How to get a free loan
Currently, the market is VERY COMPLEX with value in a constant state of flux. I do not know much about values other than in my local market. Thus I believe that buyers need all the help that they can get.  While I am willing to entertain special situations where I will represent buyers, I believe that you ought to get the best agent you can in your local market.
The Situation
Sellers typically pay a 6% commission that is split 50-50 between the sellerís agent and the buyerís agent. Many homebuyers, particularly those who are using the Internet to do their house hunting, are doing much of their agentís work but not getting paid for it. In fact, they may not even contact an agent until they are ready to make an offer. Other buyers cruise new home project looking for homes. Typically, they are shopping on their own too.
The Opportunity
When an unattached buyer who does most of the work himself calls an agent and says, ďWeíd like you to represent us in making an offer,Ē you are basically making a gift of a 3% commission to the agent. A homebuilder that offers ďBroker CooperationĒ at its tracts is fully prepared to pay a 3% commission to an agent who brings in a client. Without an agent, they keep that 3%. Youíve earned it; how would you like part of that commission?
The Methodology
I am a Licensed Real Estate Broker in the State of California. When I represent buyers in a purchase transaction, whether a re-sale home or a new home, I am very happy with a 3% commission. Iím so happy that I will fund the associated loan on the transaction for free. Iíll even pay the lenderís costs and Iíll refund the appraisal cost to you. You get your loan from a reliable national lender but you get it at less than the Wholesale rate.
The Results
Hereís a sample assuming that for a normal loan, youíd pay 1point:
Loan Amount $300,000 $300,000
Points $3,000 0
Appraisal $300 refunded
Credit report $50 0
Processing $350 0
Underwriting $300 0
Loan Documents $225 0
Flood Certification $29 0
Tax Service $71 0
Wire Fee $50 0
Total $3,975 zero, zip, zilch, nada
There arenít any. This is not a gimmick or some way to cover up one of the zero point loans. The numbers are real. Also, by Federal Law and State Law, the lender is obligated to disclose the compensation paid to a broker. You will see on the closing statement that I am making zero compensation on the loan portion of the transaction.
California law allows Buyerís Agents, meaning your agent acts in your interest, not the sellerís. As your agent, I am bound to represent you as I would represent a member of my family, and I do. If you deal through the Listing Agent, you have a Dual Agency situation, legal, but why would you want to divulge your negotiating strategy or tell other secrets to the Sellerís Agent?
You should take comfort that I have participated in over 3,000 transactions in my career. You can also check my qualifications here.
If you havenít already gotten a pretty good idea about what kind of person I am, I would be happy to provide references so that you can check them out. You can also check out a few testimonials here.
This is not meant to be a solicitation of anyone who is already working with a real estate agent. Iím sure that if you have selected an agent carefully, he/she is doing a great job for you and I do not want to intrude into your relationship. Even if youíre already working with someone else, I can still get a heck of a loan for you, so call me.
Randy Johnson
Independence Mortgage Co.
1601 Dove Street Suite 181
Newport Beach, CA 92660
or send me an e-mail.
Randy Johnson Independence Mortgage Company, 1601 Dove Street Suite 181, Newport Beach, CA, 92660
(949)-852-8822 Fax (949)-852-0441 Updated 9-27-03

Copyright 2007 Independence Mortgage Company