Buyer Book Sneak Peek

Important Terms

e 5 Pillars Of Real Estate

e ve factors a buyer needs to review before buying a home. e Pillars are: Community, Convenience, Crime, Location and Schools.

Nellis Group Advantage

Preferred Buyer Agreement

e additional elements/discounts during a home purchase only available to clients of e Nellis Group.

A two-way agreement where we commit to our clients and they do the same so we can work together to nd the best home with the best terms.

Advantage Partner Program (APP)

is optional program o ers you access to a select group of experienced companies that can give you exceptional service during di erent phases of the home buying process.

Lender Advantage Program (LAP)

Created in 2012 for only NG clients. It leverages lending institutions to aid in negotiations and save you the most money.

Qualitative Market Analysis (QMA)

A comprehensive market analysis performed by a NG licensed appraiser or pricing specialist giving you more accurate pricing of a home beyond a typical CMA.

Reserving A Home Contract Exit Strategy

A way to remove a home from the open market and save it for yourself.

A way to legally exit a contract without penalty for a home you have reserved.

Choosing A Buyer Specialist

e single most important decision you will make when starting the home buying process is choosing an experienced Realtor that meets all your needs. e Nellis Group’s specialists are community experts focused on the Five Pillars of Real Estate and trained in negotiating the best terms on your behalf.

Discount Buyer Agent or Online Company

• Procures compensation from the seller or from the net proceeds of the transaction

• Basic understanding of the contract and will legally represent you as the buyer

Ordinary Agent

• Experience with the buying process

• Able to assist you with di erent types of transactions

• Able to write an o er

Nellis Group Buyer Agent

• Views over 100 homes per month and knows the local communities

• Internal Buyer Success Team tracks your transaction from o er to settlement

• Pricing expertise with licensed appraisers and pricing specialists

• Lender Advantage Program (LAP) to help you get the best nancing

• Proven 30+ year history of excellence, strong set of core values and a vision for the future of real estate

• Specialized programs to assist you

• Experts on the Five Pillars of Real Estate

• Specialty divisions to assist you with the 5 main types of transactions (Traditional, For Sale By Owner, Real Estate Owned, Short Sale & New Home Construction)

How Do Realtors Get Paid?

1. When a home is listed with a seller or builder the commission to the Realtor representing the buyer is built into the sales price.

2. Realtors get paid based on the seller’s net proceeds.

3. If you choose not to have representation, the seller or builder keeps the additional pro t. You lose the professional to negotiate on your behalf. e decision could cost you thousands of dollars.

Becoming A Nellis Group Preferred Buyer

As a Preferred Buyer, we commit all of our resources to negotiating the best deal for you. e Nellis Group will become your exclusive real estate team. We will partner with you and work diligently toward the goal of homeownership.

How To Get Started

Why Do You Need To Get Pre-Approved

• Know your estimated monthly payment in advance.

• Determine the best loan options early in the process.

• Any o ers you write will be viewed as more credible by sellers.

• Learn about our Lender Advantage Program (LAP) savings.

“Very knowledgeable and helped me get really good nancing from their recommended lenders. Would de nitely use them again and recommend them to others!”

“Nellis Group is the best in the DMV! Bought a house through them and recommend to all my friends and family. Great experience, consummate professionals.”

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“We really appreciated working with e Nellis Group. ey made the whole process less stressful and we would only ever consider using them!”

ere simply couldn’t be a more perfect experience than working with Nellis Group. Nicole Nellis-Cockrell is amazing! We expected that purchasing our rst home would be a di cult and lengthy process, but Nicole was so skilled and helpful that it ended up being easy and very quick. ank you so much, Nicole!”

Daniel Good

Timothy Delobe

Rebecca Kammer Troy Cornett

“James is the real deal. His insight on the whole real estate experience is absolutely amazing. A de nite recommendation when buying and selling. anks again James for always sharing and applying your expertise in an industry which requires attention, integrity and expertise!”

e Nellis Group has provided my family with great service for over 25 years now. James and his sta are always friendly and quick to respond. If you are looking for the best real estate company in the DMV, then contact e Nellis Group! I recommend them to friends looking to buy, sell or even rent.”

“Absolutely amazing experience! Would recommend to anyone looking to buy or sell a home. Nicole made our home buying experience stress free and she had extremely helpful recommendations on everything from radon mitigation companies to general contractors to the best schools in the area!”

“We’ve sold two homes and bought a home using e Nellis Group. Always a positive experience and we highly recommend them. is included a home sale in Cli on, VA, purchase and sale in Manassas, VA and purchase in Vienna, VA. Fun to work with as well!”

Albert Hairapetian

Peter Mallet

Bernie Colasuonno

Nat & David Stephens

Glossary

Adjustable Rate Mortgage (ARM): A mortgage rate that can change a er a predetermined period of time. Once it changes it will be based on the current market’s rate.

ALTA (American Land Title Association): A settlement statement that discloses all the closing costs and fees to purchase a home.

Appraisal: A third party reviews the property and determines if the rati ed sales price is an accurate re ection of the current market.

Balloon Mortgage: A mortgage in which a large portion of the borrowed principal is repaid in a single payment at the end of the loan period. Typically not a 30 year product.

Buyer Agent: A licensed Realtor who o ers you professional representation during a home buying transaction.

CD (Closing Disclosures): Estimation from the lender/title company on the amount of funds required for settlement.

Closing Costs: All the fees paid at closing including the remainder of your down payment.

C.L.U.E. (Comprehensive Loss Underwriting Exchange) Report: Similar to a “CarFax” report of the home. is search shows potential claims/issues with the home.

Commission: e fee paid to a broker for services rendered.

Conventional Loan: A private loan that is not guaranteed by the U.S. government and generally is a 15, 20 or 30 year term.

Deed: A legal document transferring ownership of a property.

Default: A failure by the purchaser or seller to perform for settlement.

Down Payment: Money paid at settlement that reduces the loan amount.

Earnest Money Deposit (EMD): Money deposited up front once you have reserved the home. It goes towards the down payment and/or closing costs at settlement.

FHA (Federal Housing Administration) Loan: A loan protected by the government. Typically requires a smaller down payment (3.5%).

Financial Contingencies: Allows a purchaser additional time to secure full loan approval.

Fixed Rate Mortgage: A mortgage that has the interest rate locked-in for the full term of the loan.

For Sale By Owner (FSBO): A person who is selling their home without professional representation.

Foreclosure: e homeowner defaults on their mortgage and the servicer takes ownership of the property with the intent to sell the home to a new purchaser.

Home Inspection: A procedure ordered by the buyer to make sure the home is safe, structurally sound and in working order.

Home Warranty: Optional coverage protecting the buyer from unforeseen electrical, plumbing, appliance and mechanical issues.

Homeowners / Hazard Insurance: Insurance that protects the home and contents within the home.

Inspection Phase: e time for a buyer to order any necessary inspections to ensure the home is in acceptable condition.

Lien: A legal claim led against the property that must be removed for settlement to occur.

Discount Point: Money paid to reduce the interest rate of the mortgage.

List Price: e o er price from the seller to the market.

Glossary

Local Lender: An experienced lender who is aware of state, county fees and regional grants.

Locked-In: Protection from changes in interest rates.

Market Price: e amount of money the home is worth based on current local conditions.

Mortgage: A lien secured against the property in exchange for the money to purchase the home.

O er: A document given to the seller to purchase the home including sales price, terms and contingencies.

PITI: Principal, Interest, Taxes, Insurance; the main elements of a monthly mortgage.

Pre-Approval: A document provided by a lender/bank to con rm your quali cation to purchase a home.

Prepaids/Escrows/Impounds: Closing costs paid by the purchaser to give the servicer of the loan enough to pay the taxes and insurance on the property.

Premium: Amount paid to maintain insurance coverage.

Principal: e amount borrowed from a lender that is subject to repayment with interest.

Post Settlement Occupancy (Rentback): A signed agreement where the buyer allows the seller to live in the home for a certain period of time a er settlement.

Radon: A cancerous gas that can be found in homes. A radon inspection can be done to protect the purchaser.

Realtor: A licensed professional who acts as an agent to represent buyers, sellers and investors in a real estate transaction.

Re nancing: paying o the loan while obtaining another loan. Generally done to secure a lower interest rate or monthly payment.

RESPA: Laws requiring lenders, Realtors and all parties to disclose all information.

Settlement: e legal act of purchasing or selling a home with the transfer of ownership.

Short Sale: e seller owes more than the market value and is short or de cit of the funds required to sell the home. e servicer agrees to allow for the de cit at settlement.

Survey: A property drawing that indicates the location of improvements, legal boundaries, easements, encroachments, rights of way, etc.

Title: A document indicating ownership of a property.

Title Insurance: Indemnity against loss resulting from disputes over ownership of the property and defects on the title.

Title Search: Ownership of the property is veri ed and the title is examined for liens/issues that could impact ownership.

Underwriting: Analyzing the risk in a loan application.

VA Loan: A loan for veterans or current military insured by a federal agency. Typically requires no down payment (sales price speci c).

Real Estate Owned (REO): e bank functions as the seller in the transaction and sells it direct to the consumer. (Foreclosure)