Essential Buying Information Provided by: ________________________________ Coldwell Banker Schmitt Real Estate Co. “The Most Trusted Name in Florida Keys

Essential Buying Information

Provided by:

________________________________

Coldwell Banker Schmitt Real Estate Co.“The Most Trusted Name in

Florida Keys Real Estate”

1955 - 2014

Thank you for the opportunity to provide the following information to assist you in

understanding the process for, and all that is involved in, buying your property in the present Florida Keys real estate market.

I. Coldwell Banker Schmitt’s Competitive Advantage

II. Current Market Conditions

III. The Property Buying Process

IV. “Points of Difference” that set CB Schmitt apart from other companies

Company Mission StatementTo build on our heritage as the area’s oldest and largest, full-service Real Estate Company providing unparalleled service, with resulting

profits to our company, associates, customers and clients, while steadfastly

maintaining the highest ethical standards necessary to remain…

“The Most Trusted Name inFlorida Keys Real Estate”

CBSREC Competitive Advantage

Our “Mission Statement” provides the foundation and guiding principles for management, staff and agents to rely

upon in order to achieve ever increasing levels of success for themselves, their

customers and their clients.

Because these guiding principles constitute the moral fabric of the

company, CBSREC will continue its now 58-year heritage of full, unparalleled and highly ethical service to its associates and

their clients!

Current Market ConditionsFlorida Keys

Real Estate Market

Florida Keys Real Estate Market Jan-Dec 2014 Vs. 2013

Upper Keys

Middle Keys

Lower Keys

Key West

All AreasAll

Areas

Lower Matecumbe-

KL

7 Mile Bridge-Long Key

Bay Point-Big Pine

KW-Shark Key

Keys-wide 2013

Number of Sales

As of 12/31/14

+5% More912

+15% More568

+2% More514

+8% More812

+7% More2,806

2,615

Avg. Sale Price As of 12/31/14

+13% More$475K

+1% More$405K

-3% Less$351K

+17% More$647K

+10% More$488K

$444K

$ Value of Sales

As of 12/31/14

+19% More

$433M

+17% More$230M

-1% Less$180M

+26% More

$525M

+18% More

$1.37B

$1.16B

Sale Price to Original List Price Dec‘14

+8% More

89.82%

+5% More88.71%

+6% More

88.67%

+6% More

85.31%

+6% More88.13%

82.97%

Sale Price to Final List

Price Dec ‘14

+1% More

92.86%

No Change92.01%

+4% More

93.01%

+2%More

95.61%

+2% More93.37%

91.86%

Avg. Days to Sell

As of 12/31/14

-19% Less224

No Change233

-9% Less210

-25% Less186

-14%Less213

247

Pending Transactionsat the end of Dec

2014

57(Dec #

Sales 59)

36(Dec # Sales

55)

44(Dec #

Sales 46)

17 (Dec #

Sales 69)

154 (Dec #

Sales 229)N/A

Listed Properties

As of 12/31/14

-4% Less797

-17% Less490

-13% Less 490

No Change

783

-8% Less2,560

2,772

Avg. “List Price”

As of 12/31/14

+35% More$995K

+7% More$721K

+4% More$601K

-1% Less$790K

+14% More$804

$707K

Mths of Inventory

As of 12/31/14

-9% Less10

-28% Less10

-14% Less11

-8% Less12

-14% Less11

13

Number Properties Available Vs. Sold – Keys-Wide Source: Florida Keys MLS

-27%

2,560

3,359

169

229

-24%

+36%

2011 2012 20142013

Florida Keys Real Estate Market - Listed Properties

Listings On the Market Average List Price

# Listings

% Change Vs Previous

Year

Average List Price


Year

2014 2,560 -8% $904,422 +14%

2013 2,772 -12% $707,087 +2%

2012 3,138 -7% $695,854 -5%

2011 3,359 -10% $729,285 -2%

2010 3,752 +3% $740,504 -15%

2009 3,636 -18% $859,452 -4%

2008 4,424 -.1% $899,084 -9.2%

2007 4,430 -4% $990,131 .7%

2006 4,628 33% $983,032 .7%

2005 3,469 91% $976,150 23%

2004 1,818 .4% $792,371 33%

2003 1,810 -.7% $594,647 26%

2002 1,822 -11% $471,377 25%

2001 vs 2000

2,058 -24% $375,802 12%

Florida Keys Real Estate Market - Sold Properties

Closed Sales Average Sales Price

Sales% Change

Vs Previous Year

Average Sales Price


Year

2014 2,563(99% of

2013)$492,922 +11%

2013 2,601 +16% $443,687 +6%

2012 2,234 +9% $419,787 +4%

2011 2,050 +14% $404,822 -3%

2010 1,804 +16% $419,139 -8%

2009 1,560 +34% $453,203 -23%

2008 1,166 -11% $588,194 -21%

2007 1,311 -13% $731,000 -10%

2006 1,500 -45% $805,883 3%

2005 2,752 -22% $782,400 39%

2004 3,510 4% $563,362 30%

2003 3,377 7% $433,022 31%

2002 3,162 10% $328,801 14%

2001 vs 2000

2,874 19% $288,166 5%

Understand Buyer’s Goals & Requirements

Select Areas & Homes

Present Offer withEarnest Money Deposit

Contingencies: * Financing * Home Inspection * Pest Inspection * Sellers Disclosure * Close Open Permits

Loan Commitment(Credit, Assets, Survey & Appraisal)

InspectionsSelect Settlement Company

Mortgage Approval

Home Owners Insurance

Pre-Settlement Walk-Thru

Phone, Water, Electricity to Buyer’s Name

Move In!

Search for & Find

YOUR Property!

Settlement Keys & Move In

Negotiations & Acceptance

Pre-Qualify with Lender

Provide Buyer with Current Market Conditions & “Keys” Property Buying Process”

& “Florida Agency Regulations”

“Buyer Interview” with CB Schmitt Agent

Buyer

The Home Buying Process

What Is Important To You In Buying Property?

The five most important Buyer priorities:

Help finding the right home to purchase

Help with price negotiations

Help with paperwork

Assistance finding & arranging financing

Information on the Sale Price of comparable properties

CB Schmitt continues to ask Buyers what is important to them

Our “Property Buying Process” is designed to meet those priorities to achieve Your real estate objective.

“Property Buying Process”

Our Interactive Interview:

Informs me about your real estate goals & dreams

Informs you about current market conditions and trends

Provides you important information concerning the process for purchasing property in the Keys

“Property Buying Process” Please provide me your thoughts on the

following:

Your criteria for selecting a real estate company:

1. ____________________________________________

2. ____________________________________________

3. ____________________________________________

Your criteria for selecting a Sales Associate:

1. ____________________________________________

2. ____________________________________________

3. ____________________________________________

Your primary buyer needs:

1. ____________________________________________

2. ____________________________________________

3. ____________________________________________

Your concerns about purchasing property in the Keys:

1. ____________________________________________

2. ____________________________________________

3. ____________________________________________

“Property Buying Process” Property Search:Enter you criteria in the Multiple Listing Service (MLS)Together we review results and determine the properties to visitDo ask me about properties you see on the Internet, advertised or with a sign so I can provide you detailed information about themWe will visit properties that are of interest to youFor the “Best Fit” property I will provide:

o Buyer’s Real Property Sales Disclosure with information about purchasing in the keys and specific information that addressees:o Status of Open/Expired Permits o Status of County Code Violationso FEMA list statuso If the property has a Downstairs Enclosure,

whether or not it conforms to FEMA requirements to qualify for Flood Insurance

o Sewer system informationo Comparative Market Analysis (CMA)

o Detailed information for similar properties to assist you in determining an “Offer Price”

o Tax Records and Property Record Cardo “Closing Cost” – Preliminary estimate

“Property Buying Process” Preparing, Submitting & Negotiating Your Purchase Offer:Add to your negotiating power by being pre-approved for a mortgage, for that shows sellers and their agents you are serious about buying.Determine the Terms and Conditions of the Purchase Offer Complete the FAR/BAR “As Is” Contract For Sale And Purchase, including as appropriate for the property:

o Monroe County Local Rider to “As Is” Contract For Sale and Purchase which modifies the State wide contract to address purchasing property in the Florida Keys

o Seller’s Disclosure provides you information about the Seller’s knowledge of the property

o Buyer’s Inspection Disclosure for the Seller to update specific information about the property

Assist you in preparing responses and counter offers appropriate to your purchase objective Keep you informed every step of the way to achieving a satisfactory contract to purchase that property

“Property Buying Process” Support You from Contract Acceptance to ClosingProvide & discuss with you the “Critical Dates Checklist” of buyer items to complete prior to taking ownership, such as:

o Additional Escrow Depositso Property Inspections o Loan Approvalo Insuring the property prior to closingo Electric and Water placed in your name as of

the day of closingo Wiring funds to close

Assist you to complete inspections and determine your course of action depending on the results

o Provide you with a list of companies and individuals that can provide expertise and services related to your specific needs

Provide you a “Contact List” of agencies to establish service for your new property and getting settled in the KeysTogether we will conduct a “Walk-Through Inspection” of the property to verify the condition is in accordance with the terms of the contact and completion of any required repairs the day prior to morning of closing

The “Points of Difference”

that set CB Schmitt apart from other companies

Top reasons Buyerschoose to work with CBSREC::

Our reputation

Market Knowledge

Customer Satisfaction

Personal Contacts

The Coldwell Banker Reputation

Top reasons Buyerschoose to work with CBSREC::

Our reputation

Market Knowledge

Customer Satisfaction

Personal Contacts

The Coldwell Banker Reputation

“Points of Difference”

We are a “Single Agency” Company: Single Agency means that I am your advocate I will represent you and your interest above all

others including my own I can provide the full spectrum of representation

to you including the fiduciary responsibilities of loyalty, confidentiality and obedience

I will present all offers and counteroffers in a timely manner

I will disclose all known facts that materially affect the value of your property and are not readily observable

We believe this is the type of representation you expect and deserve as we “Stand in Your Shoes” so to speak while getting your property Sold!

Most Other Companies are Transactional Brokerages They represent both parties, or “The Transaction” Limits the confidentiality and direct support they

can provide to you


Florida Law of Agency Continued . . . The Single Agency relationship serves all parties well

except when agents of CBSREC represent the seller and the Buyer in the same transaction (in-house sale).

o In that instance the law forces the agents to transition from being a Single Agent to a Transaction Broker wherein we provide both parties with fair and honest dealing, skill, care and diligence, accounting and disclosure of all know facts that material affect the value of the property.

o This limited form of representation allows the agents to facilitate the transaction by assisting both the Buyer and the Seller, however the agents will not work to represent one party to the detriment of the other.

o The benefit is we will be working with a well-trained, experienced, and successful Coldwell Banker Schmitt agent, which facilitates a smooth and orderly process to closing.

To ease this transition CBSREC policy is to ask all Buyers whom we represent as single agents to allow us to provide this form of representation when showing and negotiating an offer on a CBSREC listing.


Buyer’s Real Property Sales DisclosurePurpose: Provide substantive information about purchasing property in the Florida Keys Benefit: You understand the unique differences in buying property in the Keys, to assist you in achieving your real estate goals

o Deposits & Closing Costo Square Footage Guidelineso Property Tax Changes Disclosure o Survey, Building Inspectionso Open/Expired Permits & Code Violationso Monroe County Requirements for Properties

Located in a Coastal Floodplain, Downstairs Enclosure Issues & Non-Conforming Use

o Flood Insurance & Congressional changes to the FEMA National Flood Insurance Program

o Elevation Certificate & determining Flood Insurance Cost during the Inspection Period

o Land Use Disclosureso Vacation Rentalso Concrete Spalling, Lead Based Paint, Radon Gas,

Mold & Chinese Defective Drywallo Sewage Systems and Upgrades Disclosure

Important Documents for Buyers


Buyer’s Services GuaranteePurpose: A written commitment to perform 22 specific services to fulfill my obligation to assist you in purchasing property in the KeysBenefit: You know what I will do to assist you in finding and purchasing your property and guarantees my performance will meet your satisfaction

o Understanding your needs, desires & goalso Your Agency alternatives & Buyer

representationo Financing pre-qualification assistance o CB Schmitt Team searcho Property showing and evaluation of propertieso Seller’s Disclosure form & Property Inspectionso Appraisal contingency & Home Warrantyo Estimate of funds required to purchaseo Offer preparation, Negotiation Strategy &

Presentation of your offero Property Inspections & Inspection remedieso Closing the sale & Pre-closing Walk-Througho After the sale service & Service Satisfaction

Surveyo Personal & timely response



Buyer’s Inspection DisclosurePurpose: to ensure you are aware of your rights for inspections and that you have updated, detailed information from the seller about the history and condition of any property you desire to purchase Benefit: You are able to make an informed decision about purchasing the property of your choice

Property Research & Evaluation ProgramLiens and legal Information provide you important information about properties of interestDeeds and Permits Research so you have up-to-date information concerning potential issues affecting transfer of ownership for a property of interestTax Records provide additional information for a property of interest Property Data Record Card has the most detailed information about the history of a propertyOpen and Expired Permits and Code Violations and the impact to a purchaser of that property Base Flood Elevation for properties of interest to you Sewage Treatment and Disposal system provide you with current type sewage system and expected type and cost for the required system by 2015


More “Points of Difference” that set CB Schmitt apart from other companies

The “Points of Difference” that set CB Schmitt apart from other companies

CBSREC is the only company in the Keys who utilizes the most advanced Internet based electronic Transaction Processing System available to provide all customers with a state-of-the-art method for sending, viewing and signing the paperwork involved in real estate transactions today; “Dot Loop”.

Address

Days On

Market

Sold Date

Sold Price

Listed/Sold by Natalie

239 W. Seaview CircleDuck Key 135 Pending

Listed At: $425,000 Pending

541 91st Street Marathon 112

11/26/2014 $390,000

Listed by Natalie

87200 Overseas Hwy Unit S4 Islamorada 170 10/9/2014 $242,000

Sold by Natalie

57537 Gibson St. Grassy Key 349 8/28/2014 $212,500

Listed by Natalie

457 95th Street Marathon 81 7/18/2014 $330,000

Sold by Natalie

22975 Bluegill Ln Cudjoe Key 53 7/7/2014 $540,000

Sold by Natalie


Sold by Natalie

332 Lemon Ave. Grassy Key 151 6/11/2014 $262,500

Listed by Natalie


Sold by Natalie


Sold by Natalie

6501 Ocean Terrace Marathon 83 4/10/2014 $455,000

Sold by Natalie

8 Sadowski Cswy Key Colony Beach 334 3/31/2014 $550,000

Sold by Natalie

Properties I Recently Sold Or Are Pending

Client Ratings of My Services So glad that finally it’s over and BIG THANKS again for all your help! I’m trying to convince some people here to invest in the Keys as well and recommend you as the best Realtor to reach this goal.

Daniel “Had a wonderful time with Ms. Natalie Johnson. She made a stressful time easy on everyone and kept me well informed on everything during the whole evolution- Great Job Overall! Thank you!”

Luke G “Natalie is a rock star! She worked so hard for us over the year it took to get us into a house. She goes above and beyond expectations. Can’t say enough about how positive she made the whole process.”

-Chris, Hope, Raymond & Joan S.

-Natalie was so helpful she always returned our calls promptly. We had called 2 other realtors and Natalie was the only one who called us back. She was always available to show us properties on short notice. She is so knowledgeable on the market in the keys. We were both extremely impressed. She made the whole process easy. The entire time seemed to go forward so smoothly. She was so organized and left nothing to chance. I thought buyer a property in another state would be very hard but it wasn’t. We appreciate everything she did for us. We feel we have made a new friend.

-Mike and Mary K.