Appraisers' Free Forum

An idea for a course.

A class for first time home buyers. The course would probably be 30-40 hours in length. A smattering of some topics that could be covered would be (but not limited to):

1. Interest rates, points, closing costs and what they are and how they effect the buyer.
2. What are the responsibilities of the real estate agent, loan officer, appraiser and home inspector. What do they do for you. Basic ethics for each area.
3. Income vs. loan amounts. What is reasonable. How much can 'you' afford each month.
4. Buying a home. What to look for, possible problem areas, things to avoid, etc.
5. Things that impact the value of a home, ie. school districts, crime, public transportation, amenities, etc.
6. Looking past the glitz to see the real worth of a home.
7. Maintaining a home. Basic home maintenance projects that most folks can do, if they have a book and can follow instructions.
8. Credit ratings.
9. Understanding your purchase agreement & loan papers.
10. Pros and cons of different types of loans.
11. Going through the loan application process.

Once the class is developed, you convince a bunch of instructors all over the country to teach the course. (Obviously some things would need to be tailored to their local market.)

Then.......here comes the biggy...............Convince at least one major lender (I'll pick on BOA as an example) to support this concept for home buyers. If the buyer completes the course, the lender knocks off 1/8 of a percent of interest rate.

Objectives

1. Homebuyer gets a better interest rate than they would have otherwise.
2. Reduction in future foreclosures.
3. A more knowledgeable buyer.
4. Better maintained homes.
5. Additional for the instructor thus the American economy is saved.


Okay, take your best shots. Do you think it is doable...or not.

It's doable, but (there's always a BUTT) - do you really think the buyers will pay for for IT? NO - NAR puts out so much propaganda that "the real estate broker/agent representing you is looking out for your best interest" that no one pays attention to us - until we "don't hit the number"!

I just talked with the grand-daughter of an appraiser that we all know (no names given to protect the innocent - bonk bonk) and the first thing I said to her after they had put an offer on a house (and I would have given professional advice as a courtesy) was DON'T FALL IN LOVE WITH HOUSE - they did. Now it's not the size the ReLIEtor said - DUH - and the appraisal didn't come in (REALLY? - HELL - I'm surprised it even got close (no I'm NOT - damned number hitters).

My point being - I offered for free years ago the service to them - DUH

But don't let me discourage you. Good idea.

The selling point for the course would be the reduced interest rate, & a course that is supported by the lender.

I think it would be possible to put together a list of instructors from most areas of the country. Butttttt, how do you convince a lender to do this. How do you beat out the colleges, etc. of the world.

It could be a lender might force the 'greenhorn' to take the class before they would do a loan.

There have been classes like that down here for years. The lenders 'sponsor' the event and it is free to the public. They supposedly offer education and 'help' with buying, loans etc.

I had a friend in New Orleans that bought her house and learned the ropes by going to a local class.

I like the idea if there was a way to keep vulture lenders out of the picture. I don't think homeowners will pay for a class in today's climate. When money was easy - there were homebuying classes everywhere. I don't know a lot of people who are willing to do free classes. (I would when I was selling ... but I wouldn't now)

The first class should teach people how to get their credit report and make needed repairs. They can't even think about a house now days without good credit.

I think it's a great idea. I believe it has already been done in our area in the past on a very limited basis.