If you’re in the market to buy a home, wouldn’t it be nice to have help winning a multiple-offer scenarios? Our new Edina Realty Mortgage Closing Guarantee can help you do just that!1
By now, you may have heard about the Edina Realty Mortgage Buyer Advantage program, which allows borrowers to complete much of the home financing process and obtain a commitment letter before searching for a home.2 A commitment letter can set your purchase offer apart from others a seller may be considering, but even that may not be enough to land the deal.
That’s why we’ve decided to take a BIG step and offer the Edina Realty Mortgage Closing Guarantee to our clients.
Here’s how it works:
- Qualified clients obtain a Edina Realty Mortgage Buyer Advantage commitment letter.
- Our clients find a property and submit the commitment letter along with the Edina Realty Mortgage Closing Guarantee certificate.
- When all loan program conditions are met, we guarantee an on-time closing,
- or Edina Realty Mortgage will pay the seller $12,500!
Consider these offers from a seller’s point of view:
Offer 1 — No mortgage pre-qualification letter
Offer 2 — A lender pre-qualification letter, signed by a Mortgage Consultant
Offer 3 — A fully underwritten commitment letter, signed by an underwriter (Edina Realty Mortgage Buyer Advantage)
Offer 4 — A fully underwritten commitment letter, signed by an underwriter AND a certificate with a seller closing guarantee for $12,500.
Offer 4 is a powerful proposition that may just help you land your dream home. To learn more, contact your local mortgage consultant to discuss your financing options, today.
1. Edina Realty Mortgage Closing Guarantee is only available on Buyer’s Advantage-designated, conventional, FHA and VA loans approved by Prosperity Home Mortgage, LLC dba Edina Realty Mortgage in writing prior to execution of fully ratified sales contract. Edina Realty Mortgage Closing Guarantee is NOT applicable on renovation loan products, loans for the purchase of cooperative housing units, or loans involving any sort of bond, down payment assistance mortgage credit certificate, or any other municipal or housing authority program. For loans from Veterans Affairs (VA loans), acceptable appraisal must be received and approved by Edina Realty Mortgage at least 10 business days prior to closing or loan is not eligible for Guarantee. The Commitment Agreement has an expiration date. The Loan must close on or before the expiration date contained in the Commitment Agreement, unless the Borrower(s) qualifies for and is approved for an extension in writing. The Commitment Agreement issued to the Borrower(s) contains conditions that must be satisfied prior to closing. Subject to acceptable appraisal of property value at or above contract sales price. This Edina Realty Mortgage Closing Guarantee is subject to the satisfaction by the Borrower(s) of all Loan conditions identified in the Commitment Agreement as determined by and in the sole discretion of Edina Realty Mortgage. The Guarantee is not valid if either Borrower(s) or Seller terminate the purchase contract or otherwise choose not to consummate the transaction for any reason whatsoever. The Edina Realty Mortgage Closing Guarantee is invalid if there is a substantial change in the Borrower(s)’ financial condition or to the terms of either the Loan or the purchase contract between Borrower(s) and Seller.
2. Edina Realty Mortgage Buyer Advantage is not a loan approval. A Commitment Letter is based on information and documentation provided by you and a review of your credit report. The interest rate and type of mortgage used to approve you for a specified loan amount is subject to change, which may also change the terms of approval. The interest rate cannot be locked until your offer to purchase a property has been accepted. If the interest rate used for credit approval has changed, you may need to re-qualify. Information provided by you is subject to review and all other loan conditions must be met. After you have chosen a home and your offer has been accepted, final loan approval will be contingent upon obtaining an acceptable appraisal and title commitment. Additional documentation may be required.
What is XLR8?
We are delighted to introduce XLR8, a streamlined and expedited mortgage approval process designed to automatically verify borrowers’ credit, assets and income without the borrower providing any loan documentation.
Borrowers simply complete a digital loan application via our website or mobile app, and connect their bank accounts via our secure portal. We then work behind the scenes to electronically validate credit, assets and income in minutes—not hours, days or weeks!
- No more digging for old tax returns
- No more searching files for W-2’s from two years ago
- No need to print off pay stubs
- No need to copy, print or scan pages and pages of bank statements
- Most borrowers are only required to provide a Valid ID and proof of Homeowner’s Insurance to close
Advantages of XLR8:
- Minimize your loan conditions
- Simplify the mortgage process
- Close on your home faster
- Reduce last minute surprises
In a matter of minutes, we may be able to electronically validate your information and issue an XLR8 commitment letter. Contact your local mortgage consultant for more information about XLR8 today!
1. The XLR8 mortgage program is available on conventional loans guaranteed by the Federal National Mortgage Association (FNMA) only. Contact your mortgage consultant for more information.
All first mortgage products are provided by Prosperity Home Mortgage, LLC dba Edina Realty Mortgage. (877) 275-1762. Prosperity Home Mortgage, LLC products may not be available in all areas. Not all borrowers will qualify. Licensed by the NJ Department of Banking and Insurance. Licensed by the Delaware State Bank Commissioner. Also licensed in Alabama, Colorado, Connecticut, District of Columbia, Florida, Georgia, Illinois, Indiana, Kansas, Maryland, Michigan, Minnesota, Missouri, Nebraska, North Carolina, Ohio, Pennsylvania, Rhode Island, South Carolina, Tennessee, Texas, Virginia, West Virginia and Wisconsin.
NMLS ID #75164 (NMLS Consumer Access at http://www.nmlsconsumeraccess.org/)
©2019 Prosperity Home Mortgage, LLC dba Edina Realty Mortgage. All Rights Reserved.
Buying a new home can seem overwhelming. But knowing what to expect – and having a knowledgeable team of real estate and mortgage-lending professionals to assist you – can help make finding and financing your home an exciting and rewarding experience. Here is a basic overview of the home buying process:
1. Obtain a mortgage preliminary approval before you begin house hunting.
- Learn how much home you can purchase.
- Strengthen your bargaining position with sellers.
2. Work with your real estate agent to find the right home.
- Determine your needs and create a wish list of desirable features.
- Take notes as you preview homes
3. Make a purchase offer on a home you like.
- Your real estate agent presents your offer to the seller, who will then choose to accept, counter or reject the offer.
- When the price is settled, you and the seller sign a Purchase Agreement, defining the terms of the sale.
4. Complete the loan application process.
If you have already obtained a mortgage preliminary approval, contact your lender and let them know you have a contract on a home. Your mortgage consultant will update your loan application and help you to proceed with the home financing process.
5. Have the home inspected.
If you choose to have a home inspection, hire a professional home inspector after the offer has been accepted to provide an in-depth look at the basic systems of the house, which can reveal safety hazards and give you a chance to reconsider the deal.
6. The home will be appraised.
An appraisal, required by your mortgage lender, is a formal, written estimate of the home’s current market value.
7. Obtain title insurance. (where applicable)
Title insurance guarantees the property you are purchasing is free of liens or confusion in rights of ownership, and it also insures against any losses to the property that result from defects in the title or deed.
8. Close on the property.
- A closing agent coordinates and distributes all the paperwork and funds.
- Ownership of the property is transferred.
And you become the proud owner of your new home! Our team of mortgage professionals is available to guide you every step of the way to help ensure your home buying process is a smooth one.
Planning to purchase a home? You may already expect to make a down payment, pay for closing costs, and make an ongoing monthly mortgage payment for the life of your loan. But did you know there may be other costs to consider if you’re thinking about becoming a homeowner? Here are a few additional expenses to keep in mind for your household budget that go beyond your monthly mortgage payment:
Homeowners’ association/condo fees: If you buy a home within a community represented by a homeowners’ association (HOA) or condominium association, you may be required to pay fees on a monthly, quarterly or annual basis to help cover the cost of maintenance to community structures, amenities and grounds. These may be included as part of your mortgage payment. If not, you’ll need to budget for them.
Maintenance, updates & repairs: Keeping a property in top condition can be costly. This is particularly true of older homes, where system and appliance warranties may have expired. Home warranty plans provide repair or replacement coverage for certain built-in appliances and major home systems for a specific length of time. They can cost a few hundred dollars a year, depending on your mortgage size and where you live.
Utilities: Budgeting for heating, cooling, electricity, natural gas, water/sewage, and trash removal are some of the expenses homeowners may face on a monthly basis. Before buying a home, consider asking the seller for a record of the last 12 months of utility bills for the home.
Personalization: An expense that catches many buyers off-guard is the cost of updating elements of the home to meet your needs or personal taste. New furniture, window treatments and lawn care equipment are examples of costs that can quickly add up. Try to make a list of items you need, and then create a budget to help keep costs under control.
Need help figuring out how much you can afford? Get started with our affordability calculator
Whether you’re buying or selling a home, understanding the role of an appraisal in the home buying process is important. An appraisal can have a significant impact on your real estate transaction, so here are some common questions about the process:
What is a property appraisal?
A property appraisal is a professional assessment of a home’s value conducted by a licensed appraiser.
What does an appraiser do?
An appraiser evaluates a home’s value by considering various factors such as the home’s features and location, current housing market conditions, and comparison to the sale of similar homes in the area.
How do appraisers provide an unbiased assessment of a home’s value?
An appraiser is a licensed, independent service provider who has no affiliation with a home’s buyer or seller. Appraisers are paid a flat fee for their service rather than a commission so they are unprejudiced when determining a home’s fair market value. There are also federal laws that require the appraiser to be unbiased in the performance of the appraisal.
When does an appraisal take place?
Once a buyer and seller both sign a purchase agreement for a home, the buyer can complete their loan application and continue with the home financing process. During that time, the buyer’s mortgage lender will order the home’s appraisal. An appraiser is assigned to assess the home’s value and will submit an appraisal report back to the lender once the appraisal is complete.
What if the appraisal of a home’s value is lower than expected?
If a home’s value is determined to be different than the contract price, and the buyer feels that the estimate is inaccurate, then the buyer may authorize an appraisal reconsideration process. The buyer, real estate agent or lender may ask an appraiser to:
- consider additional, appropriate property information,
- provide further detail, substantiation or explanation for the appraiser’s value conclusion, and/or
- correct any errors within the appraisal report.
What can be included in the appraisal reconsideration?
To reexamine a home’s value, appraisers may consider:
- a list of major home improvements or upgrades completed after the original appraisal, such as renovations, landscaping, or replacement of major systems or utilities.
- a copy of the plat or site plan showing unique or contextual characteristics such as a lot’s size compared to those around it, a desirable view, or even a quiet property away from busy areas.
- overlooked sales and listings that were used to help determine the home’s price.
- elements of the appraisal’s comparable properties that were reported incorrectly.
- the home’s specific circumstances, such as multiple offers, special concessions, or repairs outlined in the contract that would raise the home’s value.
More questions about property appraisals?
Your mortgage consultant will be happy to speak with you directly to help make sure you understand the entire process.
This list is only to be used as a guide and is not all-inclusive.