Garner # 183 * 08/08/20

East Buntyn Neighborhood

Question: My neighborhood isnamed for one of the early land owners in Shelby County, and my area is thegeographical center of the Memphis city limits. Who am I?

Hint: I am a veteran of theWar of 1812.

Hint: The first railroad to connect the AtlanticOcean with the Mississippi is my southern border.

Hint: I am one of the cornerstone neighborhoodssurrounding the University of Memphis campus.

FinalHint: Anold nickname for my area was “Buttermilk Town”.

Answer:EastBuntyn! Geraldus Buntyn was aveteran of the War of 1812 and owned a huge tract of land between the nowNorfolk Southern Railroad, Highland Street, Central Avenue and the Belt LineRailroad. There were some many dairycows in this area in the 1800s that it was commonly known as “Buttermilk Town”. Geraldus Buntyn would not consent to allowingthe Memphis & Charleston Railroad (the first to connect the Atlantic Oceanwith the Mississippi River in 1857) to run through his property, so that is whythe rail line takes a slight curve at Highland Street.

EllsworthStreet (formerly Peachtree Street) was named for the U.S. Census Bureauemployee that took the 1930 census in which Memphis was deemed to have over250,000 citizens. Near the intersectionof Southern and Goodwyn is said to be the geographical center of the presentday Memphis. The Tennessean train usedto make a stop at Buntyn Station when departing Memphis on eastward route. Fire Station # 18 on Southern is the oldestoperating MFD firehouse in Memphis, open in 1930. The neighborhood was formally annexed intoMemphis in 1929.

Bonus: Jimmy Ogle’s four distinct tours of Elmwood Cemeterythat were scheduled for Saturday, April 25 are postponed until Autumn. For moreinformation, call 901-774-3212 or go to elmwoodcemetery.org.

Jimmy Ogle has retired from walkingtours in Memphis. Twelve of his MemphisHistory lectures from the Pink Palace entitled Making Memphis – Storytelling byJimmy Ogle, and now more than ten hours Downtown Walking Toursare FREE on the internet at . . . YouTube Jimmy Ogle.

View JimmyOgle.comfor more info!

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TOPICS COVERED BY PAT GOLDSTEIN, REALTOR WITH CRYE-LEIKE IN WEST TENNESSSEE & NORTH MISSISSIPPI

1. When covering the top 5 ways to get your home purchaseoffer accepted in a competitive market, talk more about when and how to removecontingencies from the offer.
2. Give us an example of a home buyer who successfully usedthis tactic of removing contingencies to get the seller to accept their offerover others.
3. How does it work when you increase the price you will offerto pay for a house in exchange for the seller paying that difference towardyour costs? When does that work? Whendoes it NOT work?
4. Give us an example of when changing the price or other partof the structure of the offer has made the difference in your buyer gettingtheir offer accepted.
5. What are some other tips you can offer buyers to help themget ahead of their competition?
6. What are some tips you have to offer sellers in thiscompetitive market?
7. ____________________________________________________

TOPICS COVERED BY JO GARNER, MORTGAGE LOAN OFFICER

1. Strategy #1 covered in the first part of the show withTrisha Trainor’s story

• Talk about Strategy # 3 to put buyers in a more competitiveadvantage when they are making an offer to purchase a home—get a strongerlender letter than most people get

Carmen and Casey’s story-Buyers’ Big Dreams, Big Challenges—Then Start Thinking Like the Seller

Carmenand Casey met at college on an exchange student trip across the border. Itdidn’t take long to discover the paths they were plotting in life were headedin the same direction. Both Carmen and Casey wanted to adventure travel onbicycles to see the world before settling down into their careers. They wantedto own their own home and felt it was important to keep a healthy amount in anemergency fund.

Both Carmen and Casey lovedtraveling the continents, but wanted their home sweet home to be in their home town in a familiarneighborhood. Little did they know thedifficulties they were about to encounter.

Thehouses in the neighborhood where they wanted to live cost them more per monththan their budget allowed and would eat up their nest egg of savings. Therewere multiple offers going in on some of the homes so sellers were not wantingto pay closing costs for them.

They connected with a trusted realtor friend who led them to theneighborhood where they wanted to live. Theirrealtor connected them with an experienced loan officer and that is how Carmenand Casey got prequalified for an FHA low down payment loan with down paymentassistance from the city for about $10,000. The extra money down using this fund kept the payments closer to budgetand it would costs only about $1,600 to get into the home. The down paymentassistance covered the closing costs and prepaid property taxes and homeownersinsurance so they did not have to ask the sellers to pay this for them.

But Carmen and Casey were not out of the woods yet. It would take makingsome smart moves to get around the road blocks of discouragement ahead to finda way to own their own home.

Score Two on keeping thenest egg of savings safe.

Carmen and Casey both hadfull-time jobs and after work looked at over 15 houses and made offers on fourof them. There were at times six or more offers from other people wanting tobuy the same house. Each time Carmen andCasey got beaten out by someone else’s better home purchase offer. Carmen’sdiscouragment was clear, saying resignedly, “I’m starting to think we just need to wait about buying ahouse. We can never compete with theseother offers. Other people just have more money to spend than us.” What strategy could they use now?

With help from theirrealtor, Casey begin to imagine, “What would appeal to the seller? Sellerswant a good price for their home, but that is not the only priority. Sellers want a buyer who is financiallystrong enough to close without delay. Sellers don’t want to have to pay a lotof the buyer’s cost. Sellers want to feel good about their partof the transaction.

STRATEGY #3 Carmen and Casey stopped bythe mortgage office with all of their income supporting documents and bankstatements. The loan officer, at Carmenand Casey’s request reviewed these documents and wrote a short letter to themstating that the credit report, the income and asset documents had beenreviewed and the underwriting software was currently showing the loan to be astrong prequalification.

The realtor scanned thisletter with the next home purchase offer to the seller’s agent. The realtor also attached a personal letterfrom Carmen and Casey complimenting the seller on their home and gave thereasons they would like to live there and start their family there in thathome. The seller accepted their offer,even though their offer was not for the highest price.

Score three— offer on chosen home accepted.

The realtor suggested thatCarmen and Casey hire a professional home inspector to inspect the home beforethey had to pay the mortgage company’s appraiser to determine a value. The home inspector’s report showed quite abit of rotted wood that needed replacing and some mold in the utility roomclose to some leaky plumbing pipes. Seller said he wasn’t making enough money on the house to include fixingthese things.

The realtor and the loanofficer and Carmen and Casey put together a counter offer with a price about$2,000 higher but requiring that the seller complete these repairs and have acertified professional clean up the mold in the utility room. Quid pro Quo—the seller accepted the counteroffer, the loan was processed and it was now time for Carmen and Casey to go toclosing and get the keys to their very own house. Score four—house of theirown in the neighborhood where they want to live.

4.Treasure hunting for down payment money—works for whenyou need a BACK UP PLAN Strategy # 4

1. Digging fortreasure when you need funds to close.

First let’s dispel one big gorilla-sized myth- The minimumrequired down payment to purchase ahome where you will live is NOT 20% down. You can actually buy your home with 3.5% or even zero down. Call me at (615) 924-6215 or connect at www.TNRDHomeLoans.com and let’s look at someof YOUR mortgage financing options.

To find your pot of gold to use for down payment funds,here is some places to sink your spade.

Three areas to search are theborrower’s forgotten assets, gifts from family or employers and move-in costspaid by third parties. Sinking a shovel into these three areas has turned uppay dirt in the past. Here is a treasure hunting map detailing some clues.

Gift From Family: Gifts can come from family members oremployers. The amount of the donationvaries according to different loan programs. The donor will be required to document the source of his funds and thatthe money is a gift to the donee not requiring repayment. If the family membergiving the money does not want to cash in a certificate of deposit or stockfund, he can borrow against the asset to give to the donee.

Borrower’s Forgotten Assets: Whole lifeinsurance policies or annuities may have a cash value that can be borrowed.Many times the borrower does not realize the insurance she purchased years agohas a cash value that can be borrowed to pay the move-in costs.

Loans secured on certificatesof deposit, stocks and bonds, and durable assets such as cars can be used asacceptable sources of funds to close as long as the loan is secured on an assetowned by the borrower. The payment must be added into the debt-to-income ratiosfor qualifying purposes

IRAs, 401(k)s and RetirementFunds. There can be heavy financialpenalties for pulling money from these sources. However, many companies allow the homebuyer to borrow against theseassets with no penalty. The repaymentterms may be calculated in the borrower’s debt-to-income ratio.

Sale or Cash Out Refinance ofExisting Real Estate Property can generate needed funds to close on anotherproperty. Lenders will require the HUD 1 Settlement Statement or sufficientproof of the source of funds.

Tax Refunds can provide asurprising source of closing funds.

Move-In Costs Paid By Third Parties: Sellers are asmotivated to sell a house as the buyer is to purchase. Sellers can pay up to 3% of the sales pricetoward the buyer’s costs if the borrower is getting a conventional loan above90% loan-to-value. If the loan-to-value is 90%, the seller is allowed to paycosts up to 6% of the sales price or value whichever is less.

On certain loans, the sellersare allowed to pay more and even loan the borrower the equity on a secondmortgage. Investor loans allow the sellers to pay no more than 2% no matter howmuch money the investor pays down.

FHA loans allow the seller topay up to 6% of the price toward the buyer’s closing costs and prepaid taxesand insurance.

Lenders are motivated toclose the transaction and sometimes can bump up the interest rate slightly inorder to use “premium pricing” to pay the borrower’s prepaid taxes andinsurance or some of the closing costs. In most cases the rate is increased.25% and the difference in the monthly payment is minimal.

Different municipalitieshave programs that provide down payment assistance to borrowers. Locally to theMemphis metro area, some of the well known programs are City of Memphis DownPayment Assistance, Shelby County Down Payment Assistance, and more. If you are joining us on Real Estate MortgageShoppe from outside the Memphis, TN area, you canalso check with Rob Chrane at Down Payment Resource, supported by HousingFinance Agencies across the country, for assistance programs in YOUR city andstate. http://downpaymentresource.com/about/leadership/

For the down paymentassistance grants and loans, the borrower is required to meet a minimum ormaximum annual income guideline and sometimes are required to be first timehomebuyers. First time homebuyers aredefined as buyers who have not owned real estate in the last 2 to 3 years.

REAL ESTATE TIP OF THE WEEK (PatGoldstein shares a real estate relatedmoney-saving or time-saving tip. Patshares Strategy #5—Make a list of what you absolutely NEED from a home and alist of wants in the order of priority. This kind of laser focus helps the realtor find just the right house foryou. The PRIORITY LIST also helps youarrange your bargaining chips for more savvy negotiating ): McKenzie Mortgage RD Loans shares tipfor homeowners taking advantage of refinancing to lower mortgage rate, shortenterm, or freeing up cash per month. Weare experiencing the lowest mortgage rates in our known history. Even if you have explored refinancing yourhome a year ago or more—IT IS TIME TO EXPLORE YOUR OPPORTUNITIES AGAIN. If you looked at buying a more expensivehouse a year or two ago but the payment was a little too high, CHECK AGAINTODAY. Call me at (615) 924-6215 This email address is being protected from spambots. You need JavaScript enabled to view it.

ANNOUNCEMENTS:

Talk Shoppe offers freenetworking & education to anyone interested in real estate or in businessand health and wellness. Talk Shoppe meets every Wednesday 9A-10A CT virtuallyin our awesome location. Go to www.TalkShoppe.com click on The UpcomingEvents tab and then click on the zoom web link to join us every Wednesday. This Wednesday August 12th Earl Leak,Protecting Your Business Starts With the Right Insurance Coverage, This email address is being protected from spambots. You need JavaScript enabled to view it.,901-737-9352

Talk Shoppe events arefree thanks to supporters like Tim Gilliland of www.BackupRX.com When you need to recover lost data on yourcomputer, you will feel very thankful when you call Tim at BackupRX and simplydownload all your data and system files immediately when you need it. Contact BackupRX about getting your dataautomatically backed-up at www.BackupRX.com

Thanks also to JanaCardona, Executive Director of BusinessNetwork International www.bnimidsouth.com Building your business by the power of areferral network.

2. Stay safe! Check onyour family, friends and neighbors. Donate money to the Humane Society or Food Bank or to a charity of yourchoice to make a positive difference in someone else’s life.

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5. RealEstate Mortgage Shoppe reminds you to MAKE YOUR PLAN. LET’S WORK YOUR PLAN. IF THE DEAL WORKS FOR YOU TODAY, DO IT TODAY.

SPECIAL NOTE: REAL ESTATE MORTGAGE SHOPPE RECOMMENDS THAT YOU CONSULT WITH A FINANCIAL,LEGAL OR OTHER CERTIFIED, LICENSED PROFESSIONAL BEFORE ACTING OR INVESTING ONANYTHING YOU HEAR OR SEE FROM THE CONTENT ON THIS SHOW OR BLOG POSTS. THE INFORMATIONWE SHARE ON REAL ESTATE MORTGAGE SHOPPE IS GENERAL IN NATURE MEANT FOR GENERALEDUCATIONAL PURPOSES ONLY. ALL EXAMPLES GIVEN FOR ILLUSTRATION PURPOSES ON REALESTATE MORTGAGE SHOPPE AND ARE BASED ON TRUE STORIES BUT WE USE FICTIONALCHARACTERS AND DO NOT DIRECTLY REFLECT REAL PEOPLE OR EXACT DETAILS IN ANY OFTHE SITUATIONS.

QUOTE CORNER:

Pinterest (when in the middle of a negotiating on your home) “Lord giveme patience, because if you give me strength, I’m going to need bail money.”

Anonymous “I used to think I was indecisive, but now I’m not sure.”

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REJOINDERS:

1. Mark McLaurine, HVAC Strategist andRepairman with Refrigeration Unlimited in Memphis, TN www.myhvacman.com
2. Leah Anne Morse, All Things New inCollierville, TN Helping people andfamilies organize to downsize, organize for transitions and estate sales. www.allthingsnewwtn.com
3. Troy and Lynn McDonald, insurance agentswith Erin McDonald Insurance Agency (901) 849-7101

Transitional Music: “WinnerTakes All” by ABBA; “I’m Winning” bySantana; “Signed, Sealed Delivered” Stevie Wonder; “Memphis” by Johnny Rivers for the Look BackMemphis Trivia Contest

ABOUT PAT GOLDSTEIN

The “Gold Standard In Real Estate”

Crye-Leike Realtors

For buying or sellingresidential real estate

For West TN and NorthMississippi

(901) 606-2000

ABOUT JO GARNER, MORTGAGE LOAN OFFICER NMLS# 757308

WHAT DO YOU WANT TO ACCOMPLISHWITH YOUR MORTGAGE?

www.TNRDHomeLoans.com (901) 482 0354 This email address is being protected from spambots. You need JavaScript enabled to view it. twitter @jogarner NMLS# 757308 (currently working with SierraPacific Mortgage, Inc)

“Whatever YOUR personal priorities are, my job is to help youget the mortgage terms that will give you bragging rights when you talk aboutit and help you score on hitting yourgoals .”

As a mortgage loanofficer, my job is to help you get to the benefits you want from your financing terms. What is most important to you? I can help youfind the financing terms that will help you get to what you want. What is your comfort level on a house payment?How much are you comfortable paying down,? What type of financing do you needto get the house you want to buy or refinance?

Different clients have different priorities inlife—some are buying their first home with very little down payment funds. Some are recovering from medical challenges,divorces or preparing to send children to college and some are embarking on along term goal of buying properties to build rental income.”

TNRDHomeLoans is a mortgage officer with extensive knowledge in tailoring mortgages toher customers who are refinancing or purchasing homes all over thecountry. She offers conventional, FHA,VA or other loan programs for refinancing and purchases.

Jo can help you look at rent vs buy, when it makes sense torefinance, how to get the best deal on your home purchase financing.

McKenzie Mortgage RD Loans has beenin the real estate/financing business for over 25 years. She got herstart in Portland, Maine where she first began her real estate career. Shereceived her real estate education from the University of Southern Maine and was personally mentored in San Diego, California by Robert G. Allen,author of Nothing Down,Creating Wealth andThe Challenge.

On moving back to West Tennessee in 1987, she went intobusiness buying and selling discounted owner-financed notes secured on realestate. In 1990 Jo went to work for a residential mortgage company andhas been a mortgage loan officer for over 25 years. Her goal is to offerexcellent, affordable service to her customers, tailoring theloan programs to the specific needs of her clients.

In addition to her work in the mortgagefield, McKenzie Mortgage RD Loans is the primary sponsor and founderof Talk Shoppe in Memphis. www.TalkShoppe.com TNRDHomeLoans also host the radio show Real Estate Mortgage Shoppe airing on NewsRadio AM 600 WREC and iHeart Radio with podcasts and show notes published on www.TNRDHomeLoans.com

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