Presentation on theme: "Presented by: Liz Fontanini & the Fontanini Team Made Possible by: Wallick & Volk Mortgage and Pioneer Title Agency."— Presentation transcript:
Presented by: Liz Fontanini & the Fontanini Team Made Possible by: Wallick & Volk Mortgage and Pioneer Title Agency
Course Outline Instructor Introduction: Liz Fontanini Program Overview: Step by Step Agent-Buyer Guidelines Issues for Real Estate Agents Home Search, Purchase Offer & Purchase Agreement Question and Answer Session
Instructor Introduction Liz Fontanini and the Fontanini Team Eligible Lender The Your Way Home AZ Program is highly beneficial for potential homebuyers, as well as the state of Arizona.
Program Overview: Step by Step Objective: Understand the Your Way Home AZ Program process and identify your role as a Real Estate Agent.
Program Overview: Step by Step The Arizona Department of Housing (ADOH) has designated $20,000,000.00 for the Your Way Home AZ Program. The ADOH will provide 22% purchase assistance to qualified homebuyers purchasing eligible foreclosed homes.
Program Overview: Step by Step The ADOH identifies the role of the Real Estate Agent as follows: Assist homebuyers in finding foreclosed properties, negotiate with sellers and draft purchase agreements.
Issues for Real Estate Agents Objective: Discuss applicant eligibility, eligible properties, Minimum Property Standards, appraisal requirements, program loan terms and amounts. It is important that Real Estate Agents representing the Applicant understand the requirements and benefits of the Your Way Home AZ program.
Issues for Real Estate Agents Applicant Eligibility Eligible Properties Requirement that property meet Minimum Property Standards Appraisal Requirements Program loan terms & amounts
Issues for Real Estate Agents Applicant Eligibility Requirements: The Your Way Home AZ Program is available to Arizonans who are able to qualify for a mortgage and whose household income does not exceed 120% of the median income, adjusted for family size. Household Size Coconino County 12345678 or more $51,150 or less $58,450 or less $65,750 or less $73,100 or less $78,950 or less $84,750 or less $90,600 or less $96,450 or less
Issues for Real Estate Agents Applicant Eligibility Continued… Household income refers to all persons 18 years or older who will be living in the property. Determine eligibility at www.yourwayhomeaz.comwww.yourwayhomeaz.com Please refer to Your Way Home AZ website pages.
Issues for Real Estate Agents Eligible Properties: Foreclosed one-unit detached Single Family Residences, Condo’s and Townhouses. Property must be vacant at time of listing. Primary Residences only – second homes do not qualify for this program. A property is considered “foreclosed upon” at the point that the mortgage or tax foreclosure is complete.
Issues for Real Estate Agents Requirement that property meet Minimum Property Standards: Each Property must meet Minimum Property Standards (MPS) to be eligible for the Your Way Home AZ Program. For a complete list, please refer to attachment 8.
Issues for Real Estate Agents Appraisal Requirements: Every assisted property must be purchased at a minimum discount of 1% below the current market appraised value of the home. Maximum purchase price for Coconino County is $450,000. Lender and Real Estate Agents should make sure that appraisers for properties being acquired by Applicants are aware of the purchase discount.
Issues for Real Estate Agents Program Loan Terms & Amounts: No payment will be required during the terms of the loan, as long as the loan remains outstanding and the borrower resides in the property. The term of the program loan will depend on the amount of assistance. Under $15,000 in assistance is 5 years $15,000 to $40,000 in assistance is 10 years Over $40,000 in assistance is 15 years
Home Search, Purchase Offer & Purchase Agreement Homebuyer Counseling: Each Applicant is required to participate in an eight-hour Homebuyer Education Class. Applicant will need to complete the class before the Applicant searches for an eligible home. Northern Arizona Council of Governments (NACOG): Contact: Kim Haislet (928) 213-5219 email@example.com
Home Search, Purchase Offer & Purchase Agreement Home Search: The Applicant will conduct a search for a home to buy in the same way as any other homebuyer. Realtor’s need be aware that Applicant’s are seeking a foreclosed home which meets the requirements of the Your Way Home AZ Program.
Home Search, Purchase Offer & Purchase Agreement Purchase Offer: When the Applicant has located a property, he or she should make an offer to purchase incorporating Program requirements and contingencies, including: That the purchase price not exceed 99% of the property’s appraiser market value That the property meet Minimum Property Standards That purchase be contingent on receiving a Program loan.
Home Search, Purchase Offer & Purchase Agreement Purchase Agreement: As soon as the purchase agreement is ratified, the Applicant or realtor should provide a copy of the agreement and the Seller’s Certificate to the Lender and the Homebuyer Counseling Agency. This is when the assistance funds are reserved for the Applicant.
Question and Answer Session Frequently Asked Questions: 1. When do I order the home inspection? Who pays for it? 2. How can I determine if a referred Applicant is interested in the Your Way Home AZ Program? 3. What is the projected closing time period? 4. Can seller pay closing costs? 5. Who is the ideal Applicant for this program?
Question and Answer Session FAQ Answers: 1. When do I order the home inspection? Who pays for it? We recommend ordering the MPS inspection before an appraisal is ordered. This will help determine if additional value needs to be given after repairs. The ADOH pays for the MPS inspection.
Question and Answer Session FAQ Answers: 2. How can I determine is a referred Applicant is interested in the Your Way Home AZ Program? To help communicate that an Applicant is interested in the Your Way Home AZ Program, the lender will provide a loan status report (LSR) showing the 1 st mortgage along with the 2 nd mortgage with no interest rate.
Question and Answer Session FAQ Answers: 3. What is the projected closing time period? The minimum close of escrow is 45 days. 4. Can seller pay closing costs? Yes, the seller can pay the closing costs.
Question and Answer Session FAQ Answers: 5. Who is the ideal Applicant for this program? The Ideal application for the Your Way Home AZ program is an individual who has very little debt and savings reserves. Applicants for this program cannot exceed a 31/43 debt to income ratio and must have two months reserves to qualify.
Question and Answer Session If your questions were not answered in this presentation, please feel free to ask them at this time. If you have questions regarding this program at a later date, please feel free to contact us.
Lender Contact Information Liz Fontanini & the Fontanini Team (928) 556-0600 or (928) 600-9360 FontaniniTeam@wvmb.com 2409 N. 4 th St. Ste. 102 Flagstaff AZ, 86001
Title Contact Information Sue Miller (928) 779-4266 or fax (928) 779-6120 Sue.firstname.lastname@example.org 1016 W. University Ave. Ste. 101 Flagstaff, AZ 86001