing choi ces

• Current interest rates

An integral part of the financial process is getting pre-approved by your lender. When making an offer on a home, the pre-approval letter shows sellers and their agents that you are a serious, qualified, and committed buyer.

In addition to the mortgage payment, additional costs to take into account when determining your budget include:

• Monthly HOAPayments (i f applicable)

• Property taxes

• Insurance

• Utilities

• Commutingocsts

Mortgage Loan

Checklist

Bank Statements (all pages even if blank)

Last two months from all accounts

Retirement

Last two months of retire ment/pension,401K and so cial security 1099statements

Pay Stubs

Last 30 days

Tax Returns

Last two year s of 1040 fe deral tax return, last tw o years of federal corporate and/or partnershipatx returns ( if self-employed ), last two years of W-2forms

Valid I D copy

Driver’s license, social security card , passport

Earnest Money

Copy of earnest money che ck deposit

Award letters (if applicable)

For retirement/pension in come, socialsecurity, di sability income

Divorce (if applicable)

Decree and separation agr eement

Mortgage Statements (if applicable)

Property taxbills and ho meowners insurance statements fo r all real e state owned

Bankruptcy (if applicable)

Petition andDischarge

Preparing For A Home Loan:

Don’t applyofr new credit of anykind.

Do keep allxeisting cred it card accountsopen

Don’t max outor overcharge existing credit cards.

Don’t consolidate debt to onerotwo credit cards.

Don’t make major purchases.

Do be prepare d to pay off collections i f required b y underwritingor the loan program guidelines.

Do provide documentation for satisfiedjudgments o r paid tax lien s.

Do stay current on payments forall existing monthly obligations.

Don’t make uncharacteristically large payment s into your accounts.

Do call yourRealtor™ before makingany financial decisions or changes to your normal financial routine. We are here to helpyou through the process.

Creating the Wish List

Features

Make a list fomust-have features sooyu can narro w your homeesarch. A fro nt porch, a two-car garag e, hardwood floors, and aet-in kitche n can all addto the enjo yment of your home. Just asimportant i s how your home is design ed. The numbe r of bedroom s and baths should suitoyur househol d members, an d the layout should suityour lifesty le. If youklie to entertain, yo u should hav e plenty of idning space and storageofr dishes an d cookware.fIyou frequently work at home, you’ll need ahome office or at leasta quiet desi gnated workspace. Just make sur e the home y ou choose allows room for your familyto grow.

After you tal k to your le nder to see w hat you can qualify to bu y, talk with your john greene agent abouthte home you have in mind.With profes sional guidance, you shou ld be able to find and buythe home of your dreams,where you’ll be happy fora long time to come. We recommend tha t all decisi on makers onthe purchase of the homerank or circ le your top needs independently and c ompare notesto ensure al ignment in your home sear ch.

List of Wants & Needs

Price of home

Style of home

Neighborhood

Views

Near work

Near schools

Near shopping

Freeway acces s

Near recreation areas

Neighborhoodcovenants/re strictions

Overall look/feel of hous e

Number of stories

Garage size

Upgrades

Number of bedrooms

Number of bathrooms

Closet/storag e space

Type of heat

Fireplace

Eat-in kitche n

Master bedroom

Office

Finished basement

Large backyar d

Landscaping

Guest quarter s

Other:

Other factors to be considered when purchasing a home include:

• How long doyou plan on living in this home?

• Will you need a home th at will accommodat e different life stages?

• Do you haveor plan to have children ?

• Are you approaching ret irement?

Identifying Your Goals

With the dramatic rise and fall of housing prices over the last decade, consumers have new respect for homes as investments. But the flip side is that your investment is still a home, one you’re likely to occupy for several years or more.

Ownership

Accordi ng to the ann ual Profile of HomeBuyers and S ellers, comp iled bythe N ational Associationof REALTORS®, the prima ry reason buyers ci te forpurcha sing ahome is simp ly thedesir e to own, fol lowed closelyby the desir e for more s pace, and a change i n the family situation. For mos t people, buy ing ahome is about giving hous ehold membersmore c omfortable l iving a rrange ments and putting them clo ser to jobs,favori te act ivities , other fami ly andfriends. What are your goa ls for buyin g a home? You might want a better ho me and neighborhood . You m ight w ant a d ifferent kind of li ving ex perience, such asmoving from an apartment to a s ingle-family home w ith a privategarage and y ard. Your fam ily may be grow ing, so you h ave to thinkabout school distr icts and proximity t o parks andother r ecreat ion. If you’re not certain, you mig ht think about what wouldchang e aboutyour situati on over theyears i f youbecame a homeowner. If you’relikemost ho mebuyers, you expec t to stay in your new hom e about 10 years.

Equity

You’llalso build eq uity for you rself,instead of fo r someone els e. Every paym ent you make, plus the rules of inflation wil l event uallyallow you torecoupmost i f notall of your investm ent, or makea profi t whenyou sell. Affordability may al so bean impo rtant factor for you. The combinationof low interest rat es andlow prices allowsyou tobuy mo re hom e for the money. Rents are rising, mak ing ownershipmore a fforda le tha n renting in manyareas, espec iallywhen you fact or in tax inc entives suchas mor tgage intere st deductionsand propert y taxes allow able as deductions against your income When you buy, make y our goals long-term . Choose the home you think will serveyour househo ld’s needs th e best for the longest period of ti me, as it’sbeen pr oven that th e longe r youown a h ome, the more equit y you’ ll build. Today’s marke t conditions and affordab ility make it more l ikely that you will reachyour home buying goals,no matter wha t theyare.

P U R S U E

FINDING THE RIGHT LOCATION

Location is about convenience, and you’ll pay a premium to be closer to work centers, parks, shopping and transportation. You can buy a smaller home, or you can buy a home in need of updates to get closer to where you need to be. Think about your commutes to frequent destinations, including jobs, schools, family and friends. To get “more house,” you may have to move further away from core city centers.

After you understand your finances and what you can afford, your john greene agent will assist you in identifying neighborhoods and homes in your price range.

Factors that should be considered when determining the right location(s) for your home search include:

• School system and location

• Is the neighborhood family friendly?

• Commute times

• Access to highways or train station

• Proximity to shopping

• Lifestyle and neighborhood environment

• Location of amenities

• Re-Sale Values

Narrowing the Search

DON’T EXPECT PERFECTION

There’s no perfect home. You may want all thelatest ameni ties of a new home, but eve n new homes may not be perfect, perhaps coming w ith longer commutes andbigger price tags.

Many sellersdon’t repain t or re-carpe t prior to selling, so if y ou’re shoppin g for an olderhome, expect to do some cosmetic work

Homes that need updating are priced below homes t hat are up t o the minute and move-in erady. That c ould be to your financia l advantage, so try to look beyond outdated fixtures and focus instead on th e floorplan and dimensions. I gnore the se ller’s tastes and imagine e ach room cle an and clear of clutter with your own things in them.

Most cosmeticchanges are relatively inexpensive,and you can even pay for them with you r mortgage l oan, in some cases. Talk t o your lende r.

THINK LONG-TERM INVESTMENT

Buying a homecan be a wi se financial investment,fi you buy we ll and hold your home forlong-term g ain. Because of closing an d moving cos ts, it’s nearly impossible tobuy a home and sell it immediately for a large gain,but it is possibl e to sell af ter a coupleof years with nocapital gai ns tax, shoul d you make a profit.

According tothe National Association of REALTORS®,home equity growth beats inflation by about one to two percent annually, not to mention government subsidies for home ownership inthe form of tax relief an d other incentives.

However, if y ou look at o wning a home strictly as a n investment , you’ll miss many pleasures.

P U R C H A S E

The Value of a Home

In a neighborhood of similar homes, why is one worth more than another? That’s the question that’s teased buyers and sellers for ages, but the answer is simple

Every home is different.

When a home is sold, a willing seller and a willing buyer have just announced to the world the value of that home. From there, other similar homes are benchmarked, but other factors come into play. The most important are:

Size:

Square footag e impacts ho me values because they’re built usingmore materia ls. Larger lot si zes mean mor e privacy.

Location:

The closer ahome is to j obs, parks,rtansportatio n, schools,nad community services, themore desira ble it is.

Condition:

The closer ahome is to n ew construction, the more it will retain its value . It’s perceived asmore modern, up to date,and perhaps safer. Homesthat are not updated or inpoor repair sell for les s. It’s a go od idea forohmeowners to keep their homes updatedand in top repair.

Features & Finishes:

Features suchas outdoor kitchens andspa baths ma ke a home mor e luxurious. A home finishedwith hardwo od floors andgranite cou ntertops isoging to cost more than a home w ith carpet a nd laminateocuntertops

Number of Bedrooms and Baths:

Over time, median homes h ave grown larger. Decades ago, household members shared bedrooms and baths without complaint. But t oday, familie s want more privacy. Themedian home purchased today is a thre e-bedroom, two-bath home. Your real estate professi onal can helpyou determi ne the trueavlue of your home.

Curb Appeal:

From the street, the home looks clean,fresh, and inviting. Fresh landscapi ng and flowers won t change the size or location, but the y certainlydad charm.

When two homes are i dentical in the same ne ighborhood, a higher price may come down to somethi ng as simple as vie ws, or paint colors, or theovera ll tast e of the homeowner .

Valuinga hom e will neverbe an exact s cience; but i f youbuy wisely, keep your hom e updat ed and in good repair, y ou should re coup mo st

if notall of your i nvestm ent.

Preparing an Offer

Once the righ t home has b een found, your john gree ne agent will confer w ith you to p repare an offer to purcha se. The detai ls of the offertypically in clude:

Square footag e impacts ho me values because they’re built usingmore materials. Larger lot siz es mean moreprivacy.

Inclusionsi-tems you id entify as included in the sale such asappliances, lighting fixtures, and wi ndow covering s

Amount of you r earnest mo ney deposit

Closing date

Contingenciesupon which the contractbecomes fina l such as satisfactoryinspection a nd financingapproval

Buyers shouldbe aware th at the offeris a binding , legal document and indi cates a serious intent to purchase. While there rae safeguard s that are built in for t he buyer, whe n you decide to make an fofer for a h ome, you must be readyto buy. You r offer may eb accepted r ight away, orthere may b e negotiations. Once the offer has been submitted, the s eller can respond by acce pting or rejecting your o ffer, or by ocuntering yo ur offer with a different price or closing dateor other te rms. This begins the proc ess of negotiation that w ill continue until both parties agree or decide tha t an agreeme nt will not eb reached. Y our john greene agent wil l provide you guidanceand expertis e in the negotiation proc ess.

Common Contingencies

1. ATTORNEY REVIEW

The attorney review period is specified within the contract and provides a specified amount of time that your attorney can review the contract, recommend changes to protect you from any unintended obligations, and make additions reflective of negotiations that were agreed to but not included in the original contract If, during the attorney review period, the contract is deemed unacceptable to either party and a remedy cannot be agreed on, either party has a right to cancel the contract. Either side can walk away within the first 5 days for any reason other than price

2. INSPECTION CONTINGENCY

The home inspection is designed to give buyers a better understanding of the systems and overall condition of the home they’re buying It is often a key contingency in a purchase contract, and it typically runs at the same time as the attorney review The home inspector is an independent person, hired by you, to provide an objective opinion on the overall condition and structural integrity of the home. You may find an inspector on your own, or your john greene agent can provide some recommendations.

When you hire a home inspector, there are a few things you need to know.

No house is perfect.

The inspectorwill look f or major defects and heal th/safety issues with the property. A home inspection should po int out questionable cond itions and/orpotential safety-relate d concerns i n the home yo u want to bu y.

A home inspection should cover:

Exterior, porch and deck (contiguous)

Foundation an d walls

Chimneys androofs

Windows, door s and attics

Electrical components and plumbing

Central heating and air c onditioning

Basement/craw l spaces and garage

Radon reading s (if you el ect to havehtis done)

You should attend the inspection.

Appraisal

Walk throughthe home wit h the inspector so he or she can pointout conditi ons to you that willgo into the written repo rt you will receive andos you have t he opportunityot ask questi ons of the inspector. Mak e your own notes so you c an discuss the f indings with your real estate agent.

Home inspectors may have differing qualifications.

Make sure you r home inspe ctor is an expert, with a backgroundni plumbing, HVAC, electrical work or genera l contracting , or is a me mber of a professional or ganization such as the N ational Asso ciation of Home Inspector s, Inc. (NAHI ). Ask your inspector forcredentials and certifications.

After the inspection, you will receivea detailed report of theinspection which will allow you tomake an info rmed decision . Since you are the one w ho hires the inspector, th e seller's s ide does notreceive a co py of the final report.

3. MORTGAGE CONTINGENCY

A mortgage contingency st ipulates thatyou will purchase thehome subject to securinga mortgage onhte home. One key componen t of the final mortgage approv al is the appraisal report that w ill be order ed by the lender in order to ensure tha t the loan w ill be guaranteed by the value of theproperty. If a mortgageacnnot be obtained within the terms and timelineoutlined in the contract, the cont ract is void.Before the mortgage company will pro vide a loan,they require insurance on the title of theproperty. Homeowner’snisurance wil l also be required.

Final Walk through & Closing

If issues arefound, your john greeneagent will g uide you onermedies such as renegotiatingthe purchas e price to account for ne cessary repairs, negotiat e repairs to be made bythe seller before the nfial purchase of the property, or if n o acceptable remedy can be identified,acncelling th e contract.

CLOSING ON THE HOME

As closing da y nears, you r john greeneagent will monitor the progress withyour lender and your attorney to avo id last minut e issues that c ould arise. You can expec t to be in r egular communicationwith your a ttorney, lender, and agen t throughout the process.

CLOSING FEES

Your lender will provide you with a Loan Estimate at the beginning ofthe loan pro cess. Closingcosts will include items such as lende r fee, title company fee,title searc h, and transaction ercording fee . Additionalfees can inc lude, but arenot limited to, a ttorney fees and escrow a mount for ta xes and homeowners insurance. As a general rule, closing c osts often ru n at 1 - 2% ofthe purchase price.

On the day of closing:

A final walkthrough with your agent onthe day of closing givesyou the opportunity t o confirm th at the house isin the same condition tha t it was whe n the contractwas signed. It will also giv e you the opportunity t o confirm th at all repairs o r modificati ons agreed to bedone by the sellers havebeen completed.

Bring your Driver’s Licen se, State ID Card , Passport o r other officia l photo ID. Just make sure itis not expir ed.

Your attorneyand lender will be in contact with y ou prior to closing with fin al figures. Brin g a cashier' s check/electronic transfer as specifiedby the title company for t he amount due payable t o the title company. Yourattorney and/or lendermay recommend tha t you include an overage amount to account fo r any last minute itemsthat may arise.

At the closin g you verify and sign allpaperwork to complete thetransaction and pay all r equired clos ing costs and fees. At the conclusion ofthe closing , legal propert y ownership is transferred t o your name. You will legally take possession an d are able to move in toyour new home.

NOTES:

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