MAKING HOMEOWNERSHIP POSSIBLE. MERIDE T H H AMILTON Loan Officer NMLS #2159857 P (972) 345-5913 E mhamilton@S1L.com
TABLE OF CONTENTS
BENEFITS
01 02 03 04 05 06 HOW MUCH CAN I AFFORD? HOMEOWNER
5 EASY STEPS TO BUYING YOUR FIRST HOME HOW TO CHOOSE BORROWER CHECKLIST MONEY TIMELINE 07 DOS AND DO NOTS 08 HOW WE WORK S ynergy One L ending, In c NML S # 1 90 72 35
”What is your current monthly housing expense?”
”How much can you spend and how much are you comfortable spending?”
”How much will maintenance cost monthly? (Water, Sewer, Garbage, Cable, Power, etc)”
“HOW MUCH CAN I AFFORD?” Think about it
S ynergy One L ending, In c NML S # 1 90 72 35
HOMEOWNERSHIP BENEFITS
RENTINGOWNING
Paint inside any color you want
home
that benefit you
Control your asset and how long you live in it
Get the pet you’ve always wanted
Gain equity and
Tax benefits*
Throw wild parties
No matter what happens with the value of the home you will never gain equity
Limited to no ability to personalize living quarters
No tax advantage
Uncertainty of landlord selling the property you live in
No control over rent increases
Throw not so wild parties
Think of how much you spent on rent that could have been building your home equity! RENT1 YEAR5 YEARS10 YEARS $1,000$12,000$60,000$120,000 $1,250$15,000$75,000$150,000 $1,500$18,000$90,000$180,000 $1,750$21,000$105,000$210,000 $2,000$24,000$120,000$240,000 $2,500$30,000$150,000$300,000 1.
2. Make
improvements
3.
4.
without landlord’s permission 5.
appreciation 6.
7.
1.
2.
3.
4.
5.
6.
S ynergy One L ending, In c NML S # 1 90 72 35 Chart and amounts for educational purposes only. *Synergy One Lending is not a licensed CPA or Tax consultant. Please contact a tax professional.
EP
TO BU YING Y OU R FI RS T HO ME
1 Educate Yourself.
Take a homebuyer education class or speak to a home-buying counselor so you are familiar with the process and paperwork. If you end up using a CalHFA loan, you can take an online or in-person class. Find more information at www.calhfa.ca.gov under “Homebuyers”.
TIP Start paying attention to mortgage rates.
The best way to determine how much your credit and review available programs. You will need to who knows our programs and wants you to succeed. Call 877.922.5432 or visit www.calhfa.ca.gov.
TIP borrowing as much as you can.
3
Contact a licensed real estate agent to begin shopping.
Knowledge is power, and a real estate agent has a wealth of knowledge just for you! They can answer most of your questions about neighborhoods, homes, and navigating through the buying process to get the best deal. You can check www.dre.ca.gov to make sure your agent is licensed.
TIP Take your time. Get educated and get professional advice.
4
loan process.
price is agreed upon, you’ll sign a contract and begin the paperwork for the loan. The home will undergo a title check to make sure there are no surprises. Next you’ll work with escrow account that pays your homeowners insurance and taxes each month as part of your mortgage payment.
TIP Take your time. Get educated and get professional advice.
Close and move in.
When your loan is ready to close, review your documents carefully with someone who knows the process. Once you sign and your loan is funded, you are ready to move in. You
TIP
Take your time. Get educated and get professional advice.
S ynergy One L ending, In c NML S # 1 90 72 35 5 EAS Y ST
S
2
5
HOW TO CHOOSE
CHOOSING THE RIGHT LOAN FOR YOU
CONVENTIONAL
Min FICO® 620. Up to 97% LTV. HomeReady and HomePossible programs.
FHA
Min FICO® 600. Up to 96.5% LTV. Mortgage insurance applies.
VA
Min FICO® 620. Up to 100% LTV available. Eligible Military only. No mortgage insurance.
USDA
Min FICO® 640. Up to 100% LTV available. Eligible rural areas. Mortgage insurance applies. Income limits.
JUMBO
Up to 90% LTV available.
S ynergy One L ending, In c NML S # 1 90 72 35
BORROWER CHECKLIST
DOCUMENTATION
2 Most Recent Bank Statements
All
of All
(Borrower and Co-Borrower)
2 Most Recent Investment Account Statements (Borrower and Co-Borrower)
INCOM E DOCU ME NTATION (W 2 Employee) Most Recent 2 Years of Tax Returns 2 Years of W2s 2 Pay Stubs (Most Recent) ASSET
-
Pages
Accounts
SCHEDUL E O F REA L ESTATE Recent Mortgage Statement for Current Residence Copy of Your Homeowners’ Insurance Recent Property Tax Bill Property Lease (If Rented w/2 Year Landlord History) HOA Information (Monthly Payments) (Please provide information for all properties currently owned) I F A PP LICABLE DD214 (If Using VA Loan) Bankruptcy Discharge Papers (All Pages) Gift Letter/Gift Documentation Divorce Decree or Legal Separation Agreement, Including Child Support Agreement Documents
S ynergy One L ending, In c NML S # 1 90 72 35
BORROWER CHECKLIST
What is title insurance?
DOWNPAYMENT OPTIONS
Checking/Savings/Money Market Account - Liquid
Insures against financial loss from defects in title to the property. It’s a policy that insures you won’t have any unknown claims made to the ownership of your home.
Gift funds - Must be a gift that doesn’t have to be paid back
Borrow against 401K
Close out CD
Cash out stocks or bonds
Cash? No mattress money allowed
Explain “escrow”
Unaffiliated 3rd party that receives and disburses money, documents and instructions between two parties.
WE H AVE TO S OU R CE ALL FU NDS
Cash out stocks or bonds Cash? No mattress money allowed
CLOSING COSTS & PREPAIDS
Origination Fee Appraisal
Title Fees Title Insurance Taxes Homeowners Insurance Recording Fees
S ynergy One L ending, In c NML S # 1 90 72 35
Money Timeline
You have found your dream home and had your offer accepted!
can you expect to pay?
OPTION FEE
Small fee paid to the seller at the time of an executed contract. This fee gives you the time to arrange an inspection of the property. It is non-refundable.
EARNEST MONEY
Larger deposit paid at the time of an executed contract that is held in escrow until the closing date. This is refundable for a certain time period before closing. Will be credited back to you at closing.
HOME INSPECTION
Buyer arranges and pays for an inspection of the home to examine the property's safety and current condition. Paid directly from the buyer to the home inspector at the time of the inspection.
HOME APPRAISAL
The lender orders a home appraisal to receive an unbiased professional option on a home’s value. A buyer may be asked to pay this upfront or it may be rolled into the closing costs of the loan.
FUNDS TO CLOSE
On closing day, the buyer is expected to provide the funds to close on the home that have been disclosed.
When/what
S ynergy One L ending, In c NML S # 1 90 72 35
DO’S AND DONT’S
PLEASE DODO NOT PLEASE
Don’t make a major purchase
Don’t apply for any new credit
Don’t transfer any balances
Don’t use your down payment savings
Don’t pay off charge-offs
Don’t close any credit card accounts
Don’t change bank accounts
Don’t charge up credit cards
Don’t take out a new loan
Do continue making your mortgage / rent payments
Do stay current on all existing accounts
Do keep working at your current employer
Do return ALL requested documentation on time
Do continue living at your current residence
Do call me with any questions!
S ynergy One L ending, In c NML S # 1 90 72 35
WE
WORK
APPLICATION
We’ll talk about your needs up front and gather as much info as possible to get a head start on your refinance or purchase.
LOAN DOCUMENTS
We’ll need your help collecting documentation such as Pay Stubs, Bank Statements, W-2s and Employment History so we can have your loan
processed quickly and prevent any last minute rushing and stress.
DISCLOSURES
You will receive, acknowledge and return a disclosure package,
which explains your loan product and costs.
PROCESSING
Once all the documentation is provided, your loan will be sent to one of our Processors, who will make sure everything is in order before sending it off to the Underwriter.
UNDERWRITING
Since we hire only the best, you can be sure we will treat your file with love and attentive care throughout this very important part of your transaction.
CONDITIONAL APPROVAL
Here, we will satisfy any remaining conditions to your final approval as quickly as possible to get you to the closing table.
CLEAR TO CLOSE
Time for a happy dance. We are now ready to get you to the closing table by preparing your final loan documents. Thanks to our awesome teamwork, you will have a smooth and exciting closing experience.
CELEBRATE!
When you’re happy, we’re happy.
Congratulations on a successful transaction. Your loan is funded. Here’s to our new and lasting partnership!
mission is to humanize and modernize the home lending experience.
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S ynergy One L ending, In c NML S # 1 90 72 35
Synergy One Lending, Inc., NMLS 1907235. 3131 Camino Del Rio N 150, San Diego, CA 92108. Toll Free #: (888) 995-1256. Synergy One Lending, Inc. is licensed in the following states: FL, and TX. All Loans are Subject to Credit and Property Approval. Equal Housing Lender. www.nmlsconsumeraccess.org S1L0922100 Merideth Hamilton Loan Officer NMLS #2159857 P (972) 345-5913 E mhamilton@S1L.com Melissa Stehn Realtor® License: 0577946 P (817)475-7971 E realtxor@gmail.com