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  GUIDE                                                1
Ann Scherer 408-483-2156   Mike Scherer 408-353-6453
buying a home

     About us
     What our clients say
     Why Summit Properties?
     The home buying process
     What can we do for you?
     101 things we do for you.
     How to find the right home
     How will you be protected?
     Why buy now?
     The home wish list
     The neighborhood of your dreams
     The mortgage and loan process
     Making an offer
     Closing the sale.
     Certified buyers
     Buyer’s Broker agreement
     The next steps
     Frequently asked questions

Ann Scherer 408-483-2156   Mike Scherer 408-353-6453   2
About Us

The Summit Dream Team knows Santa Clara and Santa Cruz counties very well
and has helped many find the home of their dreams. They are aggressive about
keeping up with the ever changing real estate market. Buying or selling a home is
an important life decision, and that is why we are serious about your success. We
are members of the Santa Clara or Santa Cruz County Association of Realtors, the
California Association of Realtors, and the National Association of Realtors. All
of these organizations uphold a strict code of ethics and insure that their members
are up to date on the latest marketing techniques and legislation affecting real

    Ann Scherer 408-483-2156       Mike Scherer 408-353-6453                          3
Mike and Ann live in the Los Gatos Mountains and specialize in homes and land
on both sides of Hwy 17 from Los Gatos to Scotts Valley, Loma Prieta to Boulder
Creek. Mountain life is good to us and our families and we enjoy all the benefits
of mountain living. We believe altitude affects attitude. Other agents on our team
specialize in all areas of both counties.
Mike Scherer is a broker associate with Summit Properties specializing in sellers.
After serving a 1 year tour of duty in Viet Nam with the US Army, Mountain Mike
attended West Valley College and San Jose State University majoring in business.
During the past 35 years, besides his real estate career, Mike has owned 3 different
furniture specialty stores. Mike also has the SRES designation specializing in
working with seniors. His interests include classic cars and music. He
teaches 3rd-5th grade in the children’s ministry at the Cathedral of Faith in San
Ann Scherer also is active in the church working with the children's ministry.
Previous to real estate Ann worked in corporate America as a high tech recruiter
with a staffing firm. Her interests include horses and physical fitness. Ann is very
well organized and coordinates the extensive paperwork required for each of their
real estate transactions. .
Mountain Mike and Ann have a blended family consisting of 6 sons ranging from
16 to 24 years of age. Their oldest is currently active duty Navy. The others are
currently attending West Valley College and Los Gatos High School. The boys
also went through Loma Prieta Elementary and C T English Middle School here in
the mountains on Summit Rd.
The Summit Dream Team also includes agents specializing in Land and Acreage.
We also are part of a network of top agents serving the whole Silicon Valley and
Coastal cities from Santa Cruz to Watsonville and we are part of a network of
Realtors from coast to coast including Hawaii and Alaska. If you are moving out
of the area we can refer you to a top agent that will treat you like family.
Mountain Mike and Ann Scherer welcome your questions and comments by email
or phone.

    Ann Scherer 408-483-2156       Mike Scherer 408-353-6453                       4
What Our Clients Say

Mike and Ann Scherer went the extra mile for us in both our house sale
and house purchase. Mike walked us through a difficult and
complicated house sale. His persistent and level- headed approach
ensured we sold our house for a fair price. Ann facilitated a great
house purchase for us. She was detail-oriented without overburdening
an already complicated process. Mike and Ann’s knowledge of
mountain living and real estate came through in our transactions. We
have referred family and friends to the Scherer team. We look forward
to using them again.
Peter and Holly Bins, Redwood Estates

 We would like to thank you for representing us in the sale of our home.
Your extensive knowledge of the market in our area made our decisions
easier. As an added bonus, with your designer's help our home was able
to show all of it's potential. The fact that we received 4 offers after the
first open house was amazing.
  We would also like to thank you for all the extras things you did for us.
We appreciated your assistance with our constant traveling back and
forth from Florida, for rescuing Shelia when she locked her keys in the
car at closing and for helping make arrangements at the lovely Toll
House Hotel for our last nights in town, just to name a few.
Your professionalism, confidence, and calm manner made the sale easy
for us. Again, thank you Mike and Ann.
 John & Shelia Bennett Florida
   Ann Scherer 408-483-2156    Mike Scherer 408-353-6453                  5
I can't rate Summit Properties highly enough! Their knowledge and hard
work have made my dreams of mountain living a reality!
I moved to the area (and country) in 2006 and was looking for experts in
the highly regarded Los Gatos/Santa Cruz mountains area and one name
kept coming up in my research - Mountain Mike! During a visit to the
area before I moved I sat down to lunch with Mike and Ann and we
talked through my hopes and dreams for living in the area and they
offered practical advice and an experienced view of the options, as well
as financial and building contacts to make the move that much easier.
During the house hunting process Ann personally helped me view a
number of outstanding properties which met my needs or broadened my
ideas until we found the perfect house! 3 years later I still live in my
dream home which my girls and myself love!
Take my advice - work with the best - Ann and Mike at Summit
 Gary Davis Aldercroft Heights

Oni and I would just like to thank you both for the sterling support and
all the effort you put in with regard to our house purchase. You really
made everything easy, and we appreciate your patience in taking us
through each step and the sage advice you gave along the way. You
made the process so easy and the quick (almost immediate) responses to
email made the process smoother and less stressful. If you ever need a
recommendation we'd be more delighted to give it. Outstanding service
all the way!
 Tim and Ione Pearce Idylwild

   Ann Scherer 408-483-2156   Mike Scherer 408-353-6453                6
Why Summit Properties

 There is a reason more and more home buyers choose Summit Properties. Here's
 why it matters to you:

       Powerful curriculum the local board of Realtors and the California and
       National Association of Realtors keeps us ahead of trends, tools
       and advancements in the real estate industry.

       Leading-edge technology solutions accelerate our efficiency and productivity.

       Unlike other real estate companies, Summit Properties demands that our
       agents work together, to serve clients better.

       Summit Properties was founded over 40 years ago on the principles of trust
       and honesty, emphasizing the importance of having the integrity to do the
       right thing and always putting the customer’s needs first.

       Summit Properties is the fastest growing real estate company based in the
       Los Gatos mountains.

        When you offer a superior level of service, the word spreads fast.

 As part of the Summit Dream team, we look forward to providing you with a
 phenomenal real estate experience!

   Ann Scherer 408-483-2156        Mike Scherer 408-353-6453                           7
Regular Sales, Short Sales, and Bank Owned Properties (REO)
Regular sales
 These properties are offered by the owner through the listing agent. Usually in good
condition, and some room to negotiate

Short sales
These properties are priced under the amount owed to the bank or banks. Once an offer
is accepted by the seller, then the bank must approve the price. This can take an extra
2 to 3 months before we would know if the bank will agree to the offer price or want

Bank Owned (REO)
The bank has taken ownership of the property, a few more forms and addendums.
Banks are currently pricing these properties to invoke multiple offers.

    Ann Scherer 408-483-2156         Mike Scherer 408-353-6453                          8
The home buying process

     There are a lot of details to be handled when purchasing a home.

     In addition to this summary, we have included additional information to make sure
     we find the right home, negotiate the best price and terms, and take care of all the

     1. Consultation to analyze your specific needs and wishes
      Your lifestyle interview, your home wish list, the neighborhood of your dreams

     2. Financial pre-qualification or pre-approval
      the mortgage and loan process

     3. Select and view properties
      the home tour, frequently asked questions

     4. Write an offer to purchase
     making an offer

     5. Negotiate the purchase offer
      making an offer

     7. Underwriting
     the mortgage and loan process

     8. Loan approval
     the mortgage and loan process

     9. Title company
      the mortgage and loan process

     10. Closing
      closing 101

  Ann Scherer 408-483-2156         Mike Scherer 408-353-6453                           9
What we do for you

 Preview Properties
 Looking at all the properties possible so YOU only need to look at the ones that fit your

Showing you the properties
Showing you properties in a logical order

Writing well written contracts
Giving you the advantage of a offer that is win-win for you and the seller

Negotiating strategy
Giving you the edge by negotiating all of the key points of the transaction

Protecting your interest at all times
Making sure you understand everything and how it affects you

We guarantee your satisfaction

101 things we do for you
These are things you may not notice but we am getting them done for you

    Ann Scherer 408-483-2156          Mike Scherer 408-353-6453                         10
Services For Home Buyers
                       How Do Brokers Earn Their Money?

This is a list of some of the work we do to help you purchase your home.

1. Direct you, the buyer, to various lenders for pre-approval.

2. Describe the services lenders and loan brokers perform.

3. Provide ideas for alternate methods of finance or purchase.

4. Explain the use and benefit of a lender pre-approval letter.

5. Make sure you are buying a home that meets your needs.

6. Explain the Agency Disclosure Statement.

7. Assist in developing a prioritized list of home selection criteria.

8. Keep track of those criteria when analyzing various properties.

9. Inform you of possible tax benefits in purchasing real estate.

10.Explain some of the drawbacks of real estate ownership.

11.Explain how the structure of your purchase can affect you financially.

    Ann Scherer 408-483-2156         Mike Scherer 408-353-6453              11
12.Help to determine the most advantageous time to make an offer.

13. Help to determine the most advantageous time to close your escrow.

14. Provide a sample copy of the purchase agreement for you to study.

15. Provide a list of appropriate neighborhoods in your price range.

16. Provide rating data about local schools.

17. Share information about available recreation facilities.

18. Give facts and resources on any negative aspect of the local area.

19 Explain how the Realtor Multiple Listing System (MLS) works.

20. Search the MLS for appropriate properties.

21 Investigate ours and other agents pocket listings for homes which might be

22. Check “For-Sale-By-Owner” properties which may suit your needs.

23. Contact owners of property and arrange to show homes to you.

24. Efficiently show appropriate homes at times convenient to you.

25. Share personal knowledge about local history, weather, environmental, or
other factors which may affect your purchasing decision.

26. Explain real estate terminology throughout the home buying process.

27. Discuss the benefits and drawbacks of various styles of homes.

    Ann Scherer 408-483-2156       Mike Scherer 408-353-6453                    12
28. Discuss the pros and cons of various building materials.

29. Describe how the orientation of the home affects its comfort.

30. Show you how to add value to a home that may not be perfect, but has most
of the features you require.

31 .Act as a “sounding board” in your decision making process.

32. Provide information about the seller’s motivation for selling.

33. Provide a “Comparative Market Analysis” to determine an appropriate
offering price.

34. Write an offer which will best meet your needs and protect your interests.

35. Explain the significance of various clauses in the agreement.

36. Explain the lender’s appraisal process.

37. Make sure that events and conditions agreed upon in the contract can be
realistically performed within time limits provided.

38. Explain how offers to purchase property are presented.

39. Make an appointment to present your offer that meets everyone’s’ schedule.

40. Present your offer to the seller in a professional manner.

41. Add credibility to your offer by confirming your ability to perform under the
terms of the agreement.

42. Negotiate any areas of objection with the seller.

43. Explain the possibility of “multiple offers” in your purchase.
    Ann Scherer 408-483-2156        Mike Scherer 408-353-6453                    13
44. Structure your offer for maximum impact in multiple offer situations.

   45. Respond to seller objections with minor modifications which allow the
      seller to accept, while not significantly altering your position.

   46. Recalculate costs and monthly payments, in the event of a counter offer
      from the seller.

47. Verify significant representations made by the seller.

48. Help remove negotiating obstacles before they arise by knowing the financing
and escrow process.

      49. Provide a list of reputable companies to inspect home, termite, septic,
      well, roof,etc. .

      50. Make arrangements for the various inspections, as required.

      51. Be present, if possible, when inspections are conducted to add clarity
      to written report. Inspections usually take place during the work day.

      52. Help interpret which report items are relatively minor and which require
      further clarification.

      53. Assist in finding the least costly solutions to problems in reports.

      54. Re-negotiate with seller to pay for items which are important, or a
      matter of health and safety.

      55. Arrange, as requested, to have another expert give an opinion in
      cases where experts express differing opinions.

      56. Arrange for repairs, as necessary.

    Ann Scherer 408-483-2156       Mike Scherer 408-353-6453                     14
57. Visit county and city offices and obtain record of permits, etc for property

58. Obtain Transfer Disclosure Statements from the seller.

59. Gather information about any items disclosed which may be of concern.

60. Rewrite the contract, as needed.

61. Obtain Seismic Hazard Report, as applicable.

62. Obtain Flood Zone Report, as applicable.

63. Provide a Smoke Detector and Water Heater Confirmation Statement.

64. Provide FIRPTA disclosure to seller.(pertaining to withholding taxes).

65. Deposit earnest money with escrow company.

66. Review terms, price and projected closing date with escrow officer.

67. Inform the officer of all parties to the transaction and how to contact them.

68. Provide the officer with conditions and data needed to order payoff
demand from existing lender.

69. Order a Preliminary Title Report.

70. Explain Title Insurance and any exceptions to it.

   71. Review Preliminary Title Report for any “clouds on title”, unforeseen liens,
      easements or encroachments which could delay closing.

   72. Explain any Covenants, Conditions and Restrictions, as appropriate.

   73. Make sure that pending sales has been reported to MLS.
    Ann Scherer 408-483-2156       Mike Scherer 408-353-6453                        15
74. Closely follow deadlines listed in the contract. Errors in timing can nullify the

75. Provide a Buyers Calendar with appointments and deadlines.

76. Work with lender to provide information, paperwork, as stipulated.

    77. Provide weekly updates on escrow progress to buyer.

    78 Arrange for buyers to inspect the property again, as needed.

    79. Explain the protections provided by a Home Warranty Plan.

    80. Order a Home Warranty, as requested.

    81. Explain Home Owner’s insurance requirements.

    82. Assist in arranging for Home Owner’s insurance, as requested.

    83. Provide a list of reputable moving companies, as requested.

   84. Provide a list of telephone numbers for the local gas, electric, water,
      garbage and cable TV companies.

   85. Arrange for a smooth transfer in utility service from seller to buyer.

   86. Help buyers locate temporary housing, as needed.

87. Coordinate move out by seller and move in by buyer.

88. Negotiate for buyers if the escrow process takes longer than expected.

   189. Negotiate Interim Occupancy Agreement, as required.

    Ann Scherer 408-483-2156        Mike Scherer 408-353-6453                       16
   90. Draw up a rental agreement if seller needs to stay after Close of Escrow.

    91. Conduct a final “walk through” property inspection to assure that nothing
       significant has changed since the Purchase Agreement was signed.
 92. Make arrangements to rectify any problems discovered during walk
93. Provide written explanation of the various ways to hold title to real property.

  94. Review the closing documents for accuracy.

  95. Explain closing papers to buyer.

  96. Review the loan documents for accuracy.

  97. Explain loan documents to buyer.

  98. Arrange for wire transfer of funds, as necessary.

  99. Deliver closing documents to buyer.

  100.       Deliver any final refund check to buyer.

   101.     At all times, protect the buyer’s interest.

    Ann Scherer 408-483-2156       Mike Scherer 408-353-6453                      17
How to find the right home
MLS system and database
Searching all of the properties on the MLS

Email notice
We will set you up for automatic Email alerts of all new listings that meet your criteria

Real Estate insiders
 We find out about properties that are not on the market from our network of real estate

New construction
We can show you new construction and help you negotiate a better deal

For sale by owners
We can follow up with owners and represent you

Previewing properties
We preview the good, the bad and the ugly so you don’t have to

    Ann Scherer 408-483-2156           Mike Scherer 408-353-6453                            18
How you will be protected?

Contingency times and how they work
Property inspection contingency
Finance contingency
HOA documents

Property inspections
General property
Termite inspection, includes wood rot and fungus
Roof inspection
Septic, Well, etc
All other special inspections as needed

HOA documents
Will include the HOA budget, by laws, and newsletters
You will have 5 days to go over them

Home warranty
Enclosed is a plan booklet explaining coverage

    Ann Scherer 408-483-2156        Mike Scherer 408-353-6453   19
Why do you want to buy now?

What are you looking for that you don’t have now?
More space?
Start building equity?
Better schools?
Better location?
Any other reasons?

How soon do you want to be moved in?
Time line for buying.

Is there a current lease?
When will the lease end?
What will the financial consequences be to get out of the lease?
Are you ok with that?

How long have you been looking?
How have you been going about your search?
      Open houses?
      Another agent? Do you still plan to work with the other agent?

    Ann Scherer 408-483-2156         Mike Scherer 408-353-6453         20
Your home wish list?
Space and configuration
Bedrooms and baths?
Kitchen size and importance
Square footage of current and new?
Lot size, big enough to do what?
Pool or no pool?
RV/Boat parking, fireplace, A/C, parking, garage?
Any thing else that is a must

What areas?
Commute distance
Preferred neighborhoods

    Ann Scherer 408-483-2156        Mike Scherer 408-353-6453   21
The mortgage and loan process?
Price range?
Before taxes or after taxes?

Down payment amount?
Source of down payment

Met with a lender yet?
If so, who and what is their contact info?
        Approved or Pre-Qualified
        Type of loan, conventional or FHA
        Did you get a Good Faith Estimate (GFE)
If not here are three good ones to consider:

Mark Smith, Victoria Capital 408-353-9784
Sean O’Brien 831-438-5626
Quicken Loans

Bank owned properties?
Many times require you to resubmit to their bank.
Can scan all of your loan paperwork

    Ann Scherer 408-483-2156         Mike Scherer 408-353-6453   22
Making an offer

The written offer
We will speak to the listing agent to find out seller’s motivation to sell

Terms that are Win-Win
Make your offer look as favorable as possible

Counter offers
Highest and Best
Counter the counter
Multiple offer situations

In person presentation
If possible we will present your offer in person to the sellers.

    Ann Scherer 408-483-2156            Mike Scherer 408-353-6453            23

Closing 101
Accepted offer
The clock starts once we have written acceptance

Seller to provide Transfer disclosure statement (TDT) and any reports available.
Home owners association documents (HOA docs)

Contingency times
Any other contingencies

Sign off
Usually at the escrow company
Be sure to bring ID
Final numbers of the amount need to close

Final down payment
Funds must be in cashier’s check or wired to the escrow company at least one day
before close.

Final walk through
Up to 5 days be for close date.
Make sure the property is in the same condition

Closing date
Phone call from escrow that “we are on record”
The keys are yours

    Ann Scherer 408-483-2156        Mike Scherer 408-353-6453                      24
Our Guarantee to you
Services we will provide to you
Buyer consultation
We are doing it right now

Buyer agency Disclosure
We will explain our legal obligations when working as your buyer's agent.

Property Showing
We will inform you about all properties that meet your criteria and tour them with you.

Property Evaluation
We will discuss the features, both positive and negative, of a property.

Property Disclosure
We will review with you all inspection reports and other documents pertaining to the
condition of the property. We will disclose all defects of the property that are known to

Property and Termite inspection
We will assist in obtaining any professional inspections necessary. We will attend these
inspections so that we can convey any unique information.

Contingency removal
We will explain to you about the contingency removal and let you know the ramifications
of each removal.

Property Showing
We will inform you about all properties that meet your criteria and tour them with you.

Home warranty
We will discuss the benefits of a home warranty plan to reduce your risk of repairs

    Ann Scherer 408-483-2156          Mike Scherer 408-353-6453                             25
Offer preparation
We will prepare a written offer on the property you choose, with the terms approved by

Offer presentation
If it is possible we will present your offer in person

Work with your lender
We will be in communication with your lender to see they have everything they need
from escrow and that the loan is progressing well

Walk Through
We will accompany you on a walk-through of property before closing. We will assist you
in remedy and problems that are discovered during the walk-through

Closing the sale
We will monitor the progress of the purchase, informing you of any problems that come
up. We will assist in fixing those problems.

After the sale
We are available for your real estate questions and will be following up on any
remaining details

Satisfaction Guarantee
Should we not perform the services as stated above and cannot remedy the issue within
48 hours, we will accept your written termination of the Buyer’s Broker representation

    Ann Scherer 408-483-2156            Mike Scherer 408-353-6453                    26
Certified buyers
Certified buyers are
Ready to make a purchase
Have financing in place or in progress
Have authorized us to begin work

Limit of 3 certified buyers at a time
We limit the number of active buyers to 3.
Accepting a client = Making a commitment
Clients deserve and get full attention and a dedicated effort

Buyer / Broker system
Recognizes my commitment to buyers that have hired me
Protects your interest.
      Buyer becomes a “client” not just a “customer”
      Formal, legal obligation vs. none whatsoever
      Legally represent your interest exclusively, not the seller’s

Our goal is to exceed your expectations and build a relationship you value over
the long term. We want to earn your future business and referrals.

    Ann Scherer 408-483-2156          Mike Scherer 408-353-6453                   27
Client Responsibilities
Communicate openly, honestly and directly
Cooperate in achieving your stated goals (loan, appointments)
Review the purchase agreement prior to making an offer
Have all decision makers present at every meeting/showing

 Are our goals mutual?
 Do you feel comfortable with our program?

    Ann Scherer 408-483-2156        Mike Scherer 408-353-6453   28
Buyer's Broker Agreement
Broker’s Commitment: As your Broker, I agree to exclusively represent your interests as a buyer. I agree and promise to:
    Implement a comprehensive strategy for locating and purchasing your new home.
    Keep you informed of market conditions, sales activity, and changes in the financing market.
    Maintain close communication with you about new properties on the market, any questions you may have, or problems that
     need addressing.
    Advise you on negotiation strategies and negotiate on your behalf so you will purchase your new home at the best possible
     price and terms agreeable to you.
    Oversee all purchase contracts, disclosures, inspections, repairs and closing papers to protect your interests.
    Disclose all facts known to me, which materially affect the desirability or value of a property, which you intend to purchase.
    Exercise due diligence, reasonable efforts, good faith, loyalty and honesty in all my dealings you.
Should I not perform the services as stated above and cannot remedy the issue with in 48 hours, I will accept your written
termination of the Buyer’s Broker representation agreement.

Buyer's Commitment: You may take an active or passive a role in the property search, taking care to inform me of any
significant changes in your status. In return for my services on your behalf, you grant me the exclusive and irrevocable right to
represent you as your agent in any transaction you commence to acquire real property in Santa Clara or Santa Cruz County
during the period beginning on ________________ and expiring at midnight on ________________.

Agency Relationships: In the case of a Summit Properties listing, it may be necessary and appropriate for us to act as agent for
both you and the seller. In such a case,a different Summit Properties agent will represent each party. As a dual agent, we remain
obligated to disclose to you known facts that materially affect the value or desirability of the property. Together with this
agreement, we have provided you the "agency relationship disclosure" as required by law.

Compensation: If you enter into an agreement to acquire property during the term of this agreement, I agree to accept as
compensation the amount negotiated with the listing broker or seller (i.e. new construction, for sale by owner). You are not
obligated to pay to me any amount unless you choose to acquire a property through another broker or directly from a seller during
the term of this agreement or within 30 days after the termination of this agreement and that property has not been excluded in
writing from this agreement. In that event, you agree to compensate me 3% of the sales price. Also, if I negotiate a transaction
for you where the seller does not pay an agreed upon fee, you as the buyer agree to provide my compensation of 3% of the
purchase price.

Dispute Resolution: If a dispute arises that you and I cannot resolve, each party agrees to mediation prior to pursuing arbitration
or litigation. Mediation is a process in which the dispute is submitted to an impartial, neutral mediator who attempts to achieve a
satisfactory resolution of the dispute but who is not empowered to impose a settlement on the parties.

Summit Properties by: ________________________________________________Date: ___________

Buyer:____________________________ Buyer: ____________________________ Date:__________

      Ann Scherer 408-483-2156                          Mike Scherer 408-353-6453                                               29

     Best days/times to view properties?
     Property notifications by: phone, fax, email
     Best days/times to contact you?
     Best way: phone, fax, mail, email
     Contact info:
           phones (home, work, & cell)
           email (personal, work)
           mailing address

Setting a time for the first showing

   Ann Scherer 408-483-2156        Mike Scherer 408-353-6453   30

 Ann Scherer 408-483-2156   Mike Scherer 408-353-6453   31

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