FSG Home Buying Guide

Fred Smith

205.368.2280 SoldbyFred@gmail.com FredSmithGroup.com

Home Buyers' Guide

Van & Zoe Rogers

Table of Contents 1. The Fred Smith Group- Our Team 2. Buyer Testimonials 3. Why Hire a Fred Smith Group Agent 4. Home Buying Process 5. Pre-Approval and Mortgage Lenders 6. Importance of Inspection and Home Inspectors 7. Lender Required Reports 8. Transferring Utilities 9. What to Expect For Closing 10. Real Estate Offer Paperwork & Contracts a. RealtySouth: Real Estate Consumer Agency Disclosure (RECAD) b. RealtySouth: Buyer Agency Agreement c. RealtySouth: Affiliated Business Agreement d. RealtySouth: Purchaser’s General Financed Contract e. Personal Property Addendum f. Lead Based Paint Addendum

FSG's Buyer Testimonials We have now purchased two houses with The Fred Smith Group’s help. His entire team did a fantastic job from first contract until closing.

They are always available and aware of the entire process. Fred knows the market well.

He worked with us to find exactly the house we were looking for at a good price ~ Bought a home in Hoover, AL

We have worked with Fred for many years, and on several transactions, both buying and selling, and he and his team are among the best in the business. He’s a Birmingham native who knows the area, as a broker with several associate agents working with him. He has the experience and resources to get everything done and he offers the assurance of a win for everyone involved in negotiations, setting both sides at ease bit ultimately keeping his client’s needs as primary.

You can’t do better in the Birmingham area! ~Bought a home in Birmingham, AL

The Fred Smith Group has the THE resource for my friends & family when it comes to any issue regarding the Birmingham Real Estate market. Their knowledge of the market and its history combines with his honesty and insight into market trends has time and again proved to be spot on in his assessment. And of course, always a very easy guy to do business with. ~Bought a home in Mountain Brook, AL

Why Hire a Fred Smith Group Agent Fred Smith Group is #1 Our success is unmatched. We are the #1 group in RealtySouth in Birmingham

You Don't Pay the Commission!

The Seller normally pays the standard realtor commission fees. Buyers only pay $299 flat service fee at closing

Negotiating Skills

We have access to comparables that help you purchase your dream home at the best possible price

Coming Soon Homes

Realtors® view Coming Soon homes for you before they are listed. RealtySouth Crestline has 67 agents in the office and we are the first to hear about homes that may be coming on the market.

Our team constantly networks to know what’s out there before it hits the market.

Expert Guide

Buying a home usually requires dozens of forms, reports, disclosures, and other technical documents. We help you prepare the best deal and avoid delays or costly mistakes.

Time Saving We schedule all showings so that you may spend your time looking at your dream home. See a ForSaleByOwner that you like? We’ll handle it!

Connections

We have connections to lenders, contractors, moving companies, etc. Check out our sourcebook on our website for a complete list: https://www.fredsmithgroup.com/source-book/

Home Buying Process

Home Buying Process

Pre-Approval & Mortgage Lenders Be Ahead of the Game- Have your Pre-Approval Letter

Pre-Approval Letter Complete an official mortgage application.

Supply the lender with the necessary documentation to perform an extensive check on your financial background and current credit rating.

Determine the loan amount you are approved for and monthly payment estimate.

This will allow you to focus on the right price range homes.

Helps determine the amount of money that will be needed to bring to closing (typically 3% of the home purchase price).

Completing this ahead of time insures that you position yourself to make an attractive offer as soon as you find your home.

Prosperity Mortgage Sean Hentz

(205) 540-3453 Sean.Hentz@phmloans.com

Regions Laurie Trimm (205) 837-3780 laurie.trimm@regions.com

McGowan & King Warner McGowan (205) 879- 7775 warner@mcgowinking.com

Mortgage Banc Ben Chenault (205) 986-4220 bchenault@mortgagebancllc.com

Bryant Bank Carl Albright (205) 377-7220 carl.albirght@bryantmortgage.com

Birmingham Mortgage Turenne Newell (205) 276-8946 turenne@bhammortgage.com

Guild Mortgage Adam Snable (205) 370- 9231 asnable@guildmortgage.com

First Federal Bank Jordan Hardwick (205) 391- 6700 jhardwick@1stfed.com

Inspection Home Inspection A home inspection is a visual examination of the structure and systems of a house from the roof to the foundation. The report should cover the condition of the home’s heating system, air conditioning, interior plumbing and electrical systems, the roof, attic and visible insulation, walls, ceiling, floors, windows and doors, foundation, basement, and structural components. We recommend to always have an inspection completed by a certified inspector.

$350-$750 +/Average Cost Determined by the size of the house, and must be paid the day of inspection

2-4 Hours

1-2 Days

Average Time for an Inspection

Business Days to Receive the Inspection Report

Home Inspectors

Jeff Brown.

Joseph Brown Spencer Brothers Chris Datka Andrew Griffith Meredith Jones Bruce Smith Tony Ponds Harvey Trueblood John Humphries Team

Home Pro Brown Professional Home Inspections Sterling Inspection Services A Closer Look Inspection Griffith Home Analysis Jones Warren Rescue Me Home Inspections

Pillar to Post Home Inspectors

(205) 981-1460 (205) 249-7147 (205) 960-1090 (205) 492- 3315 (205) 871-1007 (205) 503-5776 (205) 467-4064 (205) 937-3100 (205) 903-4508 (205) 821- 8157

Lender Required Reports Appraisal A report used to establish a value of the property. Payment is usually included in the closing costs.

Termite Bond A contract between a homeowner and a termite control company. The bond outlines the frequency and type of treatment to be provided.

Wood Infestation Report A report of visible infestation and damage cause by insects, termites, beetles, and decay in accessible are of the structure. As a protective measure, the lending institution require that homes be inspected for damage from termites and other wood destroying organisms before they will loan money for the home.

Survey An assessment of property lines that determines the exact amount of land a person owns. This will show any easements or encroachments on a property.

Home Insurance Property Insurance is designed to protect an individual’s home agains damages to the house and/or possessions; It also provides liability coverage against accidents in the home or on the property.

Stratton Folkes Thomas Waters Josh Mays Cary Lott Billy Walker

Insurance Agents

Bates Roberts Fowlkes & Jackson State Farm Insurance South Iron Mountain Insurance Cobbs Allen

(205) 790-8315 (205) 222-7437 (205) 445-1800 (205) 572-5380 (205) 835-5899

Transfer Utilities Utilities

Spire Gas Company AT&T Alabama Power Birmingham Water Works Trussville Utilities Bessemer Utilities Shelby County Water Coosa Valley Electric Co-op Irondale Water Systems

Television

205-326-8200 800-225-5288 800-245-2244 205-251-5634 205-655-3211 205-481-4333 205-678-2818 800-273-7210 205-951-1410

US Postal Service

AT&T U-Verse Brighthouse Charter Comcast Dish Direct TV

800-275-8777

www.usps.com

Court House Jefferson Co. Downtown 205-325-5300

Birmingham Area Schools Jefferson County Birmingham Hoover Mountain Brook Vestavia Homewood Tarrant Midfield Fairfield Bessemer Shelby County

205-879-2000 205-231-4600 205-439-1000 205-871-4608 205-402-5100 205-870-4203 205-849-3700 205-923-2262 205-780-6137 205-432-3000 205-862-7000

866-269-3259 866-270-9466 205-733-8778 205-598-1448 888-633-7094 877-510-6524

Closing Day What to Expect For Closing?

Be prepared to wire funds or have a Cashier’s Check available from your bank or mortgage lender. Always call the Attorney to confirm wiring instructions. No personal checks are allowed at closing.

Determine an available date you will be in town and able to attend the closing.

All people signing the contract must be present.

Bring your Driver’s License Time Frame: Expect about an hour to complete.

New keys to your new home!

Offer Paperwork / Contracts 1. RealtySouth: Real Estate Brokerage Service Disclosure (RECAD) 2. RealtySouth: Affiliated Business Agreement 3. RealtySouth: Buyers Agency Agreement 4. RealtySouth: General/Financed Contract (Offer) & Buyer Disclosure 5. RealtySouth: Addendums a. Personal Property b. Lead Based Paint