John Payne Team – Cincinnati Realtor

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Financing a Physicians Loan– Find a trusted partner

In a sellers and shifting market, strong financing is the best offense. The value of a relationship with a verified lender can be the difference between a contract that will not see closing and a successful transaction. It’s the fiduciary duty of the agent to verify and vet the buyer for his or her client. It’s also the responsibility of the buyer’s agent to vet the buyer for the seller’s agent. I recently had an interesting wrench in one of my transactions that I feel everyone can learn from. Here’s the situation that transpired: Buyer was transferring to Cincinnati for a job He had a mortgage on an out-of-state house with USAA He had a strong amount of money in the bank Buyer thought it was in his best interest to use USAA instead of one of my preferred lenders for their home purchase in Cincinnati He wanted to buy a house three months in advance so renovations could be done prior to relocation 21 days from closing, buyer was informed that USAA couldn’t loan money “unless the borrower is within 60 days of gaining their employment” Buyer needed to generate an $20k additional to close with USAA My client then asked me to delay closing from mid-March to the first of May—and that was going to be a deal breaker. When we wrote a contract for the house, we were in competing offers and ours was chosen because of relationships; both offers were identical. Then we talked to my preferred lender, Huntington Bank, which has a portfolio product they can offer my client—a physician loan: 0% down payment, matching interest rate zero Private Mortgage Insurance (PMI) A homerun from the local group! This information intrigued the buyer, but if the financing was changed this close to the closing, closing would be delayed. We evaluated each option and decided to stay the course with USAA, the national provider. To overcome the underwriter’s 60 days from gaining employment rule, the buyer had to bring 5% more money to closing, approx. $19,500—a huge expense! I was fortunate to have a great client with good financial backing who was able to accomplish the transaction and save us from a tailspin that would have resulted in the sellers removing themselves from the contract. The lesson here: Shop your mortgages, but ask the right questions—and work with a knowledgeable agent who can navigate this delicate space. For great service from a local Cincinnati lender, call Huntington Bank’s Matt Miller at 513-770-2060, email matthew.miller@huntington.com. He has the team behind him to service you for physician loans and more!

Loyal to a Fault?

Where has loyalty gone in our society? I am finding that younger generations of clients are significantly less loyal even after getting the same service as my elder clients- I asked myself WHY? Generation Y and the Millennial have grown up with the internet at their finger tips. I am one of them and since Ive had a mobile phone with internet connection, Ive not let an unanswered question leave my mind without a search. I can accomplish anything with my smart phone and opposable thumbs! The baby boomers are internet savvy but they have grown up with a physical rolodex of professionals. They grew up with a physical white or yellow pages!? My hypothesis is past clients and personal referrals create loyalty. “Access to information” hinders loyalty or the perception of need for professional service- the DIY society. I am a Realtor® and I work with a hundred plus clients a year. I end up Closing transactions with approximately 50 clients per year. The difference between the numbers is because I consult with more people than sell or buy. I help people get their renovations correct, make sure that people don’t over-improve without knowing, I introduce contractors with clients because I’ve been blessed to work with amazing professionals during my life of working. I am a professional. I belong in your rolodex. I have had a few clients recently in the Generation Y category work with me, gain knowledge, spend my time and simply go trailblazing on their own- without any trigger. In my industry, they are mostly switching and working with the Listing agent. The reasons are to “Streamline” or “simplify” because they don’t want a communicator, advocate in their camp… it’s frustrating to say the least! Contrary, I have several clients over the age of 50 who send me a steady stream of clients because they have either first hand, or second hand heard that my level of service is a must. Compliments like “You cant do this without John”! I just shared some of my frustrations on this topic with a dear friend who is also in the service business- financial planning/ investments. His opinion is that you need to be clear with your value added and leverage your “raving fans” to continue to gain client base. If you have the choice of 10,000 agents, a friend’s recommendation will set you apart. I am on the phone with past clients now, asking for referral business, because they are experienced! How do you gain loyalty in your industry? Do you see the difference between generations and what I reference as “loyalty”. You can leave a comment, or post a comment on Twitter @RealtorPayne call me 513-500-7474 or email me john@payne-team.com