1. Mel Wilson 18860 Nordhoff Street Northridge, Ca 91324 Phone: 818-534-2400 Ext. 2424 Mobile: 818-402-6708 E-mail: alterawilson@gmail.com

2. The American Dream Are You Ready? Mel Wilson and Associates © Mel Wilson & Associates ©

3. The American Dream of Homeownership Would you like to share in the American Dream? Today, we will show you how. Mel Wilson & Associates ©

4. Homeownership is the basis for a number of Positive Social, Economic, Family and Civic Outcomes Owning a home embodies the promise of individual autonomy and is the aspiration of most American households Homeownership allows households to accumulate wealth and social status Mel Wilson & Associates ALTERA Real Estate

5. Its More Than Just a House! Its: A Place of Comfort A Milestone In Life Your Anchor A Family Affair A Tax Advantage An Investment A Home © Mel Wilson & Associates ©

6. Would you like to share in the American Dream? Mel Wilson & Associates ©

7. What You Will Learn Today Housing Steps Fair Housing Importance of Pre-Approved Financing Elements of Choosing a Home The Importance of Using a Realtor® The Escrow Process Government Home-Buying Programs Government Agencies Loan Types Budget Techniques Elements of Credit Beware of Identity Theft and Fraud Mel Wilson & Associates ©

8. Agency Relationship Disclosure Mel Wilson & Associates ALTERA Real Estate

9. Buyer Representation Agreement Mel Wilson & Associates ALTERA Real Estate

10. How Much Can I Afford? What does my budget look like? What are my financing options? How much money do I have for down payment? What are the market conditions? Affordability depends on budgeting, financing options, and market conditions. Mel Wilson & Associates ©

11. Housing Steps Buying my first home is a very important step in my life. This is a decision that I should weigh carefully. So what is best for me and my family? Renting or owning my own home ? Homeownership Renting Homeless Mel Wilson & Associates ©

12. You are in Charge! Should I rent or should I buy? How do I pay for my home? What area do I want to live in? What kind housing do I want? Mel Wilson & Associates ©

13. Fair Housing is My Right Fair Housing Act Civil Rights Act 1968 Section 8 Unruh Civil Rights Act 1959 Fair Employment and Housing Act of 1963 California Fair Housing Act of 1992 Housing discrimination based on your race, color, national origin, religion, sex, family status, or disability is illegal by federal and state laws. Mel Wilson & Associates ©

14. Fair Housing is My Right It is illegal to: Give different housing services or facilities Deny that housing is available for inspection, sale, or rental Persuade owners to sell or rent (blockbusting) Deny anyone access to or membership in a facility or service (such as a multiple listing service) related to the sale or rental of housing. Mel Wilson & Associates ©

15. You can file a complaint by using HUDs online form found at http://hud.gov.online formhttp://hud.gov You can call toll-free 1 (800) 669-9777. You can print out a form, complete it, and drop it or mail it to:print out a form Office of Fair Housing and Equal Opportunity Department of Housing and Urban Development Room 5204 451 Seventh St. SW Washington, DC 20410-2000 San Francisco Regional Office of FHEO U.S. Department of Housing and Urban Development 600 Harrison Street, 3rd Floor San Francisco, California 94107- 1387 (415) 489-6524 1-800-347-3739 TTY (415) 436-6594 Fair Housing is My Right Mel Wilson & Associates ©

16. Why Should I Get Pre-Approved Financing? There are many advantages of getting Pre- Approved Financing: Faster closing times. I know my price range. I gain negotiating power. I know my monthly payments. I can immediately look at the right homes. I know my interest rate and financing cost. Peace of Mind. Mel Wilson & Associates ©

17. Major Steps in the Home Buying Process Decide whether to rent or buy Decide how much I can afford. Decide the price, type of home, size, location, and features I desire. Get pre-approved financing Decide who I want to work with. Once I find a home, I must carefully inspect it. Mel Wilson & Associates ©

18. Who Are The Players? The Buyer(s) The Seller(s) Realtor® The Lenders Escrow Inspector(s) Mel Wilson & Associates ©

19. Credit is the Key Mel Wilson & Associates ©

20. Elements of Credit ReportBureaus FICO Scores Judgments Mel Wilson & Associates ©

21. Credit Bureaus Equifax:1-800-685-1111; equifax.comequifax.com Experian: 1-888-397-3742; experian.comexperian.com TransUnion: 1-800-916-8800; transunion.comtransunion.com Each of the nationwide consumer reporting companies is required to provide you with a free copy of your credit report once every 12 months, if you ask for it. For a free credit report on: call 1-877-322-8228; visit https://www.annualcreditreport.com; or complete the Annual Credit Report Request Form and mail it to: https://www.annualcreditreport.com Annual Credit Report Request Service P.O. Box 105281 Atlanta, GA 30348-5281 Check your credit report at least once a year! Mel Wilson & Associates ©

22. FICO Score Fair Issac Company (FICO) Represents your credit-worthiness and the likelihood that you will pay your debt. Mel Wilson & Associates ©

23. Dont be a Victim! Educate yourself in order to protect your credit: – Dont fall into financial scams – Dont allow your personal information to be exposed and available for thieves to retrieve – No Mortgage fraud – deal with integrity Be Informed: The Federal Trade Commission Offers valuable information: http://www.ftc.gov/bcp/edu/microsites/idtheft/consum ers/about-identity-theft.html Mel Wilson & Associates ©

24. Where Do I Want To Live? Decisions, decisions, decisions…. What community amenities do I want? Public transportation Entertainment Parks What about the schools? How safe is the neighborhood? Are there any special incentives? Tax breaks: MCC, property tax portability, HERO tract Closeness to my job, family, and/or church? Government programs Mel Wilson & Associates ©

25. Why Work With A REALTOR®? Helps you negotiate. Guides you through the closing process. Helps you determine your buying power. Has resources to assist you in your home search. Provides objective evaluation of buyers proposal. Advise you on the best time to buy a property. Advise you on the best time to sell a property. Mel Wilson & Associates ©

26. Why Work With A REALTOR®? Provides objective information about each property. Helps you find other professionals involved in the process. Helps you determine the value and condition of the property. Helps buyers and sellers understand the current market conditions. Helps you understand financing options and identify qualified lenders. Provides up-to-date information on market, price, financing, and competing properties. Mel Wilson & Associates ©

27. Finding the Right REALTOR® Choosing a REALTOR® is a very important decision. Who you choose depends on a number of things: – What kind of property do I want to buy? Commercial Industrial Residential Apartment Building Land Distressed (REO, Short-Sale) International – What type of buyer I am ? Senior First-Time Homebuyer Repeat Buyer Military Special Needs – Where do I want to buy? Location, Location, Location There are many REALTOR® designations because they are professionals that have specialized market knowledge. Which one do you need? Mel Wilson & Associates ©

28. Does My REALTOR® Understand Me? Having a REALTOR® that understands and speaks my language, respects my culture, and caters to my physical needs is VERY important: To avoid fraud To avoid confusion To find the right home To help me feel at ease To walk smoothly through the home-buying process Mel Wilson & Associates ©

29. Looking For A HOME Amenities # Bathrooms? # Bedrooms? Garage Capacity Special Needs Style Craftsman Ranch Bungalow Modern Tudor Contemporary Location Suburbs Beach Desert City Life Mel Wilson & Associates ©

30. I Would Like To Make An Offer That Gets Accepted! Client-Realtor Consultation Client-Lender Consultation Financial Pre-Approval Update on Market Conditions Properly Written Offer P rayer Successful Negotiation Mel Wilson & Associates ©

31. Inspections Structural Pest Control Physical Geological Property Hazard Disclosure Report Hazardous Materials Energy Audit Roof Pool/Spa Well and Septic Water Conservation Structural Engineering Chimney Heating and Air Conditioning Zoning and Building Permit Compliance Mel Wilson & Associates ©

32. Reports and Findings Title Report Termite Report Insurance Claims Report Environmental Report Geological Activity Report Mel Wilson & Associates ©

33. Escrow & Closing Opening of Escrow – 45-75 days Escrows Company Duties – Neutral Third Party – Custodians of transaction documents Preliminary title report Termite report Loan documents – Drafting and recording documents – Prepare escrow instructions Closing – Escrow instructions executed – Funds disbursed – Documents recorded – Title insurance policy issued – Preparing final itemized settlement statement Mel Wilson & Associates ©

34. Californias Tax Portability Programs Prop. 60. Allows transfers of base year values within the same county (intra-county). Must be 55 years or older. Prop. 90 Allows transfers of base year values between counties in California. There are seven participating counties: Alameda, Los Angeles, San Diego, Orange, San Mateo, Santa Clara, and Ventura. Must be 55 years or older. Prop. 110 Allows the transfer of a base year value for severely and permanently disabled persons when they sell an existing home and buy or build another. Mel Wilson & Associates ©

35. Functions: Provide liquidity to the financial market Stabilize residential markets Purchase primary mortgages from banks They do not make direct home loans Fannie Mae and Freddie Mac are government-sponsored enterprises (GSEs) that work in the secondary mortgage market (mortgage bankers, brokers and other primary mortgage market partners) to help ensure they have funds to lend to home buyers at affordable rates. Meet Fannie & Freddie: Government Sponsored Enterprises Meet Fannie & Freddie: Government Sponsored Enterprises Mel Wilson & Associates ©

36. Government Lending Agencies Federal Housing Administration (FHA) provides mortgage insurance on FHA approved loans. It helps buyers get access to affordable housing financing. U.S. Department of Veteran Affairs (VA) offers loans to veterans and members of the military services. Mel Wilson & Associates ©

37. Government Lending Agencies CalHFA is Californias affordable housing bank to make low interest rate loans through the sale of tax-exempt bonds. Loan products offered are conventional, real estate owned, and down payment assistance. Cal-Vet loans are below market interest rate loans offered by the California Department of Veteran Affairs. Active military personnel and military veterans can apply for loans up to $521,250 with low or no down payment. Secondary loans from the Local Government are designed to increase purchasing power. The County and the City of Los Angeles, and a number of cities within the County offer a number of down payment assistance and secondary loans. Mel Wilson & Associates ©

38. It Pay$ To Use A REALTOR In addition to the governmental programs, you may be qualified to receive additional help by using a Realtor. The California Association of Realtors (CAR), and the Southland Regional Association of Realtors (SRAR) offer home buying grants that can be combined with the government programs and will effectively increase your purchasing power. CAR also offers the C.A.R.H.A.F Mortgage Protection Program which is designed to provide peace of mind to first-time buyers who are hesitant to enter the housing market due to concerns about potential job loss. Qualifying buyers can receive up to $1,500 a month for up to six months in the event of job loss, a qualified co-buyer can also receive a $750 benefit for up to six months to help pay the mortgage. Ask a representative after the seminar! Mel Wilson & Associates ©

39. Like The Weather-Every Market Is Local Location, location, location; an old cliché, yet so true. What factors make a difference in property values? Weather Community Amenities Community Job Market Schools Geography Views Safety Mel Wilson & Associates ©

40. How Much Can I Afford? It all depends on…. – My budget – My credit score – The type of loan – The location – The kind of property – The condition of the property – My debt – Market conditions – Who represents me Mel Wilson & Associates ©

41. Budget Techniques Have a plan Write it down Discipline Saving techniques Spending techniques Mel Wilson & Associates ©

42. Enjoying The American Dream Two-thirds of all U.S. households own their home and enjoy many socio-economic benefits. Enjoying the American Dream Mel Wilson & Associates ALTERA Real Estate

43. Homeownership Social Benefits! Boosts the educational performance of children. Induces higher participation in civic and volunteering activity. Improves health care outcomes. Lowers crime rates. Lessens welfare dependency. Home Ownership Social Benefits Mel Wilson & Associates ALTERA Real Estate

44. Readiness Indicator Questions" Do I Have A Secure Job? Am I Willing To Adjust My Lifestyle To Save For A Home? Am I willing to Take On A Second Job? Are Interest Rates Low? Can I Obtain A Loan? Can I Maintain My Lifestyle? Am I Ready to Search For Homes In My Desired Neighborhoods? Readiness Indicator Questions Mel Wilson & Associates ALTERA Real Estate

45. Make A Decision Start Working With A Realtor Get Your Pre-Approval Loan Letter Complete The Wish List Search For Homes On The MLS (Internet) Make an offer to purchase My Dream Home My Next Steps Mel Wilson & Associates © My Next Steps

46. Mel Wilson & Associates

47. Mel Wilson 18860 Nordhoff Street Northridge, Ca 91324 Phone: 818-534-2400 Ext. 2424 Mobile: 818-402-6708 E-mail: alterawilson@gmail.com