Carolina One Real Estate
Danielle S. Kenney, ABR, CRS
873-102 Orleans Road
Charleston, SC  29407
Anytime: 843.442.2848
Office: 843.556.5800 x 214

March 21, 1998

Below is an interest rate factor chart. The current effective rate for a single, owner occupied family home is about 7%.

The interest rate factors are:

The approximate closing costs required by the Buyer will be:

Three months' of taxes and 14 months of insurance are required to set up an escrow account. If you plan on getting a conventional loan and put less than 20% down, there will be some sort of ``private mortgage insurance" called PMI, which will amount to about .030 of your loan balance annually. Monthly escrow is calculated by multiplying your and divided by 12 for a monthly escrow.

In calculating your mortgage on a VA Loan, take the Sales Price and add 2% (the VA funding fee) of that amount - it can be financed. i.e.: SP $100,000 + $2000. Fund Fee equals a mortgage amount of $102,000 x interest factor = payment per month. Add 1/12 of the annual taxes and annual insurance premium and you have your total payment.

Of course there are a mired of other details that we will need to go over but this is the basic course for now.

I look forward to meeting with you soon.

BluePrint for Buying a Home

1. We discuss:

• Type of home wanted and location
• General information about financing, qualifying, and closing
• Disclosure form
• Earnest money
• I can show any home! Please call me if you see one you would be interested in seeing. If you go to an open house please tell them you are working with me!!!

2. Show you homes that fit your needs and price range.

3. After selecting home you like, we go back to look it over very carefully - now is the time to see anything that needs to be mentioned in contract - cosmetic things.

4. Write Contract - discuss closing figures. Write earnest money check.

5. I work with the other Realtor to get a contract accepted.

6. After contract is accepted, we go to mortgage company to fill Financial Services provided by Carolina One.

7. You must get all requested information to mortgage company as soon as possible. You will write a check for appraisal fee and credit report at application and pre-approval time.

8. Usually takes 45-60 days to close FHA or VA much less time for conventional loans.

9. About 15 days before closing - check homeowners insurance prices. Decide on company. Tell them you will call later with exact date and final commitment.

10. We usually get final loan approval about 5 days before closing. Attorney then starts his work - title check, survey etc.

11. Time will be set for closing.

12. Figure actual moving date.

13. Walk through to check out appliances, window, screens, plumb-

14. Insurance - either pay 1 year in advance or can be paid at closing. Paper work to be given to attorney.

15. Arrange to have electric, water, sewer & phone to start day of closing.

16. I will get final closing figures from attorney.

17. Get Certified Check made out to attorney after getting figure from me. Meet at attorney's office-usually takes about an hour.