Summary: Loan Advisor Michael Lowitz helped a San Diego family purchase a home that has special meaning to their growing family. He was able to do this while meeting the critical objectives of the buyers, including low mortgage payments and cash in reserve for a remodel of the property.
First California Mortgage Company’s Michael Lowitz enjoys the relationships he builds with the clients he serves. Developing a mortgage plan for his customers by discovering what they want to accomplish with their home purchase or refinance is always his goal.
For a couple he recently worked with, this included a unique homeownership investment from Unison.
His clients are a San Diego couple with three young children. They had the opportunity to move from the condo they owned to a single family home. The home offered more space inside and out for the family to play, entertain, and call their own. Additionally, the school district the home is located in is highly regarded and the home itself has family roots going back decades.
The unique opportunity presented itself through the sale of a home already in the extended family. This home gave the couple and their children the opportunity to be the 4th and 5th generations living in the home.
“I had worked with the buyers before on real estate transactions in the past; I knew them well enough to realize they were not just excited to purchase a new house. This is where they wanted to raise their family” said Lowitz. “I focused on the options that would allow them to achieve their goals.”
Evaluating their options, including Unison HomeBuyer
The couple easily qualified for the mortgage to buy the house. But they needed to find a solution that would allow them to accomplish two goals:
- Make a down payment of 20%, which would make their monthly payments affordable
- Reserve cash to remodel the bathroom and kitchen to accommodate an active family
Lowitz conducted a thorough review with the couple, covering all of the options that were available. While he was working on solutions with the buyers, he attended a training class that was dedicated to the Unison HomeBuyer program. He returned from the training class, sharing the program highlights and his recommendation that the couple review the program with his Unison counterpart.
Lowitz felt that while there were other programs that would allow for the remodel needed on the new house, all of those solutions would affect the couple’s debt to income ratio (DTI), which would determine how much money they could borrow. In fact, all the other solutions would add to their monthly payment, effectively decreasing their buying power.
In San Diego, especially in desirable neighborhoods, having proceeds from the sale of a previous home does not necessarily translate into enough funds to purchase and remodel a new home.
When presented with all choices available, the couple decided that the Unison HomeBuyer Program was the right choice for them. It gave them the financial flexibility they sought, while allowing them to purchase the home they wanted to raise their family in.
Lowitz reached out to the Unison team to get things rolling quickly, as there was a deadline that needed to be met. The couple had promised the family members who owned the property that they would complete the transaction before December 28th, so the funds could be disbursed by the New Year.
The San Diego couple found the process of working with Unison to be easy and straightforward. They were engaged by the Unison team and through a series of calls and educational materials they became educated on the Unison HomeBuyer program.
Lowitz said, “watching Unison engage with our buyers gave me peace of mind and showed me that Unison valued the partnership with our mutual clients as much as I do.”
The buyers are very happy with the program as well. The client said, “we feel it’s very fair that Unison’s not looking to receive a monthly payment from us, right away. Instead they’ve partnered with us to invest in our home. They will share in the increase or decrease in its value.
As the husband and wife complete the remodel over the next few months, they could not be happier with how things turned out. They have the home they wanted with funds to make it truly theirs, protecting their monthly cashflow. Closing with First Cal and Unison was smooth and on time.
All in all, this was a very successful outcome for the buyers thanks to Michael Lowitz, their loan advisor, and the Unison HomeBuyer program.