Loan Officer Gustan Cho
Loan OfficerForum Replies Created
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Here is a video about TV BLOOPERS.
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It sounds like you’re carefully considering your options, and I can certainly help with both areas. If you’d like, I can guide you in connecting with agents who specialize in your specific market and needs—particularly those who understand construction, fix-and-flip projects, and the north side of Chicago/northwest suburbs.
Alternatively, if you’re more focused on understanding how the recent NAR ruling and changes to commission structures could affect your transactions, I can provide further information on how these shifts may offer more flexibility and transparency in negotiating agent fees.
Let me know which you’d prefer or if you’d like assistance with both!
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Real estate agents should be vetted properly since they have participated in real estate transactions and construction projects. This is so they save you time and effort in the sale and purchase process. Here are some examples that should assist you in identifying competent agents who will help you sell your home in the northern parts of Chicago and purchase one in the northwestern suburbs.
Questions to Vet Real Estate Agents
Experience and Local Expertise
How many homes have you sold in the north side of Chi-Town and the northwest suburbs in the last year?
This aids in calculating how active they are and how familiar they are with both areas, mostly the areas you’re going for.
You have worked with clients that build or general contractors. How did you handle those jobs?
Of course, because of your situation, you would want to know about construction and someone who can better market a house’s possibility to buyers.
How would you reconcile with properties having rehabbing, fix-and-flip, and new construction opportunities?
You require an agent who understands how to sell the property’s resource capability, even if new occupants are to be brought in for the existing structures.
Can you give some details of clients you have sold and helped buy homes in the area?
Seek the recommendations of both sellers and buyers. Try to get those with experience in dealing with real estate investors or construction professionals.
Marketing and Selling Strategy
How do you intend to market my house for sale?
Inquire about their use of professional photography, staging, virtual tours, MLS listing, social media marketing, and open houses and how they reach the right prospects.
How will the marketing of my property be carried out to ensure I can attract buyers?
You want to know how they’ll showcase your home’s unique value, particularly if it is structured for expansions or other renovations.
Does this mean that you will assess the value of my home? What will you do if my home’s should-to-sell date has come and gone and it hasn’t sold?
Pricing strategy is very important. You need someone who adequately prices and is prepared if the home sells slower than the market demands.
Negotiation and Transaction Management
From your previous demanding deals, how would you intend to share your success in negotiation on behalf of both the seller and the buyer?
Strong negotiation prowess can assure you of cost savings or earnings while selling and buying homes. In this case, we request some particular instances for good outcomes.
Brokers, in every case, act as a lever or an obstacle. How would you attempt to break down this or that impasse regarding the buyer’s demands for an inspection or other contingencies?
Bearing in mind your construction pull, you need to find an agent who is not afraid to step on some toes and explain what’s reasonable and what, indeed, is up for grabs during the inspections.
How do you propose ensuring I remain updated and well-informed regarding all the proceedings?
Understanding their communication strategy is also crucial. Find out to what extent and how they will bring you the news.
Stagnation and Novel Legislation
What resources do you use to monitor the property market patterns of the north side of Chicago and the northwest suburbs?
The point is that you need an agent who is constantly in the know about the market so you can price right and make the right purchase when the situation calls for it.
What are some consequences of the recent NAR rulings, new commission levels, and transparency policies in real estate transactions?
Another National Association of REALTORS (NAR) ruling of late deals with the effects to some extent that brokers will have towards transparent commission and buyer-broker relations. You’ll want to know whether there will be any changes in these arrangements and how this will affect what you will be paying.
What strategies would you employ to mitigate commission negotiation issues in light of the recent NAR ruling?
Inquire how flexible they are regarding commissions and what the law changes mean regarding transparency, notably when purchasing homes with agents.
Buying Strategy and Identification of Potential Home
In what ways can you assist me in finding properties with large lots in the northwest suburbs that can accommodate add-ons?
This means they can appreciate what you are looking for, particularly if it involves looking for homes that can be renovated or built anew.
How do you plan to bring down the price of houses that I want to purchase, especially those that need repairs?
Considering your expertise in construction, you will want an agent who is fearless in bringing down the amount they request for the house depending on its current state and how much money will be spent on renovations.
The Role and Benefits of a Real Estate Agent
What other agents cannot offer you regarding value in this case, and why should I go for you?
If you have questions about the value of paying some agents, require them to explain their value briefly and accurately.
Consequences of the NAR Ruling and New Laws Concerning Representation by Real Estate Agents
The recently passed ruling by the National Association of REALTORS® (NAR) and the supplementary policies attempt to improve the current structure of managing commissions. Some of these changes that may come into effect and affect you include:
Clarification of BUYER AGENT COMMISSIONS: The judgment requires an explanation of buyer agent commissions to be presented before the transaction. Hence, you will have a clear phone directory of how the buyer’s agent is compensated, making it possible to bargain over extra payment.
Liberalization of Commission Negotiation Terms: You feel that the ruling may frustrate efforts to curb commissions for buyers or even allow for the customization of what is paid depending on what services have been performed. To sellers, this means some individuals will not have to pay the conventional six percent commission fee.
Change in Role of Buyer Agents:
Since there is more transparency, buyer agents will have to sell more of the benefits they bring. So, convincing you to use the commission will be easy.
This decision will likely improve the interests of the house buyers and sellers, as agents are held accountable for what they make in commission by not presenting unnecessary expenditures.
Would you like help contacting real estate agents who suit your locality and requirements? Or do you need comprehensive details about what’s changed in terms of commission due to the impact of the NAR ruling?
Here’s a recent guide written by April Ramirez reasons to use a real estate agent over for sale by owner:
https://gcaforums.com/reasons-to-use-a-real-estate-agent/
gcaforums.com
Reasons to Use a Real Estate Agent Over For Sale by Owner
Reasons to Use a Real Estate Agent Over For Sale by Owner is their experience, knowledge, marketing, network, and being able to sell quicker.
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The saga with the Incompetent fool Kamala Harris begins. New York Mayor Eric Adam’s contracts COVID-19. Does this mean this is a precursor for DUMB DUMB DUMB Kamala Harris is going to catch COVID-19 AND CANCEL THE DEBATE WITH FORMER PRESIDENT DONALD TRUMP? Lying Cheating Incompetent Kamala Harris can’t even lie right because she’s too much of an idiot.
https://www.youtube.com/live/pBu2BY4glMc?si=UjVDnicq-PfL9sLX
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Agree Dustin Dumestre. By the way, I emailed Marga and called her. Ravinder’s birthday is today, and Ravinder and Sapna are off today. Let’s set this up first thing in the morning.
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Good morning, Peter. It’s more than that. They don’t just hate him, they despise Trump like I never saw that kind of hate
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Here are more pictures of Chase. Every day is Christmas for Chase. He loves his red ball. I bought Chase a bunch of brand new red ball-will handles just like the beat-up, ragged red ball he has. He wants absolutely 💯 nothing to do with his brand-new balls. He wants his beat-up red, chewed-up ball.
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Here’s Chase. The breeder where I got Chase has three 12-month-old female long coats showing quality German Shepherd dogs available for adoption at a substantially discounted price. I am tempted to adopt all of them. Great temperament and the sweetest thing I have ever adopted. Great with kids, little dogs, and cats. Message me if you are interested to contact me here. Here’s Chase
Extremely gentle and always a pleasure. I wish I can adopt all his sisters.
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How much money a lender makes from your mortgage loan depends on several things. Such as the kind of loan he deals with, his business model, and the terms of your loan.
Here is how lenders generally profit from mortgage loans, step by step:
Interest Income
Interest Rates: Interest traditionally forms a major part of lenders’ revenues, including for secured mortgages. When a mortgage loan is made, and an interest rate is charged, the rate is applied to the loan. The higher the interest, the more returns the lender makes over the lifespan of the loan repayment.
Interest Payments: Usually, the interest is backloaded. This means that when one has taken a mortgage in earlier years with the same repayment amount, a substantial portion is attributable to interest, while the principal is low.
Origination Fees
What It Is: These are typically fees that a lender will apply in the preparation or underwriting of the loan. Such can include loan submission, processing, and underwriting fees.
Typical Amount:
Origination Fees have been cited as being in the normal range of 0.5% to 1% of the loan amount, with deviations.
Points
Discount Points are earned when you pay some money before. The discount shows a discount on the loan, so you can get a lower interest rate on your mortgage. One point is usually 1 percent of the mortgage loan amount.
Lender Profit: In this instance, lenders generate income from these points, which are quick to earn and lessen the lender’s risk.
Mortgage Servicing Fees
Servicing Income: Mortgage servicing fees are fees charged by lenders or mortgage banks throughout the life of the loan. These fees are for activities associated with that loan, including receipt of installments, supervision of trust accounts, and handling client communication.
Monthly Fees: Such payments are usually a part of the monthly repayment plan. Their amount or range depends on a certain servicer and the loan terms.
Secondary Market Sales
Selling Loans: It is common for lending institutions to offload their mortgage loans to other parties termed as the secondary market investors. They are likely to sell that loan at a profit. This includes repaid charges on the loan and a charge due depending on the terms of the loan.
Servicing Rights: Lenders may also sell a mortgagor’s servicing rights, which earns them other income through servicing the owned loan.
Prepayment Penalties
What it is: A few types of loans may come with prepayment penalties if the borrower pays the loan before the agreed-upon time. This is a way of reimbursing the lender, who is deprived of revenue from the interest on the loan.
Impact on Profit: The lenders may collect these penalties (if applicable). As such, they will be better off profit-wise on the loan. Hence, they may be called late repayment penalties.
Yield Spread Premium (YSP)
What It Is: YSP is a payment that the lender makes to the mortgage broker or loan officer to provide loans higher than the set rate.
Impact on Borrower: This practice could sometimes introduce extra charges to the borrower’s interest rates because of higher loan rates.
Considerations for Borrowers
Comparison Shopping is imperative. This is because lenders have different terms when lending you money. Such information helps you understand mortgage basics and how different fees and rates translate into your loan balance.
Transparency: Ask for a Loan Estimate (LE) from any lender, mentioning their fees and costs for that loan, to avoid the tedious risks of spending money on services without knowing how they were done.
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