Email Signature Illinois Bill of Sale Made Easy

Email signature illinois bill of sale

the reason i'm making this video here it's because i've got a lot of clients here that are actually um asking me to go over the contract with them but i've noticed a lot of people work different hours and things of that nature so what i want to do is go ahead and make this video that you can watch in your own time and then if you have any questions please contact me directly and we can go ahead and talk over that but understanding this contract before we go out and show houses is gonna be very important because we are gonna hit a time where we're gonna find a house it's gonna have multiple offers on it and we're gonna have to make a decision on writing an offer within a matter of like an hour and then i have to go back draft that offer and then you guys need to sign it and submit it and i've submitted offers between showing times to submission uh the time gap on that could be two hours sometimes an hour and a half so i'd rather you guys be comfortable with this document understand it completely or at least for the most part and then you'll be more comfortable knowing that you made the right decision versus you know signing off some on something you've never seen before in your life and you know really questioning if you made the right choice the anxiety behind that is one of the worst things ever i've dealt with that before before i got into real estate and i never want any of my clients to be in that situation so what i want to do is go over this thing real fast and if you have questions please let me know so what's in bold is gonna be a paragraph on the side we've got line numbers so paragraph one line one uh the parties right we're just gonna go ahead and mention the buyer's name john and jane doe in our example and the seller is our first and last name person last name now in my example we're gonna go ahead and purchase the real estate it's about five acres of land one two three main street lake villa um it is a single family detached home so we're gonna check this box if it's a multi-unit we're gonna check that if it's a town home or an apartment we're gonna go ahead and check and attached this is like a social security number for the house um don't worry about that we're gonna go ahead and look that up ourselves now in my example here before i go on any further this example is going to be one two three main street it is not a real address i'm just using that as an example we're gonna purchase this home for two hundred thousand dollars um and yeah i'll go and give more of an example later on as we go along with the contract here so line 15 paragraph three is the fixtures every home typically comes with a refrigerator uh oven range you get the idea microwave dishwasher what have you so when it applies i'm gonna go ahead and put an x mark here so when we do move into the property and we sign off on it we do know that the house comes with the refrigerator microwave dishwasher etc etc you know all these things that come with it even something as simple as a ceiling fan i want to make sure that we write that in i've had people move before take the garage transmitters with them um hey if we say we're getting them we're getting them right so i want to make sure that you have everything people are weird they will pull out smoke smoke detectors if we don't write it into the contract save someone you know 20 bucks at home depot or lowe's or wherever they go um people will pull out um i don't know uh water softeners you know so they don't have to bring it to their next home you get the idea people do pull things out so whatever is here um it will come with the home people do pull out plants and bushes too you'd be surprised i've seen it before so you want to make sure we do our due diligence and market here um now if there's anything on the list that's not um you know pre-filled and for us uh such as other items included at no value let's say for example this home comes with a projector unit and a screen in the theater room a home theater right there's no option for it up here so with that said i'm gonna go ahead and type that in so in my example for one two three main street we don't want them taking out a fixture because technically a fixture is defined by something that is attached to the property that's not easily removable such as personal property in this case we don't want them pulling out the theater we don't want them pulling out the screen we want to make sure that that is a selling point with the home now if there are other items not included on line 30 maybe they had um a wall mounted clock in the kitchen you know they they just screwed into the wall it's got some sentimental value the sellers have set the expectation hey we are not selling this with the house so i'm gonna go ahead and write that in and say hey come in move-in day um that kitchen clock is not gonna be there because you know they've already set that expectation up front so this way the more descriptive we are i know it sounds real stupid but the more descriptive we are the better of an experience it's going to be for everyone transparency is key then on top of that personal property as well they're going to pull out their bed tvs etc etc so i always go ahead and write that in item 31 and i promise you this will go so much faster once we get past the the first two pages um the seller warns to the buyer that all fixtures systems and personal properties included in the contract shall be an operating condition at possession except and i always say no exceptions if something is installed at a certain time i want it to be working now for some reason if you guys decide to buy a house with a non-working wash machine because you think you could fix it well okay that's fine we're gonna go ahead and write in except the washing machine um you get the idea so but normally i write in no exception so when we move in if we do a home inspection the stove is working we move in it doesn't work obviously this is going to protect us and we have to make sure that they go ahead and fix it or credit us or whatever the case may be to remedy that situation line 35 home warranty applies i always protect my buyers with a home warranty i'll cover that a little later but we do check this box and we'll revisit it in paragraph 32. all right things are going to start going a little bit faster now um purchase price and payment so in my example it's a 200 000 home um we're gonna ask the sellers to provide a seller agrees to credit for a thousand dollars to the buyer at closing to be applied for prepaid expenses et cetera et cetera et cetera um so let's say if if it costs us you know 15 grand with your down payment title fees attorney fees whatever um we're just gonna go ahead and bring a check that day uh for fourteen thousand because the seller is going to go ahead and provide us with a thousand dollars now earnest money earnest money is completely optional but i call it good faith money um typically buyers provide earnest money and we've already had that conversation if you're watching this video so two thousand dollars uh will be provided three days uh three business days after the date of acceptance please do not wait on this i have had a client in the past null and void their contract because they were waiting for a convenient day for them they said hey i'm gonna show up to the brokerage uh before they close at five on the third day well they got into a car accident and um this whole contract was nolan void and they lost out on their two thousand dollars so please uh just bring it on day one and uh we'll figure that out ourselves if you can't make it i'll personally deliver it for you all right things are gonna start going a little faster here um earnest money is going to be held at the seller's brokerage that's customary uh but we can hold it at the buyers if you want we can do it wherever we want closing date is going to be april 1st in this example right now it is december 9th this is an unrealistic timeline but i just chose this date right and this is going to be relevant so remember april 1st is when we're closing paragraph seven we're gonna have a financing contingency if you're not paying cash for this home we are going to need a contingency if you cannot get a loan commitment then we have the option to back out of the house um if you're paying cash skip this portion um so we're going to put in the terms it's going to be a fixed rate hypothetically for this one a conventional loan and we're going to put 20 down so um it's gonna be eighty percent of the purchase price uh et cetera et cetera et cetera not to exceed three percent which means your interest rate's not going to be any more any than three percent let's say for example your lender says hey you know we're going to give you a rate around 2.5 percent well the last thing i want to do is put 2.5 percent and then you know we close four or five months from now interest rates go up a little bit because the economy gets better and now the the fed the government says interest rates are at uh 2.6 now well now you have the right to back out of this contract because we initially put 2.5 because that's what the rates were so that's why we give ourselves a little leeway and it also helps out the seller as well knowing that we can't back out based off like a 10th or 100th of a percent so that's why we always go a little bit higher here not amortized any less than 30 years uh so this is going to be a 30-year fixed loan we're putting 20 down so the um lender is going to give us 80 of the purchase price um so sorry 30-year conventional fixed with a 3.3 percent uh loan now this is gonna be based off whatever you guys qualify for so once again we'll have already we'll already have that conversation but this is what this portion looks like i just fill in the blanks i'm gonna go and skip a lot of this um cash transaction with no mortgage i'm gonna skip i'm gonna go ahead and skip this cash transaction mortgage allowed we're not paying cash at this point um and keep in mind once again a lot of this will have already had that conversation so a good chunk of this we're gonna start skipping paragraph eight statutory disclosures now i always check all these boxes because before we even go take a look at the home i am going to present you with the property disclosures property disclosures will have already had this conversation what's wrong with the property seller has to fill it out same with lead-based paint if the home is older than 1978 we fill this out if not well it's irrelevant plus radon so we've already had this conversation um my point is that i check all this it makes for a cleaner contract for the sellers we want them to pick ours so i'm going to try to do my best to make sure that our contract stands out and we're not really being a pain on their end prorations now i forgot to fill in this portion but essentially this states the general real estate taxes shall be prorated to include the date of closing based on i put in 105 percent the rule of thumb is that real estate taxes um jump about five percent every year so since taxes are paid one year in arrears which means if it's 2020 today um we end up paying 2019 taxes in the year 2020 in the year 2021 we will pay 2020 taxes so taxes are generally one year behind since taxes increase five percent every year it's not fair that you get stiffed with a bill so i always make this based out of 105 percent um scrolling down a little bit seller represents if applicable uh et cetera et cetera that there's pretty much a home owner's condominium association so you might know this as an hoa this is completely unrealistic uh 300 a month unless it's a you know a luxury community or it's a town home but i did say this is a single-family home i filled this out um just as a hypothetical here because you know hoas do become this high so if that's the case this is the section that we fill it out and the seller and the buyer will agree to some sort of um pro-rated arrangement so if it's pre-paid and we move in on the first you know they want to make sure that they paid their bill a couple days prior well we are going to have to compensate them for the the month them being the seller a month um worth of the 300 proration because that's what we you know agreed upon uh we already covered this as well attorney review these are all the rules for the attorney review period i will definitely walk you through it when the time comes the attorney will definitely walk you through it when the time comes and these are just all the rules and regulations so please i highly encourage you guys to read all of this but i'm not going to bore you reading all this to you because i know you guys can read it on your own time uh paragraph 11 if you decide to waive the right to an inspection you initial here i never you know i never uh i never what's i'm sorry long long day i never suggest it but you have the right to do so professional inspections uh inspection notices these are all the rules and regulations behind it once again i'm going to skip all this because you guys can read this on your own time paragraph 13 you have to get home owners insurance if you are funding a home with a lender they will require you to do it um i always recommend that you pair it with your car insurance company solely because they will give you some sort of bundle discount but you have the right to go with whoever you want to go with and make sure you do this within 10 business days after date of acceptance so i will hound you about this your lender will hound you about this and if you are in a flood plain same rules apply for flood insurance if you're uh within a condominium uh each one has their own rules and regulations these are the rules in regards to what we have to do about it um this is going to be on a case-by-case basis so if we ever cross that path i will let you know what that is about um then obviously uh transfer taxes things like that these are just the rules on what kind of taxes we have to pay when we move cities uh counties states they do charge additional taxes when you buy and sell real estate so that's the rules there so go ahead and read all this um lastly plot of survey um not less than one business day prior to closing we will provide we will make sure that we get a map of what your property lines are so if you decide to build a fence for example for your dog or whatever you're not encroaching other people's property and if you see some sort of stranger on your yard we need to know that they have the right to do so so for example if you're sharing a driveway with someone so they can gain access to their house they have the right to do so same with you know electricity meter guys gas meter guys water meter guys etc but if it's not one of those people encroaching on your property then they're trespassing so it's important to get some sort of plat a survey and we know exactly what your property lines are now the rest of this i'm gonna go and skip what happens damage to real estate you know if there's a fire or something this explains all the rules on that seller representations and paragraph 22 and i know i'm talking really fast um worst case scenario i know you could rewind the video um these portions are initialed so in this example the sellers are saying that there are not improvements to the real estate which include um you know with the most tax assessment so essentially what this is saying is hey the sellers are saying if we have a three bedroom two bathroom house we did not build that second bathroom um and the county still thinks that we have a one bathroom because once the assessor comes out and takes a look at your home they recognize that there are two bathrooms they're obviously going to up your property taxes because they understand that there's more value to it now if that were the case and the county thinks that it's a three bedroom one bathroom and that's what the taxes are going to represent so the last thing we want is next year's tax bill to spike because it was an assessed property properly so that's what this whole section is saying there are not improvements to the real estate which are eligible for home improvement tax exemptions uh there are no unconfirmed pending special assessments affecting the area um and then so this one here states that it is located within a special assessment area so to give you an example on this my personal home right i live in lake villa um recently lake villa decided to switch from local water to lake michigan water now what the city did was they decided to tax the homeowners that are taking advantage of this um with like 144 bucks a year or something like that now that tax will come to an end at some point in time i think it's like 15 years i don't really remember but i have to disclose that there is that tax um and then on this line here it's the sellers are saying hey we don't know of anything like that that's about to happen so as long as these disclosures are um there this is what the seller is telling us and we're going to go ahead and say hey we understand that this is what you are saying and you'll know all this information ahead of time we're going to have that conversation but since you are initialing this section i know i get this is one of my top questions that a lot of people have so that's why i'm explaining this portion oh and at the bottom of every page you're going to initial here um yeah so anyways the rest of this is just rules hey how what is a business day eight to six you get the idea electronic signatures i'm gonna go and skip a lot of this please read this on your own accord um paragraph 29 once again so if we are doing the dual agency um you're you're giving me consent we'll just put in the names here we'll talk about that when the time comes um and then let's say for example i know this is not the case for a good chunk of my clients um a can a home sale contingency but if for the you know on the off chance you have to sell your home this is exactly what what this says here now if you don't have a home sale contingency i still recommend you listen to this portion because this is where you'll understand how you have that much leverage compared to other people and i think this is really important for you guys to understand so let's say in this specific scenario i have to sell 456 random street antioch in order to buy 123 main street right so i just changed it up a little bit so it's a little easier so i initial here saying hey i'm trying i have to sell my house in order to buy your house so if i can't sell my house i am no longer going to buy your house right now a lot of sellers don't want to hear that because they think oh okay great well in order for me to buy my house i need to sell my house but now in order for the buyer to buy my house i'm sure someone else has to buy their house and the person buying their house someone else also has to buy their house so it's a never-ending string of you know i've seen it go like 13 14 homes deep and all it takes is for one person not to get proper financing whether they lost their job due to covet or someone lied on an application who knows what it is one person could ruin it for 14 families so this is why this is important to understand um if you don't have a home sale contingency you can be much more aggressive at least or in my opinion with your ask right so that's kind of the the concept there so let's say we have to sell 456 random street the buyer has to check one box has not entered into a contract to sell the buyer's house but if we did let's say we sold our house and now we're doing some home shopping um oh wait i'm sorry we have entered into a contract right um then we would say hey you know for example this home is not or is subject to a mortgage contingency it's subject to a real estate sale contingency and it's subject to a closing contingency so what this is saying is hey i want to buy your house i have someone already willing to buy my house i have a contract but in order for me to sell my house they have to obtain proper financing so they have a mortgage contingency they need to sell their home and they have to close their home so it's pretty much saying if i can't do all this stuff then i am not going to buy the home that i am interested in 123 main street lake villa um so this is just the descriptive portion i'm not going to bore you anymore with this but um this these are just the rules on what happens now furthermore and i'm just gonna cover this last part here real quick um on top of that this is gonna say like hey if if we can't sell our house by march 1st 2021 then you have the right to cancel this contract all together now that sucks for the seller but this is good for us the buyer because with the being december uh 9th we get some time to find ourselves a buyer which is fantastic now it also says if we don't close on our house by the first of april then we also get to back out not have to purchase this home so you can tell this is kind of becoming such a pain that if you don't have to sell a house you're in a fantastic position then lastly while while we're under contract the seller still has the right to continue to show the home and essentially what it says is let's say the seller's perch are accepted an offer for a first-time homebuyer i'm sorry accepting an offer for someone that has to sell their home and then you guys roll around who are first-time home buyers that don't have to sell a home the buyer can and the seller can actually accept that offer and tell the buyers hey you guys the current buyers that have to sell a home you have 72 hours to get rid of all those contingencies we're going to kick it to the curb and it's called a kick out clause um so that's essentially what it is so once again it's a really good um thing to have not having to sell uh real estate when trying to buy another home so that is pretty much the gist of it here going back to the home warranty uh sellers shall provide at no expense to the buyer home warranty at the cost of uh hypothetically 600 home warranty company i have my own vendors that i always recommend um nothing in it for me i just think they do a fantastic job but i don't want to put in this video um if you have a well and uh septic system we're gonna go ahead and ask for one of those um one of those inspections as well um if you have a va loan you require a termite inspection or if it's just a terrible property and you want to do uh home inspection or termite inspection we're gonna go ahead and initial this as well position after closing if for some reason you and the seller having a arranged have arranged that hey you know it's going to take us a couple days to move all our stuff out because we're not closing until the third when um you know we're buying their house on the first maybe you might come up with some sort of rental agreement for a couple days hey you know we'll rent it out to you for like a hundred dollars a day whatever the case may be but in this case i don't want to do that and i never recommend that because it can get real messed up um let's say for example you close in the home and then on the second day they have a kitchen fire and then they destroyed your entire property um you know i know it sounds real hypothetical but i never recommend it for that reason so i just write in um the date of closing for 1 2021. um if you're buying it as is you would initial here and understand these agreements um if you have like a court order or something you need some sort of a specified party approval we would put in who it's by um and then lastly the attachments this is the very last portion if for any reason you have other things that we want to go ahead and place in here um i have other um like appraisal clauses and things of that nature we just go ahead and throw it on this line so something that i always put in for all my buyers is all garbage and recycle must be removed from the premises and garbage recycle bins must be empty by final walk through the reason why i put that in there is because i know a lot of times sellers wait until the last day to move out all their stuff and it can kind of be a pain moving into a home with garbage bins that are full and there's just garbage all over the place you know garbage bags on the ground too and then you have to wait a week or two just to throw away your own garbage and you're paying the bill for the garbage bill so i think that's completely unnecessary so we write it in the initial offer set that expectation up front they can make sure that they do their due diligence if april 1st does not fall on garbage day they might come back to us and say hey let's change the date to the third because garbage day is on the second so you get the idea we give them as much warning as possible the last thing i want you guys to have is an inconvenience so i think that far ahead for all my clients um and this is what that clause is for and what this portion is for yeah that's pretty much it from that point forward date of the offer you go ahead and sign you put in your proper information the current address that you live in buyers brokerage would be my my brokerage um and my state credentials and things of that nature the location my signature my email your attorney's information is going to be on here as well as well as your loan officer in the mortgage company and we put all that information on the side so we can go ahead and give the same information to the seller so we know who to contact at one part of the transaction for what reason and that is it guys that is the entire um purchase contract etc sorry once again long day if you guys have questions please let me know