7 Secrets For Saving When Financing	8 Secrets For Saving Thousands When Buying	12 Questions To Ask Any Agent	44 Moneymaking Tips For Prep To Sell
49 Essential Buyer Tips	Avoid 7 Costly Mistakes When Selling	Home Seller Fix-ups	Sell For Top Dollar

             7 Secrets For Saving Thousands When 
                           Financing You Home
                      
                      A Valuable Consumer Guide For Saving Money And Getting
                     The Right Home Financing For Your Needs......


"You Don't Make Money When You Sell A Home You Make Money When You BUY IT"

8 Secrets For Saving Thousands When Finding, Buying and Financing Your Next Home

Here�s A Helpful Guide For Buying The Right Home, At The Right Price, And Getting The Right Financing�

�You Don�t Make Money When You Sell Real Estate, You Make Money When You BUY It!�

Dear Home Buyer,

Do you see the statement above? Someone once told me it was written backwards�that you only make money when you SELL real estate. �How on earth could you make money when you buy it?� he said.

But that statement is accurate. You might receive your sales proceeds when you sell your home, but it�s how well you BOUGHT your home that will determine HOW MUCH your proceeds will be.

But the story doesn�t end there. Finding the right home, and making a prudent financial investment is more involved than just �buying right.� You also need to FINANCE it right.

Even Experienced Homeowners Make Costly Mistakes
When Buying And Financing Their Home

Hi, my name is Billie Chubb, and I specialize in helping people buy the right home at the right price�AND right financing.

It�s no surprise that borrowing $100,000�$200,000 or more is a lot of money. And how to FIND the right home�how much to PAY for the home�how much to BORROW�and on what FINANCIAL TERMS can literally mean tens of thousands of dollars MORE or LESS in your pocket!

If you�re like most people, the decision to buy a home involves a number of stresses and strains. For about 80% of buyers, it�s the single largest financial transaction of their lives. Mistakes in any part of the buying process can cost you thousands.

That�s why I wrote this special report�to give you a number of helpful, straightforward tips for finding a home that meets your needs, AND becomes a wise financial investment for you.

Here are eight strategies (I call them �secrets� because so many home buyers disregard them when buying) you should consider when buying your next home�

Secret #1: Understand What You NEED In Your Next Home.

Two things you need to consider here: Your NEEDS�and your WANTS. They�re two very different things.

You may need four bedrooms because of your children, or need a 3-car garage because of your three cars.

What you�ll find is your needs are fairly basic. It�s the �wants� that take a little more time to clarify. Here is a list of needs you should consider before looking for your home:

• General price range of home. We�ll cover this ahead when discussing financing options and the amount of home you can afford.
• Approximate size of home (in sq. footage). Make it a reasonable range.
• General location, area, or subdivision.
• Number of bedrooms required. Don�t forget to include any home offices or guest rooms.
• Number of bathrooms you need. Frequently determined by the number of children you have.
• Style and layout of home. Do you want a more formal plan, or a contemporary plan with great room designs, etc.
• School requirements or districts.

Secret #2: Understand What You WANT In Your Next Home.

A great way to get a handle on your wants is to take a good look at your present home. What do you like about it? Do you like its open floor plan? Do you like the kitchen and eating areas? Do you like the common area layout?

List out everything you like about your present home, or homes you�ve visited.

Now, let�s take a look at what you don�t like about your home. Do you hate the flat roof? Do you hate the master bedroom layout? Are the bedrooms too small? Is the kitchen too far from the garage?

If you dislike something with your present home, you�re going to dislike it with your new home. So the better you can identify these items, the more likely you are to avoid them.

Here�s a good suggestion: Take out a piece of paper and draw a vertical line down the middle. In the left column, write down everything you like about your present home. In the right column, write down everything you dislike about your present home. It�s also important you understand WHY you dislike something.

Now, from your list of �likes,� let�s compile a list of features you want for your new home. Here�s an important tip that will help you really narrow your focus.

Take out another sheet of paper and put two columns on it. On the left hand side, you will be listing out the features of your home. And on the right hand side, you�ll be listing out the benefits. For each feature, you want to list the benefit of that feature.

Features tell you what something IS: three bedroom, two bath, 3-car garage, etc. Benefits tell you what something DOES. Benefits fulfill desires.

For example, a great room concept (feature) will be ideal for entertaining friends and family at special times (benefit). So on the left hand side, you would put �great room.� And on the right hand side, list out all the benefits (or reasons) for the �great room� design: family entertaining, business entertaining, Thanksgiving holidays with the family, etc.

Understand What Each Other Is Looking For, And WHY

If you�re a husband and wife looking for a home, this exercise will eliminate many disagreements down the road. You will both understand what the other wants, and WHY they want it.

I recommend you RANK each feature in terms of its importance to you and your spouse. You�re both going to live in the home, so you better understand what the other is looking for.

For example, a well designed gourmet kitchen (remember, list ALL the features of the kitchen you�re looking for) may rank high with a woman, while having a workshop may rank high with a man. Try to understand each other�s priorities.

Most People Have More Dreams Than Money

Ranking will also show you areas you may need to eliminate because of price constraints.

And by having each person rank the importance of the features they want, you won�t be eliminating a high priority item and putting additional stress on an already stressful time.

Secret #3: Understand How Much Home You Can Afford.

Like it or not, there are two guidelines bankers and mortgage lenders use to determine how much loan you can afford.

The first guideline is the Payment To Income Ratio. This guideline compares your income, or your total household income, to the amount of mortgage payment you�re considering.

To calculate the �payment� part of the formula, the lender will take the mortgage payment (principal + interest) and add to it property taxes and insurance. Hence the term �PITI� (principal, interest, taxes, and insurance).

Usually lenders will loan up to a payment amount of 28% of your total household income.

But before you think you�re home free, there�s something else you need to know�

It�s called the Debt To Income Ratio. Debt refers to ALL the major monthly payments other than your mortgage payment (PITI). To arrive at this amount, the lender will consider�

� Your car payment.

� Your credit card debt and payment.

� Any IRS liens or payments due.

� Any other payments and debts you have (boat, second home, etc.)

Then, they�ll compare your total debt to your ability to make current payments with your new home loan added into the equation.

Now, here�s the �stickler.� Each mortgage company sets different limits on your Debt To Income ratio, which is why it�s critically important to find a MOTIVATED LENDER.

Don�t follow the �canned� financial advice like you see on TV. Most of that advice is �rule of thumb,� and designed for the lowest credit rating and highest interest rates.

Think about this�

If you spend two or three days to find a loan that saves you $40,000 to $150,000 over its term, your time is WELL WORTH SPENT! Doing a little homework on your own will literally save you thousands over the term of your loan.

Secret #4: Save A Bundle When Financing.

Your ability to afford a home will be related to a number of items. They are:

• The PRICE of the home.
• Your DOWN PAYMENT on your home, and thus the amount financed.
• The INTEREST RATE and POINTS of your loan � the amount a bank charges you for the money.
• The TERM of your loan: 10 year, 15 year, 30 year.
• The overall TYPE of your loan. Most common is fixed vs. variable rates, but there are hundreds of loan packages from which to choose.

And just in case you were looking for a specific �rule of thumb,� for financing your home, you should know that�

There Are NO General Rules Of Thumb About Financing Your Home.

Each case is different, and your personal financial circumstances will have an impact on how much home you can afford.

However, you MUST understand the relationship and impact interest rates, term of loan, points, and type of loan can have on your overall financial picture.

Let�s start with the �amount financed� first. Many people often pay cash or put 20% or more down as equity. The reasons they do this are:

�The bank required us to��

�We�ve just always put down this amount��

�We wanted a lower payment.�

Problem is, these reasons could cost you thousands of dollars.

The answer for how much you can put down on your home is different for most people. However, I have learned over time that�

Many People Put Down More Cash On Their Home Than They Need To,
LAnd Could Have Received A Better Return On Investment Had
They Invested The Money Instead Of Putting It Into Their Home

Here�s a simple and fast way to �ballpark� the actual annual return on investment you get from the money you put down on your home:

• Take a look at the homes in your area. How much have they appreciated each year on average, over the past five years? For example, you might find that values have increased an average of 1.5% a year.

• Now, take the total cost of your home, multiply that value times 1.5% (the average expected annual appreciation of your home). For example, a $150,000 home increasing value at 1.5% for the first year. Thus, the home will be worth $2,250 more a year from now.

• Now, divide the amount of increase in your home ($2,250 in the example) by the total amount of Down Payment you put into the home. For example, if you put down 20% (or $30,000), then $2,250/$30,000 = 7.5%.

Now 7.5% sounds like a fair investment. But the question you need to ask is this: Can you make more than 7.5% elsewhere?

And did you notice something else here? Had you put down just $15,000, your return on your Down Payment would be 15%!

The moral of the story: Putting more money into your home may make your banker happy, because it lowers the risk of getting his money out if you default.

And it may make your overall payment a little lower�

But it may be a wiser decision to put less into your home, IF you can locate an alternate investment that will pay greater interest on your hard-earned equity.

Now, let�s shift gears a little and talk about the impact Term and Interest rate will have on your overall financial picture�

How INTEREST RATE and TERM can make or COST you THOUSANDS!

Mortgage lenders toss around interest rate numbers as if they didn�t matter.

They DO!

And to illustrate the impact interest rates can have on your overall financial picture, I�ve presented a sample table below showing the interest you pay over the term of a 30 year, $150,000 loan at 8%, 7% and 6%.

And here�s the clincher: Just ONE percentage point on a $150,000 loan can cost you almost $37,000 over the term of the loan! TWO percentage points will cost you over $72,000!!

Your banker might tell you his �slightly higher rate� is only a matter of $103 a month in payment. But YOU should know better! Take a look at the table below:

That�s money taken out of your pocket if you don�t look for good rates!

And if you think interest rate has an impact on your overall financial picture, take a look at what modifying the TERM of your loan can do.

Here�s another example of a $150,000 loan at 7% interest. But this time, we examine the total interest paid when you select a 30-year vs. a 15-year vs. a 10-year amortization:

The �bottom line?� Estimate the maximum amount of payment you can afford, and adjust TERM and INTEREST RATE of your loan to minimize the amount of total interest you�ll pay.

But then your banker cuts in and says, �but the interest you pay is Tax Deductible�� And you should know this: If you�re in the 28% tax bracket, for every dollar in interest you pay, you only save 28 cents. Don�t go spending a dollar to save 28 cents if you can help it!

Here�s How To Instantly Know How Many Points You Should Pay�

Another consideration in the formula is the amount of POINTS your lender will charge you to initiate your loan. And what you�ll notice is there�s a GAME being played with you.

And if you don�t know the rules of the game, YOU LOSE!

Sitting across from a banker while he throws obscure numbers at you like you�re a human dartboard can be pretty overwhelming. And frequently you�ll hear terms like �7.5% with 1.5 points,� or �7.25 with 1 point.�

All-the-while you�re thinking to yourself, �I have no idea what the financial impact of this guy�s blabbering means to me.� And quite frankly, your banker knows�

The Less You Know About What You�re Paying
The Better For HIM!

So hopefully this little �ballpark� example will help you quickly determine the best points-to-interest rate for you. How many points should you pay, and what formula is best for you? Here�s a little help�

If a banker is giving you several options of interest rates and points, you need to sort out the financial consequences so you don�t lose money. Say, for example, you were considering two loans. Both are for $150,000, and both are 30-year amortization.

DEAL #1: One loan he offers you is 7.5% with 0 points for origination�
DEAL #2: Another loan he offers you is 7%, but he wants two points to originate the loan.

What�s the ONE factor that will determine which loan is better?

How LONG You Keep The Loan! 

The first thing you need to think about is how long you�re going to live in that home. The average homeowner spends about 5.5 years in their home before selling for whatever reason.

So, for example sake, let�s say you plan to live in the home five years. Here�s how you determine which deal is better:

• Take the difference in monthly payments (principal and interest only) of EACH loan.
• Multiply that amount by 12 months to get the annual amount of difference.
• DIVIDE that amount into the $$ amount of points you pay to determine the number of years at which you recover the points paid up front. If the number of years is LESS than your anticipated time in your home, you�ll be better off paying the points and getting the lower rate. If it�s higher than you plan to spend in the home, opt for the lower points.

Here�s an Example�

• The difference in monthly payments is $51 a month ($1049 - $998 = $51).
• $51 X 12 months is a savings on (approximate) interest of $612 per year.
• Total Cost Of Points divided by $612 is 6.13 years ($3,750/$612 = 6.13).

The result? If you stay in your home for five years, you will NOT recoup the points you paid up front with the savings in a lower interest rate. Recoup time is about six years and two months to breakeven.

So your best bet would be to select loan #1.

If, however, you planned to keep your home beyond six years and two months, you�d be better off with loan #2 (i.e. the overall savings in interest rate will exceed the amount you paid in points � not considering the time value of money).

Are you starting to see how important it is to understand your home�s financing? How important it is to shop for the best rates, terms, and points?

Good! Now, let�s move on to another important secret for buying your home�

Secret #5: How You Evaluate Homes Will Save You Thousands of Dollars And Heartaches!

One of the biggest mistakes people make when buying homes is they rely solely on �local neighborhood market analysis information� to determine the right price to pay for a home.

Before you buy or refinance your home, INSIST on seeing a �total market overview� of exactly what is going on in the ENTIRE market. Then narrow your analysis to local market information.

Why do I say this? Because you want to know two things: 1) What is the ENTIRE market doing with values? Are they going up? And by how much? 2) What is the specific area doing with market values? How does it compare to what the total market is doing? Are the growth rates the same, lower, or higher than the overall market?

Understanding these parameters will save you thousands of dollars when you make an offer on a home. I frequently perform both of these analyses for my buyers, in an easy to understand format, so you know EXACTLY what you�re buying!

OK, so let�s say you�re now pre-qualified with financing, and you�ve also found a number of homes to preview.

The Way You Inspect A Home For Sale Can Save You
Enormous Amounts Of Money And Time

It�s now time to find not only a home that fits your needs, but a home that will be a good investment. What are some of the things you should look for?

Well, the first thing I always look for is what I call �siting.� Siting involves evaluating three areas: Location, Lot siting, and Home siting.

The general location of the home you�re considering could determine how happy you�ll be living there, and what kind of an investment you�re buying. Here�s an important tip that will almost always make you money�

Buy The Midrange Home In The Best Neighborhood You Can Afford

Why do I say this? Because the better the neighborhood, the better the appreciation for you over time. And if you buy the midrange home, the home will �generally� appreciate faster and greater than a higher priced home in the same area.

Plus, you will most certainly spend money updating or decorating your new home, and you don�t want to get �upside down� on your home�s value after spending money for improvements. So remember�

NEVER Buy The Top Of The Market!

Now the second area you need to consider is Lot siting. Lot siting has to do with WHERE your particular lot is located in the subdivision you�re considering. Ask your agent for a plat map of the entire subdivision. Now take a look at where your home�s lot is located in the subdivision.

Is it near a common area? Does it capture better views than other lots in the area? Is it more private, or shaped better than other lots? Is it near a loud street?

Lot siting in a neighborhood will give you a basis for knowing how well the home will appreciate vs. other homes in the neighborhood (assuming the home is reasonable).

Finally, you want to look at the Home siting. How well did the builder take advantage of all the amenities the LOT offers a home? Are the views great? How�s the curb appeal? Is there a balance between front and back yards? Do you see any drainage problems because of where the home has been located on the lot?

Think through these things as you visit each home.

Now, as you approach your home, there are other things you want to keep in mind�

• What is your initial reaction of the home as you approach it from the street? This is called �curb appeal,� and it has a great impact on the value of the home. Is the home sited right on the lot? Notice the areas around the home? Are they well maintained? Is the landscaping groomed?

• Take a look at the structure of the home? As you go through the home, windows and doors should be square, and they should close correctly. Look around windows and doors for cracks. Check corners of rooms for sloping or tile/wood cracks. These may reveal foundation or water problems.

• Now think about the floor plan of the home. Is it functional? Do the common areas flow the way you want them to? Are the halls narrow and long, or are they open? How far will you have to carry the groceries from the garage? Are the rooms the right size and height for your desires? If there have been any additions, were they done professionally? Do they fit with the flow and style of the home?

• Now, check the roof and ceilings. Is the roof the type you prefer? Is it in good condition? When was the last time the home was roofed?

• Now make a basic check of the plumbing, mechanical, and electrical systems. Do drains and toilets work correctly? Is the property connected to sewer, or will you have to deal with a septic system? Is the electrical wiring up to code? And are the mechanical systems working properly? Make sure you get these systems inspected by a licensed contractor or inspector BEFORE you close any deals.

Secret #6: Save Thousands of Dollars Writing Your Offer And Negotiating Your Deal

Years ago a real estate expert told me that the party who is less motivated almost always gets the better deal. The ONE single element that will determine how well you negotiate your offer is�

How MOTIVATED Is The Seller,
And How MOTIVATED Are YOU?

If the home has been on the market for over a year, perhaps it�s because the seller hasn�t been motivated enough to sell. Or perhaps the home hasn�t sold and he/she is very motivated.

And if you�ve been looking for four months, your kids are late for starting school this year because you haven�t found a home yet, and you now have found the right home, YOU may be very motivated to buy!

Nevertheless, here�s a tip you MUST bring to any real estate transaction�

Move Heaven And Earth To AVOID Emotional Attachment
To The Home You�re Considering

If you�re all giddy about the home. If you can�t hold back your emotions when around the home, then you�re going to get clobbered when negotiating the purchase.

That�s just ONE reason why you need a REALTOR � representing you during any transaction. The middle person alone will help save you money.

So let�s say you have a REALTOR� representing you (make sure it�s a BUYER�S agent, or you could lose a bundle!), and you�re ready to write an offer.

What�s the single best piece of information you can have?

It�s the comparable sales and market data for the entire market and the area. Ask your REALTOR� to print out both for you to use. Now, here�s what you want to do�

You want to take a look at FOUR important �market telltale signs:�

• Take a look at the currently active (for sale) listings in the area. Was the home you�re considering priced within reason to other homes? If so, you know you�re at a reasonable starting point.

• Now, take a look at what the average selling price is compared to the listing price. You may notice that most homes are selling for about 3% or 4% less than their offer price. If that�s the case, you know the original offers were LESS than this amount. Take this into consideration when making your offer. And leave plenty of room for negotiating.

• Now, make sure you visit several of the other listings in the area. How does your home compare to the other homes? Is the home you�re considering in similar shape? Is it better sited? Is it bigger, smaller, better style, better landscaping, etc.? These factors will help you determine how much you should pay for your home vs. how much others paid for similar homes in the neighborhood.

• Now, take a look at the average market times for homes in the area. If they�re long (evaluated on a market by market basis), the market may be soft, and you might have more negotiating room with your offer.

You�re now ready to make your offer. At this point, I highly recommend you work closely with an EXPERIENCED AGENT to structure your offer. They will talk about strategies such as: 1) should you offer a high price and ask the owner to throw in all kinds of extras, or 2) offer a low price and skim your way into the neighborhood?

The correct answer depends on your personal situation. And you need to work closely with your REALTOR� to strategize your offer.

Secret #7: Be Financially Prepared � Ahead Of Time!

Many people go about the home finding process backwards. They go through the entire process of searching, evaluating, and writing an offer on their home, WITHOUT being financially prepared.

And it usually costs them money. Big money!

Completing a few things up front before you go searching will save you a lot of money, time, and hassles. What are those things?

Here are three of them:

First, find a MOTIVATED lender.

No, don�t just go down to your local bank where you�ll likely to be slowly tortured by bureaucracy and paperwork. Your banker may be a good friend for your checking, savings and perhaps an auto loan. But most bankers are not motivated to work hard to earn your business (although some are changing their ways).

That�s because one of the quotas bankers have to live by is: �How many BAD loans did you originate?�

They don�t get measured by their production�

They don�t get measured by their service�

They only get measured by the MISTAKES THEY AVOID!

Now, I know if your local banker sees this, he�s going to cringe a bit, and start reciting all the ad campaign jargon most banks are spouting these days. But the truth is�

There Is Absolutely NO Incentive For A Traditional
Banker To Serve Your Best Interests

What you want to do is find a mortgage lender who is MOTIVATED to take your loan. One who represents many different products, and can offer you many options for making your loan most affordable.

Here�s an important tip: Ask your REALTOR� to refer one or two lenders to you. Why? Because agents have power over lenders because they send them lots of clients. It�s not just YOU alone talking to them.

If they don�t give you first class service, the agent who sent you will refer (ALL) their clients to someone else. So they�re motivated to SERVE YOU. And the minute you have a problem with your loan, you can turn to your agent�who has much more influence and leverage over the lender than you alone.

After all, your agent and lender both want to see the transaction close. There�s power in numbers and influence. Use it to your advantage.

Now, the second thing you want to do is GET PRE-QUALIFIED with a lender. Better yet, try to get PRE- APPROVED.

Why?

Because the first question any home seller will ask when an offer is presented is �Is your buyer approved for a mortgage?�

And rightfully so! The seller doesn�t want the deal to fall through because you couldn�t get financing. When they accept your offer, their home comes OFF the active market. If you fall through, it costs them time and money.

Plus, there�s one more reason to get pre-qualified or approved�

You Will Have Much More Power To Negotiate
Price And Terms When You�re Financially Qualified!

When you have money behind you, the seller knows you�re serious. And a serious buyer ALWAYS has more influence to negotiate. So do yourself a favor, GET PRE-QUALIFIED or PRE-APPROVED!

Now, the third way to become financially prepared is to have deposit funds available immediately. One way to do this is to write a check in the amount of 3% of the highest price you�ve been qualified for financing.

Make the check out to the Brokers Trust Account, or the Title Agency you will use. The broker or title company are trustworthy fiduciaries by law, and will hold the check un-cashed until you make an offer that�s accepted.

Now I know what you�re saying� �It�ll be a frosty day in Tahiti before I write a check before we�ve even located a home.� I understand.

But you may want to consider this�

Jim and Susan were buyers from outside their immediate area. Because of their distance, they could only get together with their agent with two days notice. And the market was pretty good.

Three homes came on the market, and were sold before they could get together to visit them. Twice, they lost other deals because of bidding wars.

Finally, out of frustration, they placed an un-cashed deposit with their broker.

When they finally found the right home, they decided to write an offer�

And because they placed an un-cashed check on deposit, their agent could enter negotiations with verbal authority to make the offer. And because the agent could demonstrate that he had earnest funds, the buyers were able to sign a faxed copy of the offer, and their deal was secured.

And it�s a good thing! The very next day, three more offers came in on the home they just put into escrow!

Secret #8: Use AN EXPERIENCED AGENT!

There�s a huge difference between an experienced agent and other agents.

Think about this: If you had to go to court, would you use just any attorney, or would you know their experience and specialty?

I think you know the answer! So what can an experienced agent do for you?

• A good agent knows the area you want to buy in because she is out constantly looking at homes.

• A good agent can spot trouble for you. She will be experienced at looking at homes and will see things you might not see.

• A good agent will greatly simplify the buying process.

• A good agent will give you motivated, reliable financing sources and options.

• A good agent will refer you to proven inspectors, title and escrow officers, and other service providers you�ll need.

Most importantly, you need to know that�

There Are �Real Estate Agents��
And Then There Are Committed Professionals.
Which One Do YOU Want Representing Your Interests?

I hope the information above has given you helpful advice finding, buying, and financing your next home.

And at this point, you�re probably pretty clear that, in order to find the right home and save money, you need someone competent and professional to represent YOUR interests.

Over the past 19 years, I have recognized this fact, which is why I wrote this special report, and structured my practice around giving the most competent service possible.

There�s a difference between agents who simply sell real estate, and those who COMMIT to whatever it takes to serve clients beyond their expectations. I�ve been in real estate over 19 years. But more importantly, I�ve closed over 150 million in home sales. I am a full-time REALTOR� with a team of trained professionals. Together we will make your home buying process as seamless as possible.

I�m Not Saying These Things To Impress You,
But Impress UPON You The Difference Between A REALTOR�
And A Competent, Dedicated Professional

Buying and selling real estate can be tricky business. And selecting the wrong REALTOR� can cost you a lot of money, headaches, and wasted time. That�s why I designed a specific program designed for buyers like you. I call it my�

Exclusive �Preferred Buyer Program�

My Preferred Buyer�s Program is absolutely FREE to you. Here�s what you�ll get when you enroll�

• A Free Subscription to my �Home Locator� program. I�ll create a custom search model based on your personal home needs. Then enter you into our Home Search system where our computers will sift through the market each night to find hidden bargains and new listings before anyone else. Each day, I�ll forward to you homes on the market that meet your personal desires.

• I�ll evaluate the value of your chosen home so you buy the most home for your dollar�the very same way I described earlier.

• Negotiate the best possible deal for you so you avoid costly traps and pitfalls.

• Help you locate the most affordable financing in the market and for your situation.

• Coordinate all inspections, appraisals, escrow and title services, with the very best firms, so you can feel confident and focus on other important tasks during your move.

• Because of my experience, I�ll make the entire process HASSLE FREE for you.

• Everything you do with me stays COMPLETELY CONFIDENTIAL.

Sincerely yours,

Billie Chubb
Chubb Realty Group
Remax Associates

Once you have read this report completely, make a list of areas you would like to discuss. Call me at 302-478-6425 to enroll in my Preferred Buyer Program. I�m confident I�ll help you find the right home, at the right price, and save thousands in the process.

My services are Free to you while purchasing a home, so I look forward to speaking with you.

12 Questions You Should Ask Before Hiring Any Real Estate Agent

Here Are 12 Powerful And Insightful Questions You Should Ask A Real Estate Agent Before You Sign Anything�

Here Are 12 Powerful and Insightful Questions

You Should Ask A Real Estate Agent

BEFORE You Sign Anything!

Dear Consumer,

If you�re in the market to sell your home, OR purchase a home, there�s something you should know.

Real Estate Agents Are NOT All The Same!

Your decision to place your home for sale involves more than simply running an ad, holding a few open houses, and waiting for the sales proceeds check. And your decision to buy a home clearly involves more than looking at two or three homes, making an offer, and moving in.

Hiring the wrong agent can mean the difference between making or losing money, selling or buying quickly�or taking a long time, a trouble-free transaction, or a living nightmare.

Unless you have experience interviewing people (and real estate agents in particular), you won�t always know what questions to ask. Further, you won�t always know what answer will best suit your needs for buying or selling. So here�s a list of 12 important and insightful questions you should ask ANY Real estate agent BEFORE you sign anything.

Question #1: How Long Have You Been Practicing Real Estate?

This question will reveal more than just years practicing. You want to delve down into the number of transactions, average price range, specialized areas and types of homes they�ve purchased or sold. You also want to know how productive they�ve been in each year in practice.

Some agents in business less than five years may have more experience than other agents in business 10 years or more! You want to know how many brokers they�ve worked for, and what kind of experience they have that will apply directly to your real estate situation.

Question #2: What Qualifications Do You Have To Sell Real Estate?

This question looks for their overall commitment and dedication to building his/her personal skills. If they�re not willing to commit to improving themselves, they may not commit to your needs and satisfaction either.

First, look at their overall education. Did they go to college? Do they have any Realtor or professional designations? How often do they invest in improving their skills and keeping up with technology and other industry trends?

Experience should also carry over to negotiating and financial skills. And don�t forget the ancillary experience required for real estate.

Question #3: Tell Me About Your Personal Real Estate Operation?

This is an open-ended question designed to get your Real estate agent talking about his or her business. You want to know how much they�ve invested into their business as it relates to giving you competent and quality service. For example, do they have an assistant to take home inquiries when they�re not in the office? Do they have a pager, cellular phone, email, and other methods for reaching them? Do they have a private office either with the broker or are they on their own? (This is a telltale sign of a top producing agent.)

Here�s what you�re looking for: The more an agent invests into his or her own success, office, and systems, the more he/she will be able to commit to you.

Question #4: Can You Give Me A List Of Client References To Call?

An agent who doesn�t accumulate a list of satisfied references either doesn�t do much business, or isn�t providing the kind of service or follow-through you need. References don�t always need to be past clients. Get professional references as well: bankers, mortgage lenders, appraisers, attorneys, etc.

Question #5: Do You Have A Formal And Written Marketing Plan For Selling Homes?

This question applies more to sellers than buyers. Your agent�s marketing plan needs to be extensive � not just holding open houses, entering your home on MLS, or running classified ads.

The key to selling a home is CONSISTENCY. Your home must be consistently marketed to those people capable of buying. This cannot be accomplished if an agent doesn�t have a diversified arsenal of marketing strategies. Look for special ideas, consistency, and persistence in his or her marketing plan.

Question #6: What Systems Do You Have For Tracking The Home Market (Buyers)/ or Tracking My Home Listing (Sellers) On A Regular Basis?

This is a very important question. If you�re a buyer, you want to know his or her competence in understanding values of certain areas. They also need systems to keep you continually up-to-date with opportunities in the market. You want them to have more than �access to Multiple Listing Service.� How often do they actually preview homes in your price range or desired area?

If you�re a seller, you want to price your home correctly, and be regularly updated with important buyer activity. How many people have viewed your home on the web? What marketing strategies did you use? How many home visits from other agents did you have (and what were their comments)? How many people visited your open house?

If an agent does not have specific systems for measuring and reporting these items, perhaps you should consider someone else.

Question #7: Do You Guarantee Your Performance?

Some agents will give you a blank stare at this question. If they do, you might want to consider taking your business elsewhere. Why? Because you need to know if your interests are aligned. Is your agent willing to stake his or her successful outcome with yours?

Why shouldn�t your agent also guarantee his/her performance?

Smart agents guarantee their services for two reasons: 1) They�re confident they can perform for you because of their experience, commitment, and work ethic; and 2) It�s smart marketing for an agent to guarantee his/her services. If you buy a television, it�s guaranteed. If you buy a car, it�s guaranteed. These days, nearly everyone must offer a guarantee to help stimulate a sale. Agents on the cutting edge of marketing guarantee their services. The best guarantees tend to be agents that do not commit buyers or sellers to sign contracts that lock them in. If they are not doing their job, then why should you be forced to stay with them?

Question #8: Can You Refer Me To A Reputable Mortgage Lender, Banker, Appraiser, or Real Estate Lawyer?

This question reveals how active the agent is, and how well connected they are professionally. At some point in the buying or selling process, you will need the services of a reputable, competent lender, appraiser, title company, etc. If your agent is active, committed, and diligent with their practice, he or she will be able to give you a few names of each right on the spot.

Question #9: What Percentage Of Your Business Comes By Referral?

Here�s the �$64,000 question!� Competent, well-known agents get a large part of their business from satisfied past clients and members of their sphere of influence.

If an agent gets less than 25% of new business through referrals, it may be because: 1) The quality of service they offer is not up to standard (hence, people don�t feel compelled to refer to them after a transaction); 2) They lack the marketing experience or skills required to market for referrals (which means they may not bring strong skills to your transaction); or 3) They don�t cultivate contacts in their business (which means they won�t have many people to speak with about your home).

Clearly, the best way past clients show their gratitude for outstanding service is by referring their family, friends, and associates.

Question #10: How Many People Do You Speak With Each Day About Real Estate ?

This question will tell you how connected an agent is, and how active they�ll �talk-up� your home to buyers, or find a home for you by talking to other agents. Hopefully, your agent talks to at least 40 people a day about real estate. If not, they may not be very active.

Question #11: Do You Personally Spend Money Advertising Your Services Or Homes For Sale?

This question pertains more to listings, but it�s also a question a buyer should ask to determine an agent�s commitment to invest in the successful outcome of their client. There are two situations to identify here:

1) Agents who are very busy and who produce a lot of income for their broker will frequently receive advertising allowances from their broker. If your agent receives allowances, that�s generally a good sign.

2) However, if an agent is not as busy, OR if their broker does not have an ad allowance for top producers, you want to learn their commitment to �put their money where their mouth is� when it comes to marketing your home.

You should also ask to see samples of ads they write for homes they list, and for their own services. Do the ads appeal to you? Would they make you act? If not, don�t expect their marketing of your home to be any better.

Question #12: Will You Personally Handle Contract Negotiations For Use?

Surprisingly, many agents simply submit or receive offers, and act as a conduit between you and the buyer (or seller). That�s not good enough. You want an agent who has reasonable negotiation skills. You want an agent who�s committed to your interests.

They�ll need to represent you to other agents and buyers/sellers. It�s a good idea to follow-up the above question by investigating specifically HOW their negotiation skills saved other clients money, hassles, or help a deal come together.

There Are �Real Estate Agents��

And Then There Are Committed Professionals.

Which One Do YOU Want Representing Your Interests?

The answers to the above questions should give you a good feel for the commitment and competency of the Real estate agent you�re thinking about using. Remember, all agents are not the same!

Over the past 19 years, I have recognized this fact, which is why I wrote this special report, and structured my practice to give the most competent service possible.

There�s a difference between agents who simply sell real estate, and those who COMMIT to whatever it takes to serve clients beyond their expectations. I�ve been in real estate over 19 years. But more importantly, I�ve closed over $150 million in home sales. I am a full-time REALTOR� with a team of trained professionals. Together we will make your home buying process as seamless as possible.

I also make it a priority to educate you on every aspect of buying or selling a home in your area. I have a long list of past clients and professional references you can call at any time to discuss the quality of my service and follow-up.

I�m Not Saying These Things To Impress You,

But Impress UPON You The Difference Between A

Real Estate Agent, And A Competent, Dedicated Professional

Sincerely yours,

Billie Chubb
Chubb Realty Group
Remax Associates

P.S. Knowing the right questions to ask any agent can save you an enormous amount of money, time, and hassles. And clearly, not all agents are the same! So when you�re finished reading this report, give me a call at 302-478-6425 for a Free, no obligation review of how I can save you time, money, and hassles on your next real estate transaction. I look forward to hearing from you!

44 Moneymaking Tips For Preparing Your Home To Sell

Here�s A Quick And Easy Checklist Of Inexpensive Ways To Make Buyers Instantly Attracted To Your Home...

The Way You Live In A Home And The Way You Sell A Home Are TWO Very Different Things!

Dear Homeowner,

Each year thousands of homeowners unnecessarily lose money when they sell their homes. They don�t lose money because someone took advantage of them. And they don�t lose money because it wasn�t �marketed� well.

Even Seasoned Homeowners Lose Thousands of Dollars

Because They Didn�t Know About The Important Factors

That Influence The Value Of Their Homes

If you desire to sell your home for top dollar, and in your time frame, you need to do two things: 1) Get control of your personal emotions about your home, and 2) Place yourself in the shoes of potential buyers. Look at your home the way they would, and make it appealing in the right areas.

I know that putting your �homeowner emotions� aside may be tough to do. But doing so will help you to position your home to sell for top dollar, and in your time frame.

After all, selling your home is very different from any other financial transaction. Your house isn�t just a �thing.� It�s your HOME!

It�s the place where you raised your children. The place where you hold countless family memories�Thanksgiving dinners, family reunions, birthdays, anniversaries and more. It�s the place where you solved problems over the kitchen table late at night.

So it�s no surprise that selling your home may involve a bit of sadness, fear�or even excitement for the next move in your life.

Try not to let these emotions get in the way of a prudent sale. The tips and suggestions in this report will help.

Here Are Six Problems Your Home May Have

That Can Instantly Turn Buyers Off

Potential buyers are much more likely to return to a home that impresses them at first glance, while homes that appear disorderly or poorly maintained seldom sustain buyer interest.

• Home Odors. Because homeowners become desensitized to the odors in their homes, they rarely realize how obvious odors can be to visitors. This is particularly true of pet owners and smokers.

• Carpet and Flooring. One of the most visible areas of your home is your flooring. If your carpet is worn or dirty, get it replaced or cleaned. If you have vinyl flooring with corners coming up, get it glued down. Special note: Replacing flooring in smaller areas, such as kitchens, with high quality flooring can bring in premiums in price.

• Paint and Walls. Paint is one of the least expensive ways to �spruce-up� your home. Consider painting outside trim and interior walls and doors.

• Clutter . Excess clutter is a big buyer turn-off. You have to move anyway, so you might as well pack away items that make your home feel good to you, but turn off buyers. This includes nick-knacks, furniture, pictures, wall hangings, plants, etc.

• Signs of Pests. If you have any sign of mice, rats, roaches, spiders, or bees, you should immediately contact a local pest control company and have them eliminated. There�s no better way to show your home is filthy than by infestations. Remove all spider webs with a broom.

• Landscaping . If your landscaping is messy, overgrown, or looks cluttered in any way, you need to fix it. Buyers make positive or negative conclusions about your home within the first five minutes. Don�t lose the battle before you�ve even begun.

There�s no doubt about it: first impressions count with buyers. That�s why I prepared this 44 fail-proof list of simple, quick, and inexpensive things you can do to prepare your home for sale.

I divided them into three categories: 1) Exterior of home, 2) Interior of home, and 3) How to show your home for maximum profit.

Exterior Of Your Home

Overall, buyers are looking for a home that looks clean, neat, and well-maintained. By addressing exterior issues, you immediately give your buyers a positive �first impression.�

Here are 13 first impression items to examine:

• Tip #1: Get into your car and drive away from your home. Drive towards your home the way a potential buyer would. Notice your first impressions of your home. Is the landscaping well groomed? How about the driveway and curb? Can you easily see the architecture of the home, or is it blocked by trees and bushes. Notice your roof. Is it in good condition? Make a list of items that need attention.

• Tip #2: Paint your front door and mailbox. Polish your door and entry hardware.

• Tip #3: Make sure your doorbell is functional.

• Tip #4: Wash or thoroughly clean wood, aluminum, and vinyl sided homes. You can hire a contractor to pressure wash an entire house for about $200. Pressure washing can remove dirt, grime, peeling paint, and mildew.

• Tip #5: Rake leaves, trim shrubbery and trees, cut the lawn, and plant a few new, fresh flowers. Put down fresh mulch or peat moss around shrubs and flower beds.

• Tip #6: Sweep and hose off the walkways and driveways. Pressure wash if necessary.

• Tip #7: Clean the gutters and extend downspouts to prevent flooding or basement water seepage.

• Tip #8: Organize the garage. Get rid of clutter by either putting it in boxes, or pack ahead of time and rent a storage locker for your garage belongings. Make sure you wash your car.

• Tip #9: Check the locks of your home at both the entry, back entry, and garage. Locks can give a first impression of a home that needs maintenance. And they�re the first thing a buyer sees. A small dab of graphite will make them work like new.

• Tip #10: Clean oil stains from your driveway and garage. This is best achieved by using poultice with Portland cement. Scrub with a detergent and rinse. Clean rust stains beneath rails with the commercial product, Zud.

• Tip #11: Clean up any litter in the yard or walkways. Remove any leaves or debris in the yard or walkways.

• Tip #12: Touch-up the paint on the exterior of the home if necessary. In some cases, it pays to repaint the entire exterior if it hasn�t received a coat of paint in years. Hardwood trim on the exterior of the home can make or break its appearance. Make sure it looks clean.

• Tip #13: Look for any cracks in exterior plaster, and make sure they�re fixed and repainted to match exterior paint.

Interior Of Your Home

There�s a little known secret about home buyers that you need to know. People buy homes based on the emotional FEELINGS they get from the home. They fall in love, for example, with the kitchen or the master bedroom. Or perhaps the roaring fire in the family room fireplace touched off an old memory.

And while they�re viewing your home, they�re visualizing in their mind�s eye what it would be like to live there � the backyard barbecues they�ll host�Sunday dinners with family�college graduation celebrations of their children. Or simply relaxing in the backyard hammock.

It�s all about emotions. And if your home doesn�t feel right, you will quickly lose interest from buyers.

So remember this: Purchase decisions are EMOTIONAL. Once a decision to buy is made, we usually justify our purchase with logical reasons.

By dressing the interior of your home right, you�ll encourage your buyers to stay. People buy with their eyes, ears and noses, and the longer they stay in your home, the greater the likelihood of an offer.

Here are 18 interior tips to help you �dress� the interior of your house so it feels like home to your buyers.

• Tip #14: The entry way sets first impressions. So make sure it�s in great condition with fresh paint and clean floors. If the entry tile floor has build-up, consider using a commercial stripper and re-waxing.

• Tip #15: Clear out about one-third to one-half of your furniture. You want your home to look uncluttered, and the rooms to feel open and bright. The average home has too much furniture for showing, and you need to move anyhow. So you might as well pack away any furniture that clutters any rooms in the home.

• Tip #16: Put away nick-knacks and items that make the home look overly personal to YOU. You do not want your buyer feeling that they would never fit in the home because it has so many of your personal items in it. Put away cluttered photos and other objects that will detract away from the home.

• Tip #17: Do a thorough interior maintenance review. Oil squeaky doors, tighten doorknobs, clean and repair ALL windows, and repair leaking taps and toilets. Look for chipped paint and cracked plaster or drywall that needs repairing.

• Tip #18: It is a good idea to have all windows professionally washed. And clean all window shades and blinds.

• Tip #19: Replace all burned-out light bulbs and clean lighting fixtures.

• Tip #20: GIVE YOUR HOME A SPACIOUS LOOK. If you�ve ever toured a model home, you�ve noticed that the home is spacious and bright. Make your home look the same by: 1) Clear out stairs and halls of clutter and excess furniture, 2) Clear counters in the kitchen and bathrooms, and 3) Make closets and storage areas neat and tidy.

• Tip #21: Make sure your home is clean by doing the following: 1) Shampoo carpets, 2) Clean washer, dryer, and laundry tubs, 3) Clean the furnace, 4) Clean the refrigerator and stove, 5) Clean and freshen the bathrooms. Hire a professional cleaning service if needed. The money you spend on these areas will come back to you in purchase price.

• Tip #22: Wax or polish floors, and glue down any seems if you have vinyl flooring.

• Tip #23: Make sure windows and doors operate properly and lubricate closet door tracks with a silicon spray.

• Tip #24: Glue loose wallpaper seams and remove soiled wallpaper.

• Tip #25: Clean around fireplaces and remove ashes.

• Tip #26: Organize all closets, pack up unnecessary items for storage, and put all toys away.

• Tip #27: Make sure all beds are made, bedrooms are neat and clean, and laundry is clean and folded.

• Tip #28: Consider holding a yard sale BEFORE you place your home on the market to get rid of excess items that can make your home look cluttered or small.

Bathrooms and kitchen are some of the most influential areas of a home. Spending a small amount of money in these areas frequently nets owners many times their investment. Here are a few suggestions for each.

• Tip #29: Your Bathrooms. Repair loose tiles. Remove loose grout using a grout file, and apply new grout. Faded tile colors can be improved using an epoxy spray. Remove old tub and tile caulking with a hooked scraper, install new white silicone tub, and tile caulk. Concentrate on areas such as counter corners, shower corners, and base of toilet. Clean mildewed caulk by spraying Tilex, or use diluted chlorine bleach and let stand for at least 30 minutes before rinsing. Old tubs can often be sprayed with an epoxy coating. Remove all soap scum and dirt build-ups. Again, diluted chlorine bleach will help here. Clean glass doors with vinegar, and replace badly soiled shower curtains. Don�t forget to vacuum exhaust fans.

• Tip #30: Your Kitchen. Clean ovens thoroughly. Clean cook tops and exhaust fans. Remember to clean behind your appliances. Double-check all burners to make sure they�re working. Defrost freezers, and thoroughly clean the interior of your refrigerator. Remove mold from refrigerator gaskets. Empty the water collection tray under the refrigerator. Neatly arrange soaps and cleaning accessories. Thoroughly wash fronts of cabinets using Murphy�s Oil Soap or Pine Sol. Cover counter burns with ceramic tile or heat resistant glass. Make sure all handles are securely in place. Install new shelf and drawer liners.

• Tip # 31: Save your receipts. If you need to make substantial repairs to your home, save the receipts in a manila envelope. This will show what has been updated in the home.

How To Show Your Home For Maximum Profit

There�s a right way to show a home�and a wrong way. Many homeowners lose money, or turn-off buyers because they simply didn�t know how to handle a home showing. Here are 13 tips that will help you show your home for maximum profit:

• Tip #32: Save those receipts. If you completed any substantial work on your home, save the receipts and ONLY take them out if someone questions the value of the work performed (in the negotiating process). Many times extra work will increase the value of your home beyond your costs. So only use the receipts if you need support to justify the work.

• Tip #33: Save those utility bills. Buyers frequently have questions about utility costs of owning a home. If you have past utility bills, you will greatly increase your credibility and help provide precise answers to important questions. Save electric, gas, water, oil, sewage, and waste management bills.

• Tip #34: Go away during organized showings. Three�s a crowd when your home is being shown. The only exception to this rule is if you have specific knowledge about features of the home a Realtor cannot answer. But in most cases, don�t stay.

• Tip #35: Turn on ALL lights. Illumination is like a welcome sign.

• Tip #36: Open all drapery and bring in as much natural light as possible. Buyers hate dark homes. Anything you can do to brighten your home will help.

• Tip #37: Turn off any radios and TV�s. Turn off the football game. Tell the kids that the loud music will need a reprieve while the home is being shown. Occasionally very soft, background music can enhance a showing. But generally, no music at all is your best bet.

• Tip #38: Plan a pleasant aroma. Cinnamon sticks or vanilla boiled in a pot of water on the stove emit pleasant aromas and make a home smell inviting. Apple and cherry wood smoldering in a fireplace do the same. And who can resist the smell of apple pie or fresh bread baking in the kitchen. Often, these pleasant smells can override other odors your home may have.

• Tip #39: Keep pets out of the home during showings. It�s best to keep them out of the home for an entire day before an open house.

• Tip #40: Do NOT volunteer conversation. Be courteous but don�t force conversation with a potential buyer. They want to inspect your home, not make a social call.

• Tip #41: Stay positive: Never apologize for the appearance of your home. Let the showing Realtor answer any objections � they�re trained to know how.

• Tip #42: DO NOT Tag Along. It makes buyers fearful and uncomfortable. The showing Realtor knows the buyer�s requirements and can better emphasize the features of your home. They will call you if needed.

• Tip #43: Never negotiate during a showing. Let your Realtor discuss price, terms, possessions, and other items with any potential buyers. If any negotiations arise prior to an offer, politely request the buyer to submit an offer and you can consider it.

Tip #44: Protect Your Largest Investment By
Getting REALTOR � Representation

Do you remember the old riddle that goes, �What do you call the person who graduated dead-last in their medical school class?�

Answer: �DOCTOR!�

Well, it�s the same with real estate agents. Someone with vast experience and extraordinary professionalism usually costs the same as someone with little or no experience, or with compromising standards. You need to know how to tell the difference up front.

Choosing a competent and experienced realtor can mean the difference between a higher negotiated sales price and losing money, selling in less time or in more time (costing you potentially $1,000�s in added interest), and experiencing problems and hassles or a problem-free transaction.

Our community is loaded with agents who are wrong for you, your area, and your home. Some agents are in business part time for a little extra cash. Others are subsidizing other businesses or careers. And then there�s your �cousin Harry,� whom you feel obligated to because he �really needs your business.�

Selling your home is probably the most important financial transaction you will ever make. That�s why I take my business so seriously. It�s also why I have developed customized home marketing programs meant specifically for your situation.

WHY ME?

Here�s why you should consider my services to market your home:

• I have a full time assistant, two buyer�s agents, a full-time marketing specialist, two offices, three computers, a cellular phone on me at all times, a dedicated fax, and a top rated website at www.billiechubb.com.

I�m not telling you these things to impress you, but to impress UPON YOU the difference between agents who simply �sell� real estate, and those who commit to whatever it takes to serve a client beyond their expectations!

• I�ve been in real estate for 19 years, and sold over $150 million of homes. I am intimately familiar in New Castle and Chester County, and specialize in selling homes for more money and in less times then the average agent.

• I am a full-time REALTOR �. I am well-educated. I have a complete resume for your review, and make it a priority to educate YOU on every aspect of your transaction.

• I have a list of references, past clients, and professional associations whom you can call at any time to discuss the quality of service I have provided to other people just like YOU.

• I have developed an EXCLUSIVE marketing plan that is unequalled by anyone in the business. I do this because my dedication to selling your home is also unsurpassed. There�s no other way I can live up to that expectation without extraordinary marketing capabilities.

• I have specifically designed marketing tracking systems for every home I sell. I also have specific update systems so you are fully aware of ALL activity and progress updates on your home on a weekly basis. You will never feel out of touch with me!

• I guarantee everything I do! If you�re not happy with me, you may fire me. This places the burden of risk to perform on ME, not you.

• I have references for reliable title companies, escrow companies, financing sources many agents are clueless about, insurance companies, inspectors, attorneys, and others directly relating to your transaction. If you choose to use any of them, you won�t be dealing with arbitrary people. These are professionals I have used personally in other transactions.

• Each day, I am in contact with over 80 people directly related to real estate buying or selling. This allows me to create a communication link of properties to people.

• Most importantly: I generate over 80% of my clients through referrals alone. I focus 110% of my efforts into providing such outstanding service, my clients are inclined to refer my services to family, friends, and acquaintances.

On the surface, it may seem there are many Realtors from which to choose. But just because there are many Realtors out there doesn�t mean they can all do the same job for you.  

Real Estate Agents Are NOT All The Same!

• It would be a pleasure to conduct a thorough valuation of your home, based on real world facts, in an EASY to understand format. You won�t get any inflated values just to pressure you into listing with me.

And you won�t get anything like �I have a buyer right now who�s interested in your specific home, and if you list with me, I�ll bring him by right now.�

With me, you�ll get NO pressure. No arm twisting. Just a real world, honest, fact-filled analysis.

• I�ll tour your home to identify items that could negatively affect your selling price. As I mentioned earlier, many of my findings could bring as much as $10 in extra sales price for every $1 you invest. By the end of my tour, you�ll have a checklist of strategies designed to �position� your home to sell for the most money possible.

• I�ll share with you my Exclusive Home Marketing Plan. My plan will give you insider secrets on how to promote your home properly, how to handle buyers, how to avoid crime, and much more.

• PLUS, I guarantee everything I do. If any other agent won�t guarantee their services, ask them why? You�re staking the successful sale of your home on their abilities, why shouldn�t they stake their commission the very same way. I place my priorities in the same place as yours. We�re in this together!

• When selling your home, the LAST thing you need is added pressure. That�s why I�ll answer all of your questions. And give you one less thing to worry about during these hectic times.

Sincerely yours,

Billie Chubb
Chubb Realty Group
Remax Associates

302-478-6425 / [email protected] / www.billiechubb.com

P.S. Once you have red this report completely, make a list of areas you would like to discuss. Call me at 302-478-6425 to schedule your Home Value Audit. My exclusive audit could save you thousands of dollars. And it�s Free, and without obligation.

49 Essential Tips Every Home Buyer Should Know

A Helpful Guide For Saving Time, Money, and Frustrations When Finding, Buying and Financing Your Next Home�

�You Don�t Make Money
When You Sell A Home,
You Make Money
When You Buy It!�

Billie Chubb

�Why Most Home Buyers Lose Thousands Of Dollars When Finding, Buying And
Financing Their Home��

Dear Friend,

It�s true. Even savvy home buyers lose thousands of dollars�even tens of thousands of dollars they could have �pocketed� had they known about the important �secrets� that make up a successful purchase of a great home.

They don�t lose money because someone took advantage of them. And they don�t lose money because of the economy. The problem is�

�Most People Don�t Plan To Fail�But Fail To Plan.�

If you�re in the market to buy a home anytime soon, and you want to find the perfect home at the best possible price, terms, and financing, there are THREE things you need to do up front:

First, understand and get control of your personal emotions about the purchase of your home Second, get the most valuable, important information available so you make a prudent and educated decision. And third, become informed about the very best financial resources and products to fit YOUR needs�NOW, not later.

After all, buying your home is very different from any other financial transaction. It isn�t just a �home,� it�s a transaction that affects your monthly overhead expenses�your ultimate net worth�your retirement�your kids education�and much more.

So it�s no surprise that buying your home may involve a bit of fear, anxiety, frustration�or even excitement for that next move in your life.

The secret is�try not to let these emotions get in the way of a prudent purchase. The tips and information in this report will help you have a better understanding of most, if not all, aspects involved with the purchase of your next home.

So, let�s examine some of the critical questions you might have with your next home purchase�

1. What is an �as is� sale?
An �as is� property is sold without a warranty as to condition, repairs, or structure. With an �as is� sale, the buyer is on notice that the seller makes no promises regarding the property�s physical status. With an �as is� sale, it is extremely difficult to make a claim against a seller if something is found to be wrong with the property after closing. �As is� clauses should be seen as an absolute requirement to make the transaction contingent on a professional inspection �satisfactory� to you. With a properly written sale agreement contingency, if you are not satisfied, then the deal is dead and you can get back your deposit in full.

2. How long must I live in a house once I buy?
When you apply for a loan, a lender will ask if you intend to use the property as a prime residence. If the answer is �yes,� then it is expected that you will physically move into the property and live there for some time. There does not seem to be a set definition in the term �some time,� but what lenders are getting at is this: They do not want to make residential loans with low rates and little down to investors.

Thus, if someone gets a residential mortgage, instantly moves out, and quickly rents the place, lenders will be more than unhappy - they may call the loan. They may also review the loan application to see if fraud was involved. Lenders do not want borrowers to move in and then rapidly move out, but they will look at the �facts and circumstances� if such an event occurs. For instance, a sudden job change not known in advance might be a valid reason for a move after several months of occupancy. What lenders do not want are situations where a �residential� borrower is actually a disguised investor. Given that most homes are occupied for 8-10 years, a move after several months or a year is likely to set off bells.

3. Can I buy real estate with no money down?
Yes. Millions of people have bought real estate with no money down through the VA loan program.

If you mean, can you buy real estate at a discount of 20% or 25% with no cash or credit, and then instantly sell or rent the place at a profit, then the answer is probably not. Why �probably� instead of �absolutely� not? Because in a marketplace with millions of transactions each year, somebody somewhere has made a deal with no money down and rented or sold at a profit. But it is also true that somebody somewhere was hit by lightening. The problem is that the term �no money down� is sometimes in the worst cases a code expression for a deal where someone without cash or credit wishes to buy property from someone who is needy, unsophisticated, desperate, in mourning, etc. Under the guise of �helping� the owner, buyers offer to purchase property at 20% off, or more, and with subordination and substitution clauses. Of course, if purchasers really meant to be helpful, they would surely pay full market values. Let�s be clear. If no-money-down schemes are so wonderful, why do folks who engage in such investments have a need for �partners� with cash?

Rather than get-rich-quick tapes and seminars, prospective investors are best served by taking a basic real estate license class in your state. This will explain much about financing, marketing, title, and other issues. It will also allow an individual to take the entry-level real estate exam and qualify for a license.

4. We made an offer on a home that was about 5% below the asking price. Our offer was rejected. What can we do to make the owners more reasonable?
Who says the owners aren�t reasonable? They have established a market price for their home. If they can get that price within a reasonable time frame, then they have logically priced their home. If the price cannot be obtained, they will lower either the price or the property will be withdrawn from the market. Because your experience in a different market made selling at a loss acceptable, that does not mean the same logic applies in other markets, or that your choice should in any way impact the sellers. Perhaps it would make sense to restructure your offer - maybe raise your price but seek better terms.

5. Where can I get more information regarding accessible housing options?
Try the following sources:

• State architectural associations.
• Local builders.
• State and local builder organizations.
• Hardware and building supply outlets.
• University architectural schools.
• The library of the National Association of Home Builders in Washington, DC.
• Local public housing agencies.
• Local chapters of associations that serve those with special needs.

6. We are handy and want to buy a house using sweat equity for a down payment. Will lenders go for this?
From time-to-time, you hear about lenders that allow the use of sweat equity as a credit toward a down payment, but not all of it. Most lenders, however, are not thrilled with this concept. The problem is valuing labor. If a professional paints a house there is work completed to a given standard (that helps maintain the value of the home, and the lender�s security if the loan is defaulted) and there is a bill for labor and expenses (paint, caulk, etc.).

With sweat equity, there can be a cost for supplies, but how is labor valued? At the same rate as for a professional? A discount? And what about workmanship?

The best approach is to speak with as many lenders as possible to see if they have a program that allows the use of sweat equity. Ask about the maximum sweat equity contribution allowed, total cash needed to close, rates, points, etc.

7. Can I discount the sale price to create a down payment?
No. Lenders provide financing based on the sale price or the appraised value, whatever is less. In the case of a �discounted� price, say selling a home worth $150,000 for $140,000, the sale price is $140,000. Lenders do not recognize a discount.

A better approach is to pay full market value but to make the transaction dependent on a �seller contribution� at closing. The effect is the same, but the accounting makes more sense to lenders.

8. What is a �due-on-sale� clause?
When a home is financed, the borrower agrees to make regular monthly payments. However, if those payments are not made, if they are late, or if the lender�s security is reduced (by not making payments, damaging the property, not maintaining insurance, not paying property taxes, selling the property, selling a part of the property by placing someone else on the title, etc.), then the lender has the right to call for the complete and immediate (say within 30 days) repayment of the loan. The mortgage language outlining the lender�s rights is generally called a �due-on-sale� or �acceleration� clause. One effect of a due-on-sale clause is that it effectively prevents a loan from being assumed.

Borrowers should note that state and federal law may limit the ability of lenders to enforce a due-on-sale clause. For instance, a title change in the event of an estate situation may be allowed.

9. What is a �land contract?�
A �land contract� or �contract for deed� or �agreement for sale� is an installment sale you buy today but only get title after some or all of the payments are made. If you miss a payment, you could lose some or all your equity. Because title has not been transferred, there is nothing to foreclose. Some states, however, have special provisions protecting those who buy property with a land contract.

Be careful in a land contract situation to look at the proposed financing. Is lender approval required? If yes, and such approval is not received, the loan could be called.

State rules regarding land contracts vary extensively and such arrangements should be reviewed by an attorney or legal clinic before acceptance.

10. What are the pros and cons of a land contract?
A land contract may allow a buyer to obtain real estate even if he or she is not able to obtain financing through regular loan channels. A land contract may allow a seller to market a property when interest rates are high.

If a buyer with limited financial capacity purchases with a land contract, then a seller may have problems collecting monthly payments. However, since a buyer with a land contract does not have title until all conditions are met, it is often possible for the seller to get the property back with a �forfeiture� rather than a �foreclosure.� The attraction of a forfeiture is that it is much quicker to obtain than a foreclosure. It is also a complex undertaking that should only be done with an attorney.

If a land contract involves the use of existing financing that cannot be assumed, that could set-off a due-on-sale clause. Both buyers and sellers could lose the property if the loan cannot be repaid.

Or, suppose Seller Jones sells a property to Buyer Smith using a land contract. Title will remain in Jones� name until Smith makes a certain number of payments. But suppose that Jones goes bankrupt. What rights does Smith have to the property? Or, suppose Jones does not pay the property taxes? If the local government forecloses, what rights does Smith have?

Also, what happens if Seller Jones goes off to Tahiti? How does Buyer Smith get title?

Land contracts should be seen as complex arrangements. Both buyers and sellers should consult an attorney or legal clinic (separately) to assure that all aspects of the transaction are fully understood.

11. What is a �seller contribution?�
A sale agreement typically includes both a purchase price for the property as well as terms and conditions. It sometimes happens that a buyer will make an offer subject to certain terms. (I�ll buy your house, but I want to keep the washer and dryer, etc.)

One possible condition concerns �seller contributions.� (For example, I�ll buy your house if you will pay the first $x of my closing costs.) Lenders will generally accept seller contributions as part of a transaction providing they are written into the sale agreement, fully disclosed and only represent a limited fraction of the sale price. Different loan programs have different contribution caps. Lenders and brokers can provide specific advice.

A seller contribution can be a useful bargaining chip in slow markets. (Buy my house and you can have a credit of $x at closing.) It�s a thought that goes a long way with cash-strapped buyers.

12. Can I rent out a room to help me qualify for a loan?
Generally no. Lenders have no assurance that such income will be regular and continuing.

13. Can we use private financing to buy real estate?
In theory, yes. In practice, not really. The odds against private financing are substantial. In 1997, according to the NATIONAL ASSOCIATION OF REALTORS�, 74% of all first-time buyers obtained financing from mortgage companies, 19% from commercial banks, 1% from Saving & Loans, 1% from �other� sources, 1% from credit unions, and 1% from private investors.

14. We have stock that has significant value and we think its price will increase. How can we come up with a down payment without selling our shares?
This is an increasingly common and delightful problem. A home purchase typically requires either a sizable down payment, say 20%, or some form of backing by a third party, perhaps the FHA, VA, or a private mortgage insurance (PMI) company to buy with less down. With a third party, loans with 15, 10, 5, and 3% and even nothing down are possible. So, one choice is to look for financing with as little down as possible. A second choice is to look at RAM financing, a reserve account mortgage.

With a RAM loan, you might get 100% financing. At the same time, you would deposit an asset with the lender; say the stock you do not want to sell. The lender then holds onto the stock until the property has a certain level of equity caused loan amortization (reducing the size of the loan through payments) and, hopefully, increasing property values. The borrower has 100% financing.

RAM financing raises important questions: Who gets the interest on the account? What if the value of the securities declines? How is the new value for the property determined? What is the monthly payment? Is all interest deductible? Mortgage lenders and securities brokers can provide additional information.

15. What is �MCC� financing?
Because states have better credit than people do, they can borrow money at low rates. Under Mortgage Credit Certificate (MCC) programs, states lend money to first-time buyers and low-income buyers (usually) at below-market rates (but at rates that cover the interest cost of floating bond issues) and with little down (say 1% to 5%).

MCC�s allow you to borrow money and to write off a portion of the interest, up to 20%, as a tax credit. The remaining interest deduction is just a write off.

For example, suppose your interest cost for a year is $5,000 and that 20% can be used as a tax credit. On your federal taxes, you would deduct $4,000 as an itemized expense, and you would deduct $1,000 (20% of $5,000) from your tax bill. See a tax pro for details.

Speak with local lenders to see if MCC financing is now available. Because funding is limited, these programs often run out of money quickly.

16. How quickly must I apply for a loan?
Many sale agreements require buyers to apply for a mortgage within a specific time period, say seven days after the contract is signed. This is a negotiable item, however, and can be any period agreeable to both parties.

This is an important matter because if an application is not made, then a buyer may be in violation of the sale agreement. A violation of the sale agreement, in turn, could be grounds to forfeit the deposit. Thus, buyers should go through the sale agreement with great care before signing to assure that all obligations are known and understood. Work with an appropriate professional such as a buyer broker when reviewing a sale agreement.

When you meet with a lender, be certain to obtain a letter stating that you met and showing when. Immediately provide this letter to the seller�s broker in the manner required by the sale agreement.

17. Can I buy a house with an award from a lawsuit?
Sure, if the money is there. But until the matter is finally resolved (appeals run out, and a check is cashed) how does anyone know that there will be money available for a realty purchase?

What if someone contracts to buy a home today with $20,000 in cash due at closing in 60 days, money that will be generated from the settlement of a suit. And what happens if the suit is delayed? Money at closing is still required, and if the buyer does not close, there could be substantial damages�and maybe another suit.

18. I am getting married in two months. I have lousy credit, but my spouse-to-be has excellent credit. Can my future spouse buy a home individually?
Yes. However, he or she can only borrow based on one income and his or her credit standing. Together you might have far more income. Lenders, incidentally, will probably want both parties on the property title even if you are not on the mortgage. This removes a barrier should foreclosure be required.

19. What rules prohibit discrimination in real estate sales and financing?
The Fair Housing Act is the major legislation prohibiting discrimination in real estate. It provides that there can be no offer to sell, rent, buy, or exchange property that contains any preference, limitation, or discrimination based on race, color, religion, sex, national origin, handicap, or familial status, or an intention to make such preference, limitation, or discrimination.

This federal law applies to the sale and rental of housing, residential lots, advertising the sale or rental of housing, real estate financing, the provision of realty services, and the appraisal of real property. It also prohibits the practice of �blockbusting.�

Other federal laws that offer protection include:

• The Civil Rights Act of 1866
• The Civil Rights Act of 1968
• The Americans with Disabilities Act
• The Equal Credit Opportunity Act

State and local laws may also identify additional discriminatory factors that are prohibited.

Brokers, lenders, and attorneys can explain such matters in detail.

20. If the appraised value and the sale price of a home are different, what will lenders use when granting a mortgage?
Whatever is lower. Lenders want as little risk as possible, so they will look at both the sale price and the appraised value and then make a loan based on the lower of the two numbers.

21. What is �buyer�s remorse?�
With some frequency it happens that buyers often have a sense of remorse after contracting to buy a home. Why?

A home is a very large purchase. Not just in terms of dollars, but also in the sense of status, ego, and commitment. And because it is such a transforming event, it naturally and reasonably causes some concern.

But not to worry. Buyer�s remorse typically passes in quick order.

22. Can I buy a house after a bankruptcy?
Probably. There are two issues to consider.

First, lenders like to see two years of good credit after a bankruptcy is resolved. However, there are instances where lenders will finance with a year of good credit.

Second, lenders want to know why you have gone bankrupt. There is a substantial difference between a bankruptcy that is caused by reckless financial habits and simple financial disasters (a car wreck, medical costs, the plant closed after 30 years, the town was underwater for three weeks, etc.). In other words, not every bankruptcy is a by-product of financial negligence.

23. What is a �stigmatized� property?
There are properties that are in flawless physical condition but may nevertheless present unusual marketing issues. For instance, homes that have been the site of murders, suicides, or that are reportedly inhabited by ghosts are known as �stigmatized� properties. This is a home with a condition that is psychological in nature rather than a matter of bricks and mortar.

The subject of stigmatized houses is complex. While some people may want a house with a ghost, others do not. The subject gets tangled even further when one is asked whether murders and suicides at a property must be disclosed.

The rules on this matter vary by state. Some say a given condition must be disclosed, others say �no.� Some say disclosure is not necessary after so many years, and some states say nothing one way or the other. For specifics, please speak with a broker or real estate attorney in your community.

24. What is the difference between a co-op and a condo?
In general terms: A co-op is a corporation that owns real estate. If you belong to a co-op, you own stock in the corporation and the exclusive right to a given unit. There is usually an underlying mortgage on the property and your co-op fee includes some or all mortgage payments as well as other costs.

With a condo, you own real estate and you have access to certain common facilities. The condo is typically responsible for exterior maintenance and you pay a monthly condo fee. You have your own title and mortgage, so mortgage costs are not part of the condo fee.

25. What are some of the basic questions to ask when looking at a co-op?
Co-op ownership raises a number of issues that should be of concern:

1. What is the value per unit of the underlying mortgage?

2. What is the voting system (one vote per unit or voting based on unit size)?

3. Is there a reserve fund for repairs? If so, is it adequate?

4. Are major repairs anticipated in the next two years? If so, how will they be funded?

5. Is the co-op now facing or likely to face a lawsuit for any reason? If yes, what are the possible damages?

6. What pricing trends are associated with the co-op? Are prices rising? Falling? Can you review all sales for the past year?

7. Is a property tax rise known or expected?

26. We are considering the purchase of a condo in a complex that has an interesting pet rule: You can only have a dog or cat that can be carried into the building. Is this fair?
The obvious intent is to limit larger dogs since domesticated cats can be readily carried by most adults. The real test here is the strength of the owner rather than the size of the animal.

Not all animals make good pets, regardless of size. Venomous creatures, wild animals, and endangered species are certainly inappropriate.

A more difficult question concerns larger dogs. There are noise and sanitation issues, and there are special questions regarding breeds with a history of attacks. It may well be that Rover is the best of his breed, but if Rover has a bad day and mauls a child the liability could be substantial.

The condo association, for the protection of unit owners, raises a valid issue. However, a better approach would be to speak with insurance carriers to determine how pet coverage is handled, exclude animals not covered, evolve a more precise pet standard, and make certain that owners understand both the condo policy and their personal liability.

27. What is a broker�s �trust� account?
In terms of a real estate sales agreement, a �trust� account is typically an account operated by a real estate broker that is used to hold buyer deposits until closing.

Example: Buyer Smith makes an offer to purchase a home. With the offer is a $10,000 deposit. That deposit is held by Broker Smith in a trust account. The money in a broker�s trust account is typically a credit to the buyer at closing. If the sale does not close, however, then several alternatives are possible:

First, buyer and seller may agree to return the trust money to the purchaser. Second, buyer and seller may agree to give the money to the seller to resolve claims that the buyer did not perform as agreed under the sales contract. Third, buyer and seller may dispute how the funds should be distributed. In this situation, the money is usually turned over to a court or, in at least one jurisdiction, the state real estate commission.

28. What is a lender�s escrow account?
When homes are bought with 80% or more financing from a single lender, the lender generally requires the borrower to make monthly payments to a lender �escrow� (trust) account.

The purpose of the lender escrow account is to accumulate money to assure that the borrower�s property taxes and property insurance are paid (and thus reduce the lender�s risk).

Lenders typically collect 1/12th of the annual costs for property insurance and taxes each month. They are allowed to keep as much as one full year�s worth of tax and insurance payments in the account, plus a two-month safety margin, plus $50. The only time the account is likely to have 12 monthly payments plus the two-month cushion is just before property taxes or insurance are due.

Lenders must account to borrowers annually with a statement showing how much is in the account, whether monthly payments will rise or fall in the coming year, and whether any surplus or shortage appears in the account. If the surplus is more than $50, the excess must be returned to the borrower. Note that some states require lenders to pay interest on escrow accounts, others do not.

29. How are escrow accounts used at closing?
It sometimes happens that not all agreed promises found in a sale agreement can be fulfilled by closing. For instance, if closing takes place in January in a cold climate it may not be possible to test the air conditioning system.

How does the buyer know the system works? It is best to wait until warmer weather to test the system. But what if something is wrong with the system? To resolve buyer concerns, an �escrow� account can be created at closing. In this situation, money from the seller is held in reserve to pay for needed repairs as defined in the escrow agreement. If repairs are not required, or if the cost is less than the amount of money set aside, the difference is returned to the sellers.

30. What is 3/2 financing?
There are a number of loan programs directed toward first-time buyers that allow the purchase of property with as little as 3% down.

The way they work is that a purchaser puts up 3% of the sale price and another party puts up 2%. Who puts up the additional 2%? Programs differ, but some choices include:

• A friend or relative providing a gift.
• A friend or relative providing a loan.
• An employer providing a loan.
• An employer proving a loan that does not have to be repaid if the individual stays with the company for a certain amount of time.
• A community group providing a loan or grant.
• A government agency providing a loan or grant.
• Amazingly enough, a lender who provides both 95% financing and a 2% loan.

For details, please contact local lenders and real estate brokers.

31. How can I buy real estate with my children using �shared equity?�
Shared equity is generally seen as a way that families can buy real estate together. The kids live on the property and get the benefits of property usage and ownership tax advantages while Mom and Dad get an investment write off equal to their proportional interest. (Shared equity arrangements, incidentally, can also be among friends, relatives, or business partners.)

Under a shared-equity arrangement, if you own half and the kids own half, you must pay half the mortgage, taxes etc. The kids must pay their half, plus they must pay a market-rate rent for your half of the property in order for you to have a deduction. Of course, once they have paid, you can also give them a gift equal to some portion, or maybe all, their rent.

You will need to work out an equity-sharing arrangement with the help of a local attorney and CPA. A broker can find an appropriate property. Both you and your children will need wills, living wills, and a proper equity-sharing agreement. You will need to understand what happens if your kids are laid off (you are responsible for the mortgage), or if you and your children become estranged. You will also have to consider the interests of any other children you may have.

32. How can our family buy real estate together?
There are a number of choices including: Equity-sharing deals. These have potential for everyone if a home in poor condition is purchased and the adult child will put in the sweat equity required to fix it up. Partnerships. Family partnerships are common but everyone has to understand their obligations.

A corporation could be formed, with shares for everyone. The problem here is selling shares in a small entity if someone wants out. All familial arrangements should be based on a written agreement developed by an attorney, wills and living wills for everyone, and advice from a tax professional for each party. Also, speak with lenders before making a final arrangement. Some approaches may be easier to finance than others .

33. We are buying a home and have a copy of the seller�s disclosure form. Should we also get a home inspection?
Most states have a mandated seller disclosure form that must be used for most properties, but not all. This form provides an opportunity for the seller to answer certain questions regarding the property�s condition. Just ask the broker or the owner for a copy.

But a seller disclosure form is not a substitute for an independent examination by a professional home inspector. A seller may well complete a form to the best of his or her ability, but without knowledge of home construction, that ability may be limited. And a state-written form may not ask the questions you want answered. For example, when was the owner last in the attic to check for leaks? When was the furnace last examined? Does the home have aluminum wiring?

34. What is a �CMA?�
When owners offer a home for sale, they logically want the best possible price and terms for their property. A �comparative market analysis� or �CMA� is an estimate of value prepared by a real estate broker or salesperson that shows recent past sales for like properties and suggests a possible asking price for the owner�s property.

35. What is the difference between a �warranty� and an �inspection?�
A warranty and an inspection are different creations. An inspection shows the condition of a home at a particular time. A warranty provides compensation if an approved repair is required during the warranty period. Not all warranties are alike. Some cover repairs only above a certain minimum (that is reasonable). Some have defect lists, but the standards for each list vary (some lists are vastly more liberal than others are). Some warranty programs charge an inspection fee for each item.

36. What is a contract �contingency?�
A sale agreement between buyer and seller typically outlines a series of obligations for each party. Also, usually a sale agreement has one or more clauses that make the transaction dependent on certain events. Such contract language is a �contingency� and the agreement itself can be seen as a �contingent� arrangement.

For example, you will buy the Smith house if you can get a mortgage at not more than 8% and one point. If such financing is not available, if the contingency has not been met, then a contingency may provide that the deal will fall through and your deposit will be returned in full.

The words used in a sale agreement outline important rights and terms and should be written and reviewed with great care.

37. What stays with a home and what goes?
In general, items that are physically attached to and intended to be part of a home are expected to stay. Example, if there is a built-in dishwasher it should stay. If the sellers take it, there would be a large hole in the kitchen cabinets.

Items that stay are called �fixtures� but it is sometimes difficult to determine what is or is not a fixture. Moreover, one can �create� a fixture in a purchase offer by saying that as a condition of the deal, the backyard swing set (or whatever) will stay.

The best approach to fixtures is to list what stays in the purchase offer. For details, speak with a broker as appropriate.

38. What is a lease option?
It sometimes happens that a buyer does not want to purchase, or cannot purchase, immediately, and a seller does not want to sell, or cannot sell, immediately. In this situation, both parties may want a �lease option� arrangement.

In general, a lease option is an arrangement where a prospective buyer moves into a property as a tenant. The buyer has the right to buy the property for a specific price during the option period. The monthly rent is equal to the fair market rental rate plus an additional sum. The additional sum is credited to the buyer at closing, should the buyer exercise the option to purchase. If the buyer does not buy the property, then the additional monthly payments go to the owner.

Lease option properties can be located by real estate brokers. Lease options contracts should be reviewed by attorneys for each party to the transaction before signing. Also, before entering into a lease option arrangement, speak with lenders to review current financing requirements.

39. Can all the rent paid in a lease purchase be credited toward a down payment?
If the purchase is being financing by a commercial lender, the lender will want to know the fair market rental for the property. Anything above the fair market rental can be considered a credit toward the purchase, anything below a fair market rental represents a discounted sale price. A lower price, in turn, means the lender will not provide as much financing as buyer and seller may have wanted. Speak with lenders for details.

40. What is a seller �take-back� or �carry-back?�
A seller �take-back� works like this. A home is worth $100,000 and has an assumable $60,000 mortgage. You assume the mortgage. Instead of taking $40,000 in cash from YOU, the seller instead takes back a note, secured by the property. For example, the seller might take-back a note for $30,000 if you will put up $10,000 in cash.

A seller take-back is just like a loan from any lender. It must be repaid according to the terms and conditions outlined in the note. If not repaid, the property can be foreclosed. The rules that apply generally to mortgages may not apply to seller take-backs. For example, some attorneys argue that a seller take-back is not subject to state usury rules (interest rate caps) because a seller take-back is NOT a loan, no money changed hands.

41. Is an owner �take-back� a good way to finance a home?
Such financing is fine as long as it meets the usual standards you would expect with a loan. These would include a competitive interest rate, no short-term balloon note, the right to prepay in whole or in part without penalty, or a deed of trust rather than a �mortgage,� so there is a trustee to accept a pay-off in case the owner is not available.

But since a commercial lender is not involved, you will want many of the protections lenders require such as a title search, title insurance, termite inspection, survey, a proper deed, etc.

42. Does it make sense to buy real estate for cash?
Probably the best answer works like this: Is there a better place to put your money? Is there an alternative investment that will produce like returns with equal risk? Is it simply more comfortable as a matter of personal preference to pay cash? The decision to pay cash or not pay cash includes both economic considerations and personal choices. Many people simply prefer a home that is free and clear of all debt. Several advantages can be obtained by paying all cash. There is no mortgage application and no need for private mortgage insurance. There is also no mortgage interest to write off.

However, if you elect to pay all cash, be sure to insist on the protections that a lender would want a title inspection, title insurance, survey, termite inspection, appraisal, etc.

It may be worthwhile to sit down with a tax professional or a fee-only financial planner to review the consequences of paying all cash or financing.

43. What is a �cash-back� transaction?
It is sometimes claimed that it is possible to buy a home and receive both the house a substantial amount of cash at closing.

For example, a home will be �sold� for $100,000. The deal will be financing with a 95% loan-to-value mortgage. However, the seller will provide a $15,000 certificate of deposit to the buyer at closing.

On the surface, we have a deal with a $100,000 purchase price, $5,000 down, $95,000 in financing, and a $15,000 TD. Alas, $100,000 was never paid for the house. There was a �sales price� of $100,000, but then as part of the deal, the seller provided a $15,000 rebate in the form of a CD. Since a CD is a certificate of deposit that presumably is worth $15,000 in this example, this property was sold at discount - the real price is $85,000. This is a classic �cash plus� deal where the amount financed is greater than the debt to the owner.

The surplus would be returned to the buyer at closing, if there was a closing. Lenders will decline this transaction because the amount of financing sought is greater than the discounted value of the property. Even if this property appraises at $100,000, lenders will value the deal at the appraised value or the true sale price ($85,000), whatever is less. Worse, if the lender is not told, in writing, in the loan application and in the sale agreement about the CD, there may well be grounds to consider charges involving fraud.

Bottom line: Should someone propose a cash-plus deal, sign nothing until you have spoken with an attorney.

44. Why does closing cost so much?
State and local governments have discovered that real estate transfers are wondrous opportunities to tax with little political responsibility. If a politician says that taxes should be raised, the individual may well be out of work when elections next roll around. But if real estate transfer taxes are raised, the game changes because many of those impacted by the higher tax will move elsewhere, and thus they cannot vote against the politician.

The result is that transfer taxes and �stamps� often amount to thousands of dollars per transaction, income that is enormously profitable to states and local communities.

45. Must I physically attend closing?
Check with your closing provider, but in most jurisdictions, if not all, the answer seems to be �no.�

The purpose of closing is to assure that all requirements of the sale agreement have been met. The closing papers need to be signed by all parties to the transaction, and often notarized or witnessed.

However, the signing process need not be done at the closing table. Documents can be reviewed and signed away from the closing table and sent to the closing provider by overnight delivery.

46. What is a �walk-through?�
When you purchase an existing home, you enter into a sale agreement at one point but only close on the sale some weeks later. To assure that the property is in substantially the same condition as when the sale agreement was signed, a buyer will �walk through� the property just before closing.

If you are a buyer, be sure to allocate enough time for a thorough walk-through.

In the case of a new home, the situation is a little different. Typically, there is a walk-through with the builder�s representative. Items not completed, or not properly completed, are entered onto a �punch list.� The punch list items are then detailed at closing and the builder is obligated to make required repairs and completions.

When going through a new home, buyers should make their own punch list and compare it with the builder�s representative to assure that nothing is missed by accident.

47. Must real estate brokers disclose the fact that they are licensed when they buy or sell for themselves?
All states license the practice of real estate brokerage. A common provision of such laws is that real estate licensees must disclose their license status when they buy or sell a property for themselves, for a spouse, or for an immediate member of the family such as a parent or child.

The reasoning behind such disclosure rules is that brokers and salespeople, by virtue of the fact that they are licensed, are presumed to have a marketplace advantage over those who have not studied real estate, passed various tests, and obtained a license. To have a fair playing field, brokers and salespeople must disclose the fact that they are licensed so that consumers know about such training and experience. Speak with brokers regarding specific requirements in your state.

48. Can a real estate broker assist me in the purchase or sale of a business?
In some states there traditionally were �business chance� brokers, individuals specifically licensed to buy and sell businesses for another and for a fee. Such licenses in many states have been combined with real estate licenses, meaning that a real estate broker is allowed to buy and sell a business for another. Please speak with local brokers for specifics related to your state.

49. Do people really make millions of dollars buying with no money down?
It�s a big country and you can be sure that each year someone will win the lottery, someone will be hit by lightening, and someone will buy a home at a steep discount, with predatory terms, and no money down. The odds in every case are grim.

The essential issue is NOT buying property with no money down, it is buying property that can produce a positive cash flow and/or be sold at a profit. Unless one or both of these conditions can be met, then the economics of buying a home with no-money-down are unlikely to make sense.

Those buying under the VA program can buy with no money down, and residential financing with 5% down or less is widely available, especially for first-time homebuyers. However, all of these programs require appropriate credit and income.

SO WHAT�S NEXT?...

Did you know that there is a home-buying program that can help you locate the very best home, and the best price and financing terms possible? Yes, it�s true.

It�s my Preferred Home Buyers Program.

How does it work? Simple. All I need is about 32 minutes of your time. I will personally teach you how to apply many home buying secrets so they can work for You NOW!

Ask me to show you how to...

• Discover Exactly What Your Resources Are For Saving Money.
• Match Your Resources To The BEST Financial Products Available.
• Get Uncle Sam To Pay You Every Month For Buying Your Home.
• Learn Why Sellers Are Willing to Pay YOUR Cost.
• Minimize Your Cash Investment For High Yield.
• Own A Home For Less Money Than Rent.
• How To AVOID PAYING PMI.
• Eliminate ALL Stress In Buying A Home.
• Have Security In Knowing YOUR ESCROW WILL CLOSE.
• Become A Well-INFORMED Home Buyer.

Now I know you might be skeptical, thinking this is just another �gimmick� by a real estate agent. Please Let Me Explain...

It�s All True!!!

How many other so-called �professionals� are dedicated to continuous education and making this kind of effort to better inform and serve you? Don�t let anyone kid you. The right knowledge makes a difference. Let me share my knowledge and experience with you through my Preferred Buyers Program.

Best of luck with your next purchase, and I look forward to hearing from you soon.

Sincerely yours,

Billie Chubb
Chubb Realty Group
Remax Associates
302-478-6425 / [email protected] / www.billiechubb.com

PS. Call me right now at 302-478-6425 and let�s talk on what the next steps are to get you into your dream home. My team of Mortgage Brokers and I will show you exactly how much home you can afford, and the many programs available to suit your needs.

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How To Avoid 7 Costly Mistakes When Selling Your Home

Here�s A Guide To Avoid Costly Problems And Sell Your Home For Every Bit Of Its Worth In The Least Amount Of Time�

How To Sell Your Home For The Most Money
The Market Will Pay!

Dear Home Seller:

The decision to place your home on the market can involve a number of stresses and strains. Many home sales are motivated by circumstances outside your control: Job relocation, family problems, financial issues, divorce, and more. Others are related to family issues: The need for a bigger home, a better neighborhood, schools, etc.

Whether you�ve lived in your home two years or 20, you know it�s not just a shelter, or even another investment. It�s the place where your dreams come to life. In flower gardens and family rooms. Backyard barbecues and home-cooked Sunday dinners. It�s the place we raise our children. The nest we nudge them out of, and welcome them back to again and again.

And for some, it�s even our place of business.

But there comes a day when it�s time to move on. Time to reflect on old memories, and prepare to build new ones. Time to leave the past behind for a new future. It�s no wonder why buying or selling a home is often emotionally charged and potentially overwhelming.

That�s why I created this report. Regardless of your reasons for selling, your goal is to sell your home for the most money, and in the shortest amount of time. And for the least amount of hassles and distractions.

Unfortunately, The Way Many Sellers Go About Selling Their Home Leaves Them Wide Open To The Very Problems They�re Trying To Avoid .

When you�re getting ready to put your property on the market, there are a number of things to think about, to prepare for, and to organize. Here�s a list of seven costly pitfalls to look out for when selling your home:

Mistake #1: Failing to DRESS Your Property For Sale

Buyers look for HOMES, not houses. They buy homes in which they FEEL they would like to live. One of the major factors in getting your home to sell quickly is very simple: MAKE IT FEEL LIKE �HOME.�

Most buyers select their home based on EMOTIONS. Once their decision is made to buy, they justify their purchase with LOGICAL reasons: facts and features. So, it�s most important to make your home appeal to all senses. Your property is NOT the only home the buyers will see. You are competing with other homes in the market, and some of them have been professionally decorated.

The Way You Live In A Home, And The Way Your SELL A Home Are TWO Very Different Things

When you�re showcasing your home for sale, it�s going to look very different from the way it looks when you�re living there. Here are a few tips for showcasing your home for sale:

• First impressions set the tone for a buyer visit, and they�re LASTING! Approach your home in your car like any buyer would. Examine the outside as you�re approaching. How does it look? Are shrubs away from the home? Oil in the driveway? How does the grass and landscaping look? Cluttered looks detract from the architecture of the home. A clean, polished landscape says your home is valuable and well-maintained!

• Take a look at your actual home. Is the paint fading or chipping? Is the color outdated or impersonal? How does the roof look? As you drive up to or away from your home, what do you see first?

• Now go inside just like a buyer would. You want to be aware of four senses: smell, touch, sight, and hearing. Go through room by room and test all four senses. Check flooring and carpet for stains and odors.

Most importantly: Pack away all appliances, get rid of excess furniture, put away useless dishes, and make your home neat and orderly. If you�ve ever visited a model home, you�ll notice it�s clean and uncluttered. You have to move anyway, so you might as well pack early, and make your home more saleable. Go to the garage and make sure it�s neat.

• Hire someone to professionally clean your home. Top to bottom! Cleaning and cosmetic fix-ups, especially in the kitchen, bathrooms, and master bedroom can many times yield you up to $10 in extra sales price for every $1 you invest.

• Pets should be out of sight (and smell!). Get rid of pet odors for showings. Remember the four senses. Also, some people are uneasy around pets, and they may distract attention from the features of your home.

• Pay particular attention to lighting. During the day, open all your blinds and curtains. If it�s cloudy out, turn on all lights for showings. At dusk, leave your front drapes open and turn on all the lamps and lights.

At night, do the same, but close your blinds and curtains. When showing your home, turn off all appliances, television, radio, and anything that will distract attention from your home. You might want to play a little light music to enhance the emotional experience for your buyer.

Mistake #2: Pricing Your Home Incorrectly

Every seller wants to realize as much money as possible when selling their home. The natural inclination is to price the home high, thinking you can always come down in the future.

But a listing price that is too high frequently nets the seller LESS money than an original price at market value. Why is this? Because people looking for homes in your price range will reject your home in favor of other homes in a reasonable price range.

And here�s the real clincher: Agents who would readily bring buyers through your home will automatically cross it off their showing schedule because it�s priced too high. They�re only motivated to show homes with the highest probability of selling. Agents simply will not show overpriced homes because they work by commission. They know market values because it�s their job to know. And they don�t want to waste their time.

So you price your home high, thinking you can come down. Problem is, the agent and buyer community don�t look at it that way. They see it as an overpriced home. After a few months go by, eight or 10 open houses, signs, agent tours�and not a nibble. So you decide to lower your price again. But it�s too late�your home has already been �branded� by the agent community. So you reduce your home a little more. And little happens.

Finally, in order to attract attention back to your home, you�ve reduced your home price more than you ever thought you would, and you�re now netting much less than if you had priced it correctly in the beginning. And think about this: The money you lost is not just the lower sales price, but all the extra interest you paid on your mortgage�all the extra property taxes and other carrying costs that accrue while your home is waiting to sell. I�ve seen it happen time and again!

Real Estate Fact: The Seller Is Solely Responsible For
How Much, And How Quickly Their Home Sells!

Overpricing almost always increases time to sell, and adds to your carrying costs. That�s why I provide a complete, no obligation evaluation of your home.

Unlike many agents who will give you an inflated value just to seduce you to give them your listing, I�ll give you a real world home value analysis. Based on verifiable facts and figures. I�ll also physically inspect your home to identify those areas where spending small amounts of money may yield many times return in sales price.

I�ll be straight with you, and tell you precisely why it�s worth what it�s worth. I�ll also show you how to net more money in your home sale. Here are a few more areas my exclusive Home Marketing Plan can help you sell your home:

• How to set the asking price to maximize exposure and a profitable sale.
• How do you really define and compare market value between homes?
• How the total market performance may affect your home sale � positive or negative.
• How to protect yourself from crime when selling your home.
• How to handle buyers during a showing to help yield the highest price.

Once you understand these important issues, you�ll know how to price and sell your home for the fastest, most profitable sale. Also, with this information, you�ll never pay too much for any home you buy for the rest of your life.

Mistake #3: Limiting The Marketing Exposure Of Your Property

The most obvious marketing tools everyone uses (Open Houses and classified ads) are only moderately effective. Successfully marketing of your home (getting the highest price, at the right time, and with no hassles and problems) requires much more.

Surprisingly, less than 1% of homes are sold at an open house. Agents use open houses to attract buying prospects, not to sell your home. And advertising studies show that less than 3 % of people purchased their home because they saw it in an ad.

That�s why the most competent agent will have a broad spectrum of marketing activities, emphasizing the specific strategies that will work best for YOUR particular property or area. In fact, I use an unprecedented customized Step Marketing Plan in selling your home. If you like, I would be happy to share every one of those strategies with you at your convenience.

ONE MORE THING� Did you know that most home inquiry calls come in during business hours when agents are away from their offices? That�s why if I�m not in the office, I have a highly trained staff of experienced assistants who can take those calls, and respond immediately.

This way, your home is NEVER put �On Hold� or a showing is delayed for a single minute when a hot inquiry surfaces.

Mistake #4: Thinking Your Appraisal Is The Market Value Of Your Home

An appraisal is an opinion of value for an entirely different purpose than selling your home. Usually an appraisal is to provide a bank or mortgage institution information to fund a loan. If a lender is motivated to loan you money, his appraisal may come in higher than the true market value of your property. The appraiser might ignore other issues in his analysis, such as foreclosures in the market or distressed sales.

When a buyer looks at a home, they look at all the factors: foreclosures, distressed sales, bankruptcies, divorces, and area fluctuations. Don�t make the mistake of thinking the �appraisal� value of your home is what a diligent buyer would pay.

If you like, I will provide you with ALL of the information you need to make a competent, reliable market value for your home. I�ll research your area, gather specifics on recently sold homes, discuss trends, and answer questions you have about the value of your home with market facts, not opinions.

Mistake #5: Not Understanding Your Rights And Obligations

Real estate law and regulations can be very complex. When you sign a contract for the sale of your property, it�s a legally binding document. An improperly written contract can create many problems for you: a sale could fall through, cost you thousands in forced repairs, inspections, and remedies for items included or excluded in the purchase offer.

You must understand what repairs and closing costs you are responsible for in a contract. And you must know whether the property can legally be sold �as is,� or how deed restrictions or local zoning will affect your transaction.

You also need competent review of your title, and whether or not your property is in conflict with local restrictions or laws. If you have to remedy these items yourself, you can spend thousands on legal bills, fines, contractors, and other costs. Using a competent Realtor up front can help identify and avoid these issues before they become �problems.�

Mistake #6: Signing A Listing Agreement With NO WAY OUT!

Just about every agent has good intentions about helping you sell your home. But situations and circumstances change. The agent might have personal problems, or simply decide to retire or get out of the real estate business.

Or other situations may arise where the agent isn�t doing his or her job as you expected. The home may not be getting the exposure you desire. Or perhaps you haven�t heard from your agent in six weeks!

What do you do now?

When this happens, you should have the right to fire your agent. But the listing agreement you signed is with the BROKER, not the agent. If you�re unhappy, the broker may assign your home to another agent � someone you neither personally selected, nor do you want. But you�re stuck with him or her until the listing agreement expires. And that can cost you a lot of money!

Always protect yourself by: 1) carefully selecting the right agent, and 2) make certain that in a �worst case� situation, you have the flexibility to modify or cancel your listing agreement.

That�s why I offer a compete 100% Guarantee of my services. I place my priorities with yours � to do everything possible to sell your home for top dollar, as fast as possible, with no hassles or headaches. If at any time you�re unhappy with my services, please let me know. If I cannot rectify the situation, you can FIRE ME. No questions asked. Ask any other Realtor to match my guarantee. You�ll find most get very uncomfortable when you put their feet to the fire to perform.

Mistake #7: Selecting The WRONG Agent

Do you remember the old riddle that goes, �What do you call the person who graduated dead-last in their medical school class?�

Answer: �DOCTOR!�

Well, it�s the same with real estate professionals. Someone with vast experience and extraordinary professionalism usually costs the same as someone with little or no experience, or with compromising standards. You need to know how to tell the difference up front.

Bringing competence and experience into your transaction may mean the difference between a higher negotiated sales price and losing money, selling in less time or in more time (costing you potentially thousands in added interest), and experiencing problems and hassles or a problem-free transaction.

Our community is loaded with Realtors who are WRONG for you, your area, and your home. Some agents are in business part-time for a little extra cash. Others are subsidizing other businesses or careers. And then there�s your �cousin Harry,� who you may feel obligated to because he �really needs your business.�

Selling your home is probably the most important financial transaction you will ever make. That�s why I take my business so seriously. It�s also why I have developed customized home marketing programs meant specifically for your situation.

WHY ME?

Here�s why you should consider my services to market your home:

• I have a full-time assistant, a full-time marketing specialist, two offices, three computers, a cellular phone on me at all times, a dedicated fax, and a top rated website at www.billiechubb.com to name a few!

I�m not telling you these things to impress you, but to impress UPON YOU the difference between agents who simply �sell� real estate, and those who COMMIT to whatever it takes to serve a client beyond their expectations!

• I�ve been in real estate for 19 years, and sold over $150 million of homes. I am intimately familiar with New Castle and Chester County, and specialize in selling homes for more money and in less time then the average agent.

• I am a full-time Realtor. I am well-educated. I have a complete resume for your review, and make it a priority to educate YOU on every aspect of your transaction.

• I have a list of references, past clients, and professional associations you can call at any time to discuss the quality of service I have provided to other people just like YOU.

• I have developed an EXCLUSIVE marketing plan that is unequalled by anyone in the business. I do this because my dedication to selling your home is also unsurpassed. There�s no other way I can live up to that expectation without extraordinary marketing capabilities.

• I have specifically designed marketing tracking systems for every home I sell. I also have specific update systems so you are fully aware of ALL activity and progress updates on your home on a weekly basis. You will NEVER feel out of touch with me!

• I guarantee everything I do! If you�re not happy with me, you may fire me. This places the burden of risk to perform on ME, not you.

• I have references for reliable title companies, escrow companies, financing sources many agents are clueless about, insurance companies, inspectors, attorneys, and others directly relating to your transaction. If you choose to use any of them, you won�t be dealing with arbitrary people. These are professionals I have used personally in other transactions.

• Each day, I am in contact with over 80 people directly related to real estate buying or selling. This allows me to create a communication link of properties to people.

• Most importantly: I generate over 80% of my clients through referrals alone. I do very little traditional marketing. Instead, I focus 110% of my efforts into providing such outstanding service, my clients are inclined to refer my services to family, friends, and acquaintances.

On the surface, it may seem there are many Realtors from which to choose. But just because there are lots of Realtors out there doesn�t mean they can all do the same job for you.

All Real Estate Professionals Are NOT The Same!

• It would be a pleasure to conduct a thorough valuation of your home, based on real world facts, in a EASY to understand format. You won�t get any inflated values just to pressure you into listing with me.

And you won�t get anything like �I have a buyer right now who�s interested in your specific home, and if you list with me, I�ll bring him by right now.�

With me, you�ll get NO pressure. No arm twisting. Just a real world, honest, fact-filled analysis.

• I�ll tour your home to identify items that could negatively affect your selling price. As I mentioned earlier, many of my findings could bring as much as $10 in extra sales price for every $1 you invest. By the end of my tour, you�ll have a checklist of strategies designed to �position� your home to sell for the most money possible.

• I�ll share with you my Exclusive Home Marketing Plan. My plan will give you insider secrets on how to promote your home properly, how to handle buyers, how to avoid crime, and much more.

• PLUS, I guarantee everything I do. If any other agent won�t guarantee their services, ask them why? You�re staking the successful sale of your home on their abilities, why shouldn�t they stake their commission the very same way? I place my priorities in the same place as yours. We�re in this together!

• When selling your home, the LAST thing you need is added pressure. That�s why I�ll answer all of your questions. And give you one less thing to worry about during these hectic times.

Sincerely yours,

Billie Chubb

Chubb Realty Group
Remax Associates
302-478-6425 / [email protected] / www.billiechubb.com

P.S. Once you have read this report completely, make a list of areas you would like to discuss. Call me at 302-478-6425 to schedule your Home Value Audit. My exclusive audit could save you thousands of $$$�s! And it�s Free, and without obligation. So before you get distracted, call now!

Home Seller�s Guide To Moneymaking Fix-Ups

Here�s An Informative Guide To Help You Realize The Most Profit From Your Home, And Avoid Costly Repair Rip-Offs.

�Homes That Sell The Fastest,
Also Sell For The Most Money�

Dear Friend,

Do you see that quote above? Whether you know it or not, it�s true. Very true!

There�s a little-known dynamic in real estate that can dramatically affect the successful, top dollar sale of your home. See�that statement all boils down to the fact that�

The Elements That Motivate A Fast Home Sale�
Are The Same Elements That Sell Homes For Top Dollar

Each year thousands of homeowners needlessly lose thousands of dollars when selling their home. But they don�t lose the money for reasons you might think. They lose money because they unknowingly left it on the table�for the buyer to pocket�by failing to recognize the hidden profit potential of their home.

And those hidden profits exist in two areas.

First, most homeowners never discover that certain small, even inexpensive repairs to their existing home could generate many times their cost in additional home value. But on the other hand, other repairs and improvements can cost you dearly. It�s critical to know what repairs and improvements to spend money on�and which ones to leave alone.

Second, when many savvy homeowners decide to make profitable repairs before selling, they expose themselves to the ruthless world of contractors and their potentially-deceptive schemes that drive up the costs of home repairs.

Between not knowing what to repair for maximum profit, and dealing with the world of contractor schemes, it�s easy to understand how you might become overwhelmed with the whole process. But don�t despair.

That�s Why I Created This Helpful Report

In the following pages, I�m going to reveal to you exactly what areas make sense to fix and what areas to leave alone�not using �opinion,� but real world facts. Then, I�m going to give you a �behind the scenes tour� of the games some contractors play when fixing your home (by the way, not all contractors are sinister � I know many with stellar reputations).

This way you�ll be armed to the teeth with knowledge and strategies to stay one-step ahead of the game�and maximize the value of your home when you sell.

So let�s get going�

How To Select Home Improvements That Pay Dividends

Generally speaking, there are two ways to go about home improvements. You�re either going to splurge on your home because it�s your palace and you simply want a beautiful place to live, OR, you�re going to take a more logical, pragmatic approach designed to increase your home�s value.

Problem is, you�ll never achieve both. In fact, many homeowners expose themselves to the very problems they�re trying to avoid in the process of home fix-ups.

Take Carol and Tom Jenkins, who four years ago purchased a home for $190,000. Since buying their home, they�ve spent over $60,000 fixing it up and making it the �perfect� place to live. A few months ago, they put the home on the market at $270,000. The best offer they received was only $235,000.

Their mistake? Spending money on amenities and features that were ancillary to the value of the home.

Just because you spend $30,000 on the fix-up of your home doesn�t mean you�re going to get it out when you sell. It doesn�t automatically make your home worth $30,000 more. And that�s exactly why you need to know which fix-ups pay off big, and which ones will cost you potentially thousands of dollars.

Let�s take a look at the most common areas of fix-up�

Painting Your Home

Time and again, painting proves to be one of the most basic, yet most profitable of home fix-ups. There�s virtually nothing a coat of paint won�t fix, especially if you plan to sell your home within a few years.

According to the National Association of REALTORS, professionally painting the exterior of a home costs an average of $3,250, and recoups nearly 100% of its cost. But that�s not the profitable part of painting.

Studies also show that painting the exterior has a meaningful effect on reducing the time to sell. And reducing time to sell means you�re saving potentially thousands in interest, taxes, and other overhead costs required to maintain your home and mortgage during the �for sale� period.

Rather than spending money on less visible �infrastructure� issues of your home, you�re frequently better off fixing the cracked front steps and painting the entry and front door.

Kitchen Fix-Ups

Here�s an area that can mean serious profit when selling your home. Even small, basic improvements to your kitchen can pay big dividends. For most buyers, the kitchen is the heart of the home. And that means it has the greatest profit potential. Here are a few suggestions for improving your kitchen without investing tens of thousands in remodeling costs.

In the short term, consider changing floors, cabinets, and fixtures. Consider sanding, staining, or painting dingy looking cabinets. Replacing old cabinet hardware (a low-cost improvement) can make a huge difference in appearance.

Look at your counter tops and other surface areas that draw the eye. Also, look at the kitchen sink and fixtures. If they�re old and worn, replacing them with contemporary fixtures and a new sink can make a world of difference�not just in aesthetics, but in hard dollars.

In some cases, spending $4,000 on a cosmetically outdated kitchen can add as much as $15,000 in extra value of the home.

Adding New Space

Generally, improvements that increase the functional space of a home are good profit centers. For example, one homeowner had a storage area that was accessed from the outside, and bordered the laundry room. The homeowner knocked out the wall in the laundry room to the storage area, eliminated the outside door to the storage area, and added over 100 more square feet in storage and useable space, which is now accessed from the inside, not the outside.

The repair, which cost only about $1,500, increased the home value an estimated five times its cost to perform.

Converting an attic into a bedroom suite can instantly make your four bedroom home a five bedroom home, and a much greater value. Waterproofing and improving a basement for additional storage (a job that costs about $3,000) can recoup well over its cost once the house goes on the market.

Look around your home for areas that can easily be expanded, refurbished, and functionally added onto to increase the number of bedrooms, baths or useable square footage, and you�ve found a great profit center.

Enclosed Decks And Patios

Most outside improvements don�t fare well from a profit standpoint, but here�s a great way to increase the overall square footage of your home and its value. Consider installing a redwood deck or enclosed patio off a living area.

This not only increases the aesthetics of your home, but its usability.

Decks and patios can range in cost between $4,000 to over $8,000, and in most cases recoup at least 90% of their cost in extra home value � especially if you�re going to be living in the home for a few years.

Adding An Extra Bathroom

According to Remodeling Magazine�s 2003 survey, adding an extra bathroom will, in most cases, pay for itself. The average cost of a bathroom addition is about $11,000, which includes all the trimmings � marble vanity top, molded sink, ceramic bathtub and commode, and custom tiled shower.

Here�s another profit-pointer: a second bath to a home will add more value to a home than a third bath. And when adding baths, make sure you use skylights, windows, and other ways to bring in the natural light.

Now, here are a few areas you want to avoid�

Replacing Windows And Doors

Even replacing windows and doors with energy-efficient models is generally a bad idea. According to the National Association of REALTORS, investments in windows and doors will return only about 36% to 53% of their cost, while $1,280 worth of caulking and insulation can return over 71%.

If your windows are old and leaking, however, you should replace them. Consider using standard size windows, rather than custom cut models. The savings in your utility bill might pay for them alone. �The minute you get into customizing windows, with fancy shapes, bays and bows you can�t see from the street, you�re throwing your money down the drain,� says William Eccleston, a broker in Coventry, R.I.

Standard, lower-priced, double-hung windows are usually your best bet. But all that depends on the neighborhood in which the home is located. In more pricey neighborhoods, buyers may spot windows and doors replaced �on the cheap.�

When people look at $150,000 homes, they ask, �Are those Thermopane?� When people look at $300,000 homes, they say, �Are those windows Anderson or Pella?�

Swimming Pools

Swimming pools have different value levels depending on what part of the country they�re located. The Sun Belt climates tend to place a larger value on pools simply because of the number of days they can be used out of the year.

But in either case, there�s generally little resale value. The main reason pools turn-off more buyers than they attract is that they require expensive, time-consuming upkeep. Running a close second is the fear of liability by having a pool. Pool accidents are a quick way to wind up in court as the subject of a negligence suit.

The verdict? Be very careful before you go spending money on a new pool. If you don�t live in the Sun Belt, you could end up losing tens of thousands of dollars when it comes time to sell your home.

Gardens, Walls, and Fences

Fancy gardens and extensive landscaping are generally another big loser. The same goes for big walls and fancy fences. Homeowners can spend tens of thousands on making the grounds of a home beautiful, but rarely get their money out. Why?

Because unless you�ve got a horticultural buyer looking at your home, most buyers look at the required time and money to maintain lavish landscaping. However, that�s not so say that your home shouldn�t have pleasing grounds. The same situation can work against you if your home is perceived as the �weak link� of the neighborhood because of its landscaping.

The secret is to make your landscaping compatible with other homes in your area. If that requires spending a little money, so be it. But don�t expect to get it out from the sale price.

Functional an Structural Improvements

Here�s a sad paradox: Many of the improvements that have the most value for you as a homeowner end up being the worst-performers as far as resale value is concerned. And usually those improvements are from a functional or structural standpoint.

For example, adding a new plumbing system, or putting in a new air conditioning system or furnace will definitely make your life in your home more comfortable, but they�ll fail to recoup their costs in added home value � again, unless you live there for some time.

Unfortunately, when certain functional items fail, you have no choice but to fix them. This includes water heaters, HVAC units, plumbing, and foundational problems. But be careful where you spend your hard-earned dollars. As the saying goes, �If it ain�t broken, don�t fix it.�

How To Dodge Repair Rip-Offs When Improving Your Home

Now, by this point you�ve probably identified a number of areas you could improve on your home and start reaping extra dollars in value. But there�s still another hurdle to overcome. And it�s an important one.

Each year hundreds of thousands of consumers complain to their state�s attorney general about home repair rip-offs. The National Association of Consumer Agency Administrators says home repairs are second only to car repairs on the nation�s �rip-off� list.

Here�s the inside story on the most common games played, plus a number of tips to help you avoid becoming another contractor victim.

Selecting Painters

The key to a great paint job isn�t necessarily in the painting, but in the prep work. And this is the area where you�re going to either get �taken� or get a great job. If you own a two or three story home, it�s difficult to climb up a ladder to make sure every inch has been properly scrapped, sanded, patched, and primed.

But taking the time and effort may pay off big dividends. Here are a few tips to make sure you�re getting your money�s worth out of your painter:

• Verify that all priming and preparation has been done. Ask your painter to use a different color of primer paint than the current or finish paint color. For example, if your current paint is white, ask him/her to use a light-gray primer.

• Get a detailed on-site estimate to avoid unpleasant surprises. You don�t need to go through three estimates for the same job. Just get two estimates if they�re in the same ballpark. But make sure they�re detailed so you know what you�re paying for.

• Don�t scrimp on paint. Get good quality paint, even if you can only afford a single coat. But don�t buy the top of the line either. Your best bet? Select a paint that�s one-step down from the top-of-the-line premium paint.

• Remember that painters do better on paint prices than you will. Frequently called a �contractors price,� your painter can, for example, buy paint at $22 a gallon and resell it to you for $25. Even with the mark-up, that�s still a better deal than if you bought it for retail at $28. Make certain to ask your painter how his/her paint pricing works.

• When evaluating exterior painters, ask for addresses of homes they painted about five years ago. Then go look at them. A good paint job should last about seven years. At five years, you�ll see just the beginning of paint wear around the eaves and gutters.

• Remember, no matter how much you haggle with potential contractors to lower their bids; they still need to make a living. You can push too hard. If you pressure painters into lower prices, this only means they have to find cheaper labor to do the job. And cheap labor means a shoddier job. Either way, you generally get what you pay for.

Selecting Plumbers

Here�s the �inside scoop� on plumbers: you won�t pay much for the �parts� they use; they make their money on labor and �mobilization charges.� Frequently plumbers will charge you a minimum of one hour regardless of how much time they spend actually doing the work.

So if you�re paying a plumber a minimum fee just to show up anyhow, why not ask him to do other work involving plumbing: fixing disposals, pool or lawn sprinkler work, leaky faucets, or washers that need replacing. Use up the minimum he is going to charge you anyhow with fix-up projects.

Plumbing problems are very difficult to estimate. To help you in the process, here are a number of tips to consider:

• Explain your job or problem over the phone, then ask how they will fix it, how much it will cost, and when the work will start and complete. And here�s an important tip: if you live in an affluent neighborhood, do NOT give your phone number or address until AFTER you�ve been quoted a price. Some plumbers mark up prices up to 50% more when they learn you live in an affluent neighborhood.

• Seek out �border bids� from tradesmen from not-so affluent neighborhoods nearby. Frequently you�ll find plumbers in a neighboring town may charge less than the tradesmen nearby.

• If a highly recommended plumber has no idea about a job�s cost, negotiate a flat rate for him to inspect the problem and give you a quality bid.

• When dealing with tradesmen who charge by the hour, ask if travel time is also included on the clock.

• Check for shoddy work or ways in which your plumber will try to boost their profit margins at your expense. For example, some will use a �-inch pipe instead of �-inch, which means that in bathrooms where there�s a shower, your toilet may not flush correctly. Or if a plumber uses L or K grade copper piping, you can expect a five to 10 year life as opposed to M grade piping which lasts 15 to 20 years. And some plumbers use plastic pipe, which is inexpensive but noisier and less durable than metal. Make sure to ask your plumber what he�s using before he starts his work.

• If you suspect your plumber is overcharging you for materials, go out to Home Depot or a plumbing supply house and get a price on the same materials. Even if they don�t sell directly to consumers, you can still check the price tags.

Selecting Electricians

Electricians register the fewest complaints from consumers, probably because they have the most stringent national standards to meet. Before hiring an electrician, make sure he/she is a member of the National Electrical Contractors Association or a local electrician�s trade union.

You should also check (along with all tradesmen you consider) that: 1) he�s licensed and insured; 2) he has no complaints with the Registrar of Contractors in your area; 3) he�s driving a truck or van with a painted-on sign and logo; and 4) he�s willing to write you an estimate on his own printed invoice, which should reveal a street address rather than a post office box.

If you�re looking for an affordable electrician, consider checking your local Pennysaver publication. You can also drive by new housing developments, since builders try to find the best deal when building their homes.

But electricians can easily rip you off on parts. A cheap electrical switch costs your electrician 29 cents compared to $2 for a longer lasting one. When getting parts from your electrician, make sure he�s using �specification grade or better� products � a standard set by the National Electrical Manufacturers Association.

Selecting Roofers

State attorneys general have their files stuffed with stories of roofers who ripped-off consumers and skipped town.

If you�ve got a leaky roof, chances are it�s a flashing problem. This is the material, usually copper or galvanized steel or aluminum, that joins your roof to the chimney with a black sticky substance called asphalt cement. If you need flashing fixed, plan on spending about $30 to $50 per hour to have it fixed correctly.

Be wary of the roofer who gazes up at your roof and announces �your roof is 15 years old and it�s gonna leak soon if you don�t replace those shingles.� The only way to determine whether or not you need a new roof is to get up there and look. Worn out shingles, which have lost their oil and thus water repellency, look brittle, curl up at the edges, and often crumble into powder when broken.

A new asphalt shingle roof should cost $30 to $50 per �square� (a roofer�s square is 100 square feet), depending on the quality of the shingles and the slope of your roof. A shingle roof should last 15 to 20 years.

If you plan to move out of your home soon, you might want to consider a �second coat� of shingles. This will avoid having to strip off the first layer, and should save you about 20% in labor.

Selecting HVAC Specialists

The most common rip-offs with HVAC (acronym for �Heating, Ventilation, Air conditioning, and Cooling�) include substituting used parts for new ones and replacing parts that simply don�t need replacement.

The solution? Always ask to see the old or broken parts before they�re replaced and examine the packaging and documentation of any new parts that are used.

And here�s another tip: try to have any HVAC repairs performed off-season. Air conditioning and heating work is up to 10% less expensive during the off-season.

Also, stay away from extended payment plans. There�s no free lunch and it�s assured you�re paying for the costs of money somewhere in the job. And if you buy a service contract, make sure your contractor details everything that will be performed under the contract, and he has the most up-to-date equipment to do the job.

And if you need to replace an air conditioner or furnace, eliminate the bidder who estimates the job off-the-cuff, without measuring your windows, asking what type of insulation you have, looking at the direction your home faces, and then plugging all this information into a form or computer called Manual J. This calculates heat loss and gain of your home, and ensures the correct size air conditioner or furnace.

Should You Get A Written Contract?

Written agreements certainly help keep a tradesman to his word, so long as they�re detailed enough. But a piece of paper doesn�t protect you from getting ripped-off.

If you get �duped� by a licensed contractor, you can complain directly to your local Registrar of Contractors or other local or state licensing board, and request a hearing or arbitration. If you�re dealing with an unlicensed tradesman, your regional Better Business Bureau may help in arbitrating the situation, but if the contract was large enough, you may be forced into the courts for satisfaction.

Whether or not you get a contract, make sure at the completion of work you receive a written statement stating all work performed has been paid in full. Or, better yet, when you submit your final payment, write that statement in yourself and ask the tradesman to sign it as well.

How To Get Expert Advice And �Hand Holding� Guidance
In Getting The Most Value Out Of Your Home�

There�s no question about it, getting top dollar out of your home can be tricky. One false move can cost you thousands.

That�s why I created a proprietary program meant specifically for homeowners looking for a fast, top dollar sale. I call it my�

Maximum Home Value Audit�

And it�s completely different from what any other real estate agent can provide for you.

If you�re considering selling soon, here�s what I�ll provide for you, absolutely FREE, and without obligation whatsoever:

• I�ll conduct a careful, thorough valuation of your home, based on real world facts, in a EASY to understand format. You won�t get any inflated values just to pressure you into listing with me.

And you won�t get anything like �I have a buyer right now who�s interested in your specific home, and if you list with me, I�ll bring him by right now.� With me, you�ll get NO pressure. No arm twisting. Just a real world, honest, fact-filled analysis.

• I�ll tour your home to identify items that could negatively affect your selling price. As I mentioned earlier, some of my findings could bring as much as $5 in extra sales price for every $1 you invest. By the end of my tour, you�ll have a checklist of strategies designed to �position� your home to sell for the most money possible.

• I�ll share with you my Top Dollar Marketing Plan. My plan will give you insider secrets on how to promote your home properly, how to handle buyers, how to avoid crime, and much more.

• PLUS, I guarantee everything I do. If any other agent won�t guarantee their services, ask them why? You�re staking the successful sale of your home on their abilities, why shouldn�t they stake their commission the very same way? I place my priorities in the same place as yours. We�re in this together!

When selling your home, the LAST thing you need is added pressure. That�s why I�ll answer all of your questions. And give you one less thing to worry about during these hectic times.

Incidentally�do you remember the old riddle that goes, �What do you call the person who graduated dead-last in their medical school class?�

Answer: �DOCTOR!�

Well, it�s the same with real estate agents. Someone with vast experience and extraordinary professionalism usually costs the same as someone with little or no experience, or with compromising standards. You need to know how to tell the difference up front.

Bringing competence and experience into your transaction may mean the difference between a higher negotiated sales price and losing money, selling in less time or in more time (costing you potentially thousands in added interest), and experiencing problems and hassles or a problem-free transaction.

Our community is loaded with agents who are wrong for you, your area, and your home. Some agents are in business part-time for a little extra cash. Others are subsidizing other businesses or careers. And then there�s your �cousin Harry,� who you may feel obligated to because he �really needs your business.�

Selling your home is probably the most important financial transaction you will ever make. That�s why I take my business so seriously. It�s also why I have developed customized home marketing programs meant specifically for your situation.

BUT�WHY ME?

Here�s why you should consider my services to market your home:

• I have a full-time assistant, a full-time marketing specialist, two offices, three computers, a cellular phone on me at all times, a dedicated fax, and a top rated website at www.billiechubb.com to name a few!

I�m not telling you these things to impress you, but to impress UPON YOU the
difference between agents who simply �sell� real estate, and those who
COMMIT to whatever it takes to serve a client beyond their expectations!

• I�ve been in real estate for 19 years, and sold over $150 million of homes. I am intimately familiar with New Castle and Chester County, and sell homes for more money in less times then the average New Castle County agent.

• I am a full-time Realtor. I am well-educated. I have a complete resume for your review, and make it a priority to educate YOU on every aspect of your transaction.

• I have a list of references, past clients, and professional associations whom you can call at any time to discuss the quality of service I have provided to other people just like YOU.

• I have developed an EXCLUSIVE marketing plan that is unequalled by anyone in the business. I do this because my dedication to selling your home is also unsurpassed. There�s no other way I can live up to that expectation without extraordinary marketing capabilities.

• I have specifically designed marketing tracking systems for every home I sell. I also have specific update systems so you are fully aware of ALL activity and progress updates on your home on a weekly basis. You will NEVER feel out of touch with me!

• I guarantee everything I do! If you�re not happy with me, you may fire me. This places the burden of risk to perform on ME, not you.

• I have references for reliable title companies, escrow companies, financing sources many agents are clueless about, insurance companies, inspectors, attorneys, and others directly relating to your transaction. If you choose to use any of them, you won�t be dealing with arbitrary people. These are professionals I have used personally in other transactions.

• Each day, I am in contact with over 80 people directly related to real estate buying or selling. This allows me to create a communication link of properties to people.

• Most importantly: I generate over 80% of my clients through referrals alone. I do very little traditional marketing. Instead, I focus 110% of my efforts into providing such outstanding service; my clients are inclined to refer my services to family, friends, and acquaintances.

On the surface, it may seem there are many real estate agents from which to choose. But just because there are lots of Realtors out there doesn�t mean they can all do the same job for you...

Sincerely yours,

Billie Chubb
Chubb Realty Group
Remax Associates
302-478-6425 / [email protected] / www.billiechubb.com

P.S. Once you have read this report completely, make a list of areas you would like to discuss. Call me at 302-478-6425 to schedule your Home Value Audit. My exclusive audit could save you thousands of $$$�s! And it�s Free, and without obligation, pressure, �pitches,� or games. So before you get distracted, call now!

Secrets For Selling Your Home For Top Dollar With or Without A Real Estate Agent

How To Sell Your Home For The Most Money The Market Will Pay, AND On Your Terms And Time Frame�

There�s No Such Thing As �Luck� In Real Estate!

Dear Homeowner,

Do you remember the good old days, when anyone could sell their home at any time and make thousands�perhaps tens of thousands in profit?

Maybe you do or don�t. But I do.

Even though today�s financing programs make it easier than ever to buy a home, times have changed. Buyers are more sophisticated. They�re more discriminating in what they buy. And they�re more skeptical.

Today, they have information sources available�like the Internet�that simply weren�t available five or 10 years ago.

No question about it�the �easy sell� days are over.

If You�re Trying To Sell Your Home Today
�With Or Without A Real Estate Agent�
You Could Lose Thousands Of Dollars, And
Take An Enormous Amount Of Time
If You Don�t Know What You�re Doing

That�s why I wrote this report. Every day I see home sellers lose money, and waste precious time because they make critical mistakes they didn�t have to make. Here are just a few�

• Not getting accurate information about how to price your home correctly.
• Not getting a �total picture� of the entire market before you start to sell your home.
• Selling your home in the 2000�s using the outdated marketing techniques and methods from the 1980�s and 1990�s.
• Trying to add costs of home improvements on top of your sales price.
• Not understanding how to �dress� your home, so it shows like a model home, and commands top dollar.
• Using worn-out, ineffective �image� advertising to promote your home.
• Opening yourself up to crime by not tracking visitors to your home.
• Hiring a real estate agent who tries to sell their �multi-million dollar producer� pitch instead of demonstrating skill and proficiency in marketing homes.
• Letting a real estate agent seduce you into their services by promising you an over-inflated sales price.
• Not having bridge financing or other contingencies if you are on a time deadline.
• Hiring anyone who isn�t willing to educate you on a systemized approach to selling your home�AND can back up their analysis with FACTS, not opinions!
• Not understanding whether you should sell your home yourself. (It may be to your advantage to go it alone, OR it may save thousands, and end countless headaches to use a REALTOR �.) How do you know?

There are many �old school� real estate companies that still believe all you need to do is put your home in MLS, pop up a sign, and the sellers will flock to your door. Or who say things like �we give you the highest level of quality, trust, integrity, and service.� (Isn�t that the least you should expect from an agent?)

Or those agents who inflate your home�s value to �trick� you into listing with them. Or the ones who tell you, �I�ve got a buyer right now who would love your home, and if you list with me right now��

You Need To Watch Out For These Dinosaurs, Because As Well-Intended As
They May Be, They�re About To Cost You Thousands And Waste Your Time!

Selling a home today requires a total integrated approach many real estate agents are simply not aware of.

You should expect detailed FACTS�not simple promises, opinions, and fancy pictures. And you should expect straight answers, not �sales pitches� or other hype that seduces you to hire a company that boasts they�re �the biggest� or �the best.�

In fact, there are six important marketing steps in the home selling process YOU need to know about. We�re going to delve into each one right here, so you�ll know what you�re doing, and can receive Top Dollar proceeds for your home�whether you use a real estate agent or not.

Step #1: Understand What The TOTAL Market Is Doing, And Get The FULL FACTS.

One of the biggest mistakes people make when selling homes is they rely solely on �local neighborhood market analysis information� to determine the right price to list their home.

Your local real estate agent shows up with a �canned� analysis they took right off a computer screen. They typed in a few parameters, and out popped a report showing the homes that sold in your area.

They put it into a fancy folder with their �Colossal Real Estate Company� name on it, and try to pass it off on you.

In most cases, they didn�t view the homes. They didn�t call anyone. They don�t know WHY one home sold for $105 a foot, and another sold for $89 a foot. They don�t know how construction materials, siting, location, or other features have affected each home they just found.

In most cases, they simply haven�t taken the time to do their homework. They just average them all together and tell you that�s what you�re home�s worth.

Who are they kidding?!!

First and foremost, before you list your home for sale, INSIST on seeing a �total market overview� of exactly what is going on in the ENTIRE market. Then narrow your analysis to local market information.

Why do I say this? Because you want to know two things: 1) What is the ENTIRE market doing with values? Are they going up? And by how much? 2) What is the specific area doing with market values? How does it compare to what the total market is doing? Are the growth rates the same, lower, or higher than the overall market?

Next, insist on real world FACTS to justify the various sales prices of comparable homes. Was there a home that sold out of financial distress? A Divorce? If so, it�s going to affect how you price your home.

Was an add-on or remodel completed poorly? Was one of the homes on the best or worst lot in the subdivision? Is one made out of CMU (concrete masonry) compared with a frame/stucco home?

Understanding these parameters will save you thousands of dollars when you list your home for sale. I perform both of these analysis for my sellers, in an easy to understand format, so you know EXACTLY what your home is worth.

With real world FACTS, not opinions!

Step #2: Set The RIGHT Price For Your Home From

The Start

Every seller wants to realize as much money as possible when selling his or her home. The natural inclination is to price your home high, thinking you can always come down in the future.

But a listing price that is too high can be a disaster, and frequently nets the seller LESS money then they ever anticipated�even after paying a real estate commission!

Why is this?

Because buyers will reject your home in favor of other homes in a reasonable price range. And if that doesn�t frustrate you, think about this: Buyers will use YOUR home to compare and justify the purchase of a similar, but correctly priced home.

But the problem gets worse�

It�s a fact that 96% of all homes are sold by REALTORS �. So whether you sell your home yourself, or through a professional, you MUST be able to attract the REALTOR � community to your home.

Problem is, agents who otherwise would readily bring buyers through your home will automatically cross it off their showing schedule because it�s priced too high. They don�t make money showing homes�they make money SELLING them.

They know market values in your area. And if your home is priced too high, they�re not even going to waste their time showing it.

And word spreads with the agent community. If your home gets �branded� as overpriced, not only will agents NOT show it, BUT you�ll have to lower the price further than you ever expected�just to get them back!

Agents Simply Will NOT Show Overpriced Homes
Because They Work By Commission.
Showing Overpriced Homes That Will Never Sell
Means They�re Working For FREE

But we�re not out of the woods yet�

You see, your home is MOST valuable when it�s new on the market. And if you delude yourself into thinking you can price it high and come down later, you�re in for a big surprise.

Here�s what�ll happen: After months on the market without even a nibble, you or your agent will decide to reduce the price. Even with your price reduction, there�s still little activity because your home�s been �branded� as overpriced.

So after a while longer you decide to lower the price a little more. Now you�re pushing the limits on what you wanted to receive in the first place.

Finally, you start to get a nibble or two.

Problem is, your home has been on the market for months now. And when you finally receive an offer, you can bet your bottom dollar it�s going to be discounted further.

Why?

Because buyers usually want to know how long a home has been on the market before they decide how much to offer. And the longer your listing has been sitting unsold, the more desperate your home looks.

Like sharks smelling blood, buyers will see your home as prey.

And their offers are going to knock you over. But you�ll have little choice but to negotiate. You have no other options.

How could this all have been avoided?

By simply pricing your home correctly in the first place.

Homes That Sell Fastest Also Sell For The Most Money!

It�s a known fact: the very same reasons that make a home sell fast will make a home sell for the most money. Homes are best positioned to sell when they�re new on the market.

Here�s a little help for pricing your home. The first thing you need is VALID local market information. Take a look at homes that have sold in your area. Compare the price sold as a percentage of list price. This will help you get a feel for the average discount in the area.

Generally, your list price will be within 2.5 to 5 percent of what you expect the final selling price will be. But be careful!

The amount of discount should be dictated by real world FACTS from YOUR AREA, not some real estate agent�s guess on what he or she expects offers to come in at. If the selling market is hot in your area, there will be little or no discounting. There may even be bidding wars, and homes selling for more than list price.

On the other hand, if homes are not selling well, you will need to be flexible.

Next, DO YOUR HOMEWORK to determine what your home is worth. You don�t just use a CMA like many agents use. Do a total market analysis.

When you narrow down your area, you need to correct values for distressed sales, divorces, remodeled homes, and other events that affect the value of other homes that have sold.

Each factor (distressed sale, condition, siting, location, etc.) will add to or detract from the value of your home. And in most cases, the only person who can really give your this information is a GOOD agent�someone who has extensive experience valuing homes.

Notwithstanding all your hard work, in the end�

The MARKET Is the Only Determinant Of The VALUE Of Your Home

There�s an old saying in real estate: �Sellers are NOT the deciders of what their home is worth, but they ARE the deciders of how quickly their home will sell.�

The REAL value of your home is what a willing buyer will pay for it, and what you will accept. Nothing more. Nothing Less.

OK, so let�s say you�ve determined that the average discount on homes in your area is 2.5 percent of expected selling price. And sales information shows that your home is worth $300,000. To determine a list price that is within 2.5 percent, divide $300,000 by .975 (1.00 less .025 = .975). This gives you a list price of $307,000.

But remember this: Markets and the economy change. If interest rates rise by a point, people who could otherwise afford your home may not be able to any longer.

And this will ultimately affect the value of your home. So you may need to adjust your price over time. Stay on top of market events, both nationally and locally.

If the market�s declining, it�s best to discount your price up front. If the market�s rising, be prepared for full price offers, or even bidding wars.

Step #3: Calculate The NET Proceeds From The Sale Of Your Home.

Here�s a fact you need to understand up front: Never attempt to price your home based on what you �want or need� to net out of the proceeds.

If you spent $40,000 on a remodeling job that will only increase your homes value $30,000, you will lose $10,000. If you paid too much when you bought your home, and need to sell it within a year or two of buying it, chances are (unless your market is hot) you will lose money on your net proceeds.

I�ve seen these sad situations, but there�s little anyone can do about it.

Never Confuse The Difference Between Cost And VALUE

That said, however, you DO need to understand what your net proceeds will be from a sale of your home. And to calculate them, you need to consider five factors.

• Take the gross listing price of your home.
• Subtract the amount buyers will discount to arrive at sales price (Step #2 above).
• Subtract your estimated real estate commission.
• Subtract contingency costs and repairs/personal property stipulated in a contract.
• Subtract closing costs: appraisals, attorney�s fees, escrow and title fees, etc.

In many cases, the net proceeds can be as much as 10% or more off your listing price. And interestingly, this amount does NOT change even when sellers attempt to sell their homes WITHOUT a REALTOR �.

Guess what the first thing any buyer is going to do with a �For Sale By Owner?� They�re going to knock off the equivalent of the real estate commission you would normally pay anyhow. They hate the fact that you�re trying to pocket that money�and they�re going to fight over it.

Then they�re going to keep discounting based on other home and market criteria.

Before you know it, you�re back at the same place as if you used a professional. Only now, you�ve lost the resources a REALTOR � could have brought to the transaction�negotiation power, important home value information, market power, marketing resources�and much more!

So be careful. There�s a reason why 94% of all For Sale By Owners end up using a professional to market their home�It pays off in the net proceeds!

Step #4: Advertise And Market Your Home For

Maximum Exposure

I want to reveal four marketing secrets that can help you make thousands more profit from your home. And the first one is this� 

Purchase Decisions Are Emotional, Not Logical

Think about that. People never buy homes because of logical reasons. If they did, one four bedroom, two bath home would sell just like any other. But they don�t.

They don�t because people discriminate by nature. One home will always appeal to them over another based on their DESIRES.

They buy homes because of the FEELINGS the home gives them. Nearly everyone buys a home thinking of the LIFESTYLE BENEFITS they�ll get by living there.

Lifestyle benefits are the memories of watching your children play in a safe area. While getting a good education at local schools. Where your home is decorated as an extension of your individual personality. Where you enjoy Sunday dinner with the family, and Thanksgiving reunions.

It�s the place where you relax in your favorite hammock on Saturday afternoon. The place where you can hold summer barbecues under the shade of a beautiful Birch tree.

The place where you finally send your children off to college�and eventually off to live a life of their own.

Your house is NOT going to be evaluated as a �house.�
It will be evaluated for its potential to become a HOME.

So it�s important to recognize and appeal to buyer�s EMOTIONS when marketing your home.

Now, the second marketing secret you need to know about marketing your home is this...

Buyers Are Looking For A Bargain

And looking for a bargain is again, subjective. What one person sees as a bargain, another may see as overpriced.

Nevertheless, you need to �position� your home as �priced right� in the market�another reason to do your homework when pricing your home.

If you price your home right, you can promote it as such. Buyers clearly respond to promotions that state �priced to sell,� �a unique bargain at this price,� �act now, won�t last long at this price.�

And getting as many buyers to respond is your goal, right?

The third marketing secret you need to know about is this�

Buyers Are Attracted To Affordability

Affordability appears the same as a �bargain,� but it�s not�

Affordability relates to how inexpensively someone can live in your home�more to do with FINANCING than anything else.

What have you done to make your home affordable? If you�re selling your home without a real estate agent, are you willing to carry back financing on your purchase price? How EASY will you make it for a buyer to buy your home?

And if you use a REALTOR �, they should put together several financing �packages� with a local mortgage lender. This will make the home appear special, and affordable to buyers.

The fourth and final marketing secret you need to know is this�

The Best Way To Motivate A Sale Is To Create URGENCY

Have you ever noticed the dynamics of a bidding war?

Buyers are scrambling like lunatics to put in the highest offer in order to get the home they desire. But what�s really happening is the bidding war takes on a momentum of its own.

In other words, the mere shortage of the home makes people frantically WANT it. People naturally value what�s in short supply�what they cannot readily have. And what more could a seller want than a bidding war on their home!

But did you know that you can create the very same dynamic with YOUR home?

Anytime you want to increase the value of your home, or the overall demand, CREATE A SHORTAGE.

A shortage can be limited time, limited supply, or limited financing. Anytime you create a limit, you motivate people to act.

Very few real estate agents know about this, yet it�s one of the most important elements of successful marketing.

Successful Marketing Of Your Home Requires
A Complete, Systematic Approach

The four marketing secrets I mentioned above are very important. But to motivate a successful sale, you need to employ a systemized approach to marketing your home. There�s no ONE single method that will automatically make your home sell immediately.

Here�s a checklist of some of my Top Dollar Marketing Plan that I employ (Can�t let all my secrets out!). You�re welcome to use any of these elements to market your home.

• Submit your home listing for exposure to over 3,500 active agents in New Castle County via Multiple Listing Service databases.
• Present copies of your home listing to our company�s active agents who each day work with bona fide buyers.
• Provide you with PROVEN professional advice on dressing your home to show exceptionally well, and to sell for the highest possible price.
• Promote your home with the News Journal in the weekly Real Estate advertisements sections that targets specifically to home buyers.
• Create a custom color flyer of features and lifestyle benefits of your home for use by cooperating agents showing your home including references for buyers about home features, lot, utility and tax information, neighborhood benefits, schools, shopping, medical and other buyer advantages of your home.
• Maximize showing exposure through professional signage�ALSO specifically designed with proven strategies to motivate buyer calls.
• Enhance convenience of buyer viewing, yet maintaining security for you and your family by placing your home on a lockbox that tracks all agents that enter your home.
• Promote your home through public Open Houses.
• Promote your home by distributing color flyers and brochures.
• Educate you and your buyers on the numerous financing plans to make buying your home EASY!
• Suggest constructive changes to your home to make it more appealing�and a higher-priced sale more likely to interested buyers. Many of my suggestions can capture up to $10 for every $1 invested.
• Keep you educated and up-to-date on listing and selling market conditions in your area.
• Update you on all activity regarding your home: agent showings, open house attendance, agent tours, sign inquiries, etc.
• Promote your home through our Nationwide Sellers Network: RE/MAX is the largest real estate company in the world.
• Place your home with our exclusive www.billiechubb.com, which is consistently one of the first five sites to open when people key word our city. This way your home will have maximum exposure to newcomers to the area.
• Exposure to over 20 other real estate sites including Zillow.com, Realtor.com, Trulia.com, Harmonhomes.com, Homes.com, Yahoo.com and many more!
• Ensure your home security by tracking all home showing agents and the public using special sign-in sheets.
• Follow-up on all agent showings to answer questions and motivate interested buyers to purchase your home.
• Ensure than any offers from buyers are pre-qualified and capable of closing on the purchase �saving you time and money from unqualified buyers.
• Actively represent YOU in contract negotiations with buyers to help get the highest selling price for your home, and minimize any stress incurred in selling your home.
• Coordinate escrow, financing, and closing activities on your behalf to ensure a smooth, hassle-free closing.
• Personally deliver your proceeds check at the closing of your home.

Step #5: Prepare Your Home To Show And Sell For Top Dollar

Here�s another moneymaking marketing fact you need to know�

The Way Your Live In A Home, And The Way You SELL A Home
Are TWO Very Different Things!

When you�re showcasing your home for sale, it�s going to look very different from the way it looks when you�re living there. Here are a few tips for showcasing your home for sale:

• First impressions set the tone for a buyer visit, and they�re LASTING! Approach your home in your car like any buyer would. Examine the outside as you�re approaching. How does it look? Are shrubs away from the home? Oil in the driveway? How does the grass and landscaping look? Cluttered looks detract from the architecture of the home. A clean, polished landscape says your home is valuable and well-maintained!

• Take a look at your actual home. Is the paint fading or chipping? Is the color outdated or impersonal? How does the roof look? As you drive up to or away from your home, what do you see first?

• Now go inside just like a buyer would. You want to be aware of four senses: smell, touch, sight, and hearing. Go through room by room and test all four senses. Check flooring and carpet for stains, overall wear, and odors.

Most importantly: Pack away all appliances, get rid of excess furniture, put away useless dishes, and make your home neat and orderly. If you�ve ever visited a model home, you�ll notice it�s clean and uncluttered. You have to move anyway, so you might as well pack early, and make your home more saleable. Go to the garage and make sure it�s neat.

• Hire someone to professionally clean your home. Top to bottom! Cleaning and cosmetic fix-ups, especially in the kitchen, bathrooms, and master bedroom, can many times yield you up to $10 in extra sales price for every $1 you invest.

• Pets should be out of sight (and smell!). Get rid of pet odors for showings. Remember the four senses. Also, some people are uneasy around pets, and they may distract attention from the features of your home.

• Pay particular attention to lighting. During the day, open all your blinds and curtains. If it�s cloudy out, turn on all lights for showings. At dusk, leave your front drapes open and turn on all the lamps and lights.

At night, do the same, but close your blinds and curtains. When showing your home, turn off all appliances, television, radio, and anything that will distract attention from your home.

You might want to play a little light music to enhance the emotional experience for your buyers. Remember, you want it to feel like �home.�

Most importantly, if there are any problems with the home or clear title, you must DISCLOSE them to any potential buyers. If you�re using a REALTOR �, they can help you sort out these issues, and disclose them in a way that will minimize their impact on a buyer.

Step #6: Negotiate The Best Deal And Close Your Sale

You�ve been handed an offer. It�s so close to your desired price, but not quite there.

What now? How do you negotiate your way to the deal you�re looking for?

If you�re using a REALTOR �, they will guide you though the negotiation, providing support documentation and other helpful back-up to justify your price. But if you�re going it alone, you will have to hone your negotiating skills.

The first step to a successful home negotiation is when you priced your home to begin with. If you set a fair asking price, you should have the confidence to justify it.

If you overpriced your home (remember� �so I can come down in the future�), you will have trouble convincing a bona fide buyer to up their offer.

Now, the second step for negotiating is to KNOW THE BUYER.

Years ago a real estate expert told me that the party who is less motivated almost always gets the better deal. The ONE single element that will determine how well you negotiate your offer is�

How MOTIVATED Is The Buyer,
And How MOTIVATED Are YOU?

And if you�ve been trying to sell your home for nine months, your kids are late for starting school this year because you haven�t found a home yet, your spouse has moved on to another city to start their job, and you now have a bona fide offer, YOU may be very motivated to sell!

Nevertheless, here�s a tip you MUST bring to any real estate transaction�

Move Heaven And Earth To AVOID Emotional Attachment
To The Transaction

If you�re desperate, or if you found another home, and can�t hold back your excitement about buying it, then you�re going to get clobbered when negotiating your current home�s sale.

And that�s one reason why you need a REALTOR � representing you during any transaction. The middle person alone will help save you money.

So take a look at your BUYER. Pay attention to their comments and body language when they�re visiting your home.

• Did they make positive comments when viewing your home?
• Did they come back to visit your home at least three times?
• Did they make positive sighs and other body language when walking through your home?
• Here�s an important tip: TAKE NOTES about the features buyers like about your home. Then, turn the features into Lifestyle Benefits of living there to �wet their appetite.�

If a young couple looks starry-eyed because they feel they�ve found their dream home, YOU will most likely have more negotiating power. Clearly, THEY are more emotionally motivated.

So you decide to make a counter offer to your buyers. Make sure you back up your offer with FACTS�real reasoning. Show examples of similar home sales in your neighborhood. Look at the notes you took by observing the buyers, and REMIND them of the features and benefits they like about your home.

You may go back and forth several times before arriving at a price. But remember, if a buyer comes within $1,000 of what you want for your home, you�d better think hard before turning it down!

Once you�ve agreed upon a price, you should call in the help of a professional, such as a real estate attorney. If you have a REALTOR �, they�re usually trained to handle further items for negotiation, and have excellent contract forms that have been tested for years.

But remember, NEVER sign a contract until you completely understand ALL of the terms and conditions. A lot of real estate �mumbo-jumbo� can make you feel overwhelmed. Using a real estate attorney or a REALTOR � can make the process easier for you.

OK, you�ve now arrived at a sales price. You�re now about to enter into a new phase of the transaction: ESCROW and CLOSING YOUR SALE.

If you�re using a REALTOR �, they will be worth their weight in GOLD with the next phase of the deal (if they haven�t already saved you thousands in pricing, dressing, and negotiating your home).

Here�s a list of items you (or a REALTOR �) needs to handle:

• Opening of an Escrow account with a reputable and affordable escrow/title company.
• Examination of Title of the home, and the purchase of title insurance to protect against any flaws or deficiencies in clear title.
• Coordinating the completion of contract requirements: Home Inspections, Termite Inspections, Seller property disclosure statements, etc. � with reputable inspectors.
• Verifying buyer financing is secure (this one is HUGE!).
• Ensuring any contingencies have been completed: Remodeling, repairs, etc.
• Ensuring any hold-backs or reserves are met.
• Coordinating cleaning and maintenance that may be stipulated in the contract.
• Handling any other special contingencies that may arrive up to the final hour.

It can be an awesome task. Don�t take this process lightly. If you�re going it alone, make sure you get educated, and use a real estate attorney if you�re not using an agent.

Now, at this point, you�re probably wondering how on earth you�re going to handle all of these tasks all-the-while maintaining your job�

�packing your home

�interviewing moving companies

�getting the kids in school

�coordinating repairs and cleaning

�stressing out about the new job, or community

�and searching and buying a new home.

It�s absolutely daunting, and you will need all the help you can get.

That�s one reason why I wrote this report: To help you sort out the important issues that translate into a Top Dollar and Hassle Free sale of your home.

And to know whether you should do it alone, or hire a competent professional for your needs. And speaking of competent professionals�

Do you remember the old riddle that goes, �What do you call the person who graduated dead-last in their medical school class?�

Answer: �DOCTOR!�

Well, it�s the same with REALTOR �. Someone with vast experience and extraordinary professionalism usually costs the same as someone with little or no experience, or with compromising standards. You need to know how to tell the difference up front.

Bringing competence and experience into your transaction may mean the difference between a higher negotiated sales price and losing money, selling in less time or in more time (costing you potentially thousands in added interest), and experiencing problems and hassles or a problem-free transaction.

Our community is loaded with agents who are WRONG for you, your area, and your home. Some agents are in business part-time for a little extra cash. Others are subsidizing other businesses or careers. And then there�s your �cousin Harry,� who you may feel obligated to because he �really needs your business.�

Selling your home is probably the most important financial transaction you will ever make. That�s why I take my business so seriously. It�s also why I have developed customized home marketing programs meant specifically for your situation.

WHY ME?

Here�s why you should consider my services to market your home:

• I have a full-time assistant, a full-time marketing specialist, two offices, three computers, a cellular phone on me at all times, a dedicated fax, and a top rated website at www.billiechubb.com to name a few!

I�m not telling you these things to impress you, but to impress UPON YOU the difference
between agents who simply �sell� real estate, and those who COMMIT to whatever it takes
to serve a client beyond their expectations!

• I�ve been in real estate for 19 years, and sold over $150 million of homes. I am intimately familiar with New Castle and Chester County, and sell homes in for more money and in less time then the average agent.

• I am a full-time Realtor. I am well-educated. I have a complete resume for your review, and make it a priority to educate YOU on every aspect of your transaction.

• I have a list of references, past clients, and professional associations whom you can call at any time to discuss the quality of service I have provided to other people just like YOU.

• I have developed an EXCLUSIVE marketing plan that is unequalled by anyone in the business. I do this because my dedication to selling your home is also unsurpassed. There�s no other way I can live up to that expectation without extraordinary marketing capabilities.

• I have specifically designed marketing tracking systems for every home I sell. I also have specific update systems so you are fully aware of ALL activity and progress updates on your home on a weekly basis. You will NEVER feel out of touch with me!

• I guarantee everything I do! If you�re not happy with me, you may fire me. This places the burden of risk to perform on ME, not you.

• I have references for reliable title companies, escrow companies, financing sources many agents are clueless about, insurance companies, inspectors, attorneys, and others directly relating to your transaction. If you choose to use any of them, you won�t be dealing with arbitrary people. These are professionals I have used personally in other transactions.

• Each day, I speak with over 80 people directly related to real estate buying or selling. This allows me to create a communication link of properties to people.

• Most Importantly: I generate over 80% of my clients through referrals alone. I do very little traditional marketing. Instead, I focus 110% of my efforts into providing such outstanding service, my clients are inclined to refer my services to family, friends, and acquaintances.

On the surface, it may seem there are lots of REALTORS � to choose from.

But just because there are lots of Realtors out there doesn�t mean they can all do the same job for you...  

All REALTORS � Are NOT The Same!

• I�ll conduct a careful, thorough valuation of your home, based on real world facts, in an EASY to understand format. You won�t get any inflated values just to pressure you into listing with me.

And you won�t get anything like �I have a buyer right now who�s interested in your specific home, and if you list with me, I�ll bring him by right now.� With me, you�ll get NO pressure. No arm twisting. Just a real world, honest, fact-filled analysis.

• I�ll tour your home to identify items that could negatively affect your selling price. As I mentioned earlier, some of my findings could bring as much as $10 in extra sales price for every $1 you invest. By the end of my tour, you�ll have a checklist of strategies designed to �position� your home to sell for the most money possible.

• I�ll share with you my Top Dollar Marketing Plan. My plan will give you insider secrets on how to promote your home properly, how to handle buyers, how to avoid crime, and much more.

• When selling your home, the LAST thing you need is added pressure. That�s why I�ll answer all of your questions. And give you one less thing to worry about during these hectic times.

By Not Acting Now, You Could Open Yourself To
Losing Thousands Of Dollars

Sincerely yours,

Billie Chubb
Chubb Realty Group
302-478-6425 / [email protected] / www.billiechubb.com

P.S. Once you have read this report completely, make a list of areas you would like to discuss. Call me at 302-478-6425 to schedule your Maximum Home Value Audit. My exclusive audit could save you thousands of dollars. And it�s Free, and without obligation, pressure, �pitches,� or games. So before you get distracted, call now!