By John Aretos, CEO of Police Mortgage
There are two components to the final walkthrough. The first part is to address what was found in the inspection. The attorneys likely communicated a week before and agreed that the required work was done to the property, but you want to make sure that it was taken care of to your liking prior to the closing.
The second component is to see if an event may have occurred in or to the house In between the time that the inspection was completed and the required repairs were done. Examples of an event could be a flood, a large storm, an earthquake, etc.
Such an event actually happened to me once when I was buying a home. During the walkthrough I found out that something wasn’t right. After the inspection, we had what was an incredibly wet May. I remember it being torrential rain. Water seeped into the house through the front by the gutter. There were leaves in the gutter that caused an overflow and some of the water seeped in between the gaps of the drywall near the windowsill. The seller disclosed it right away and we discussed what we needed to be done, but that’s an example of something that could easily occur before a walkthrough.
So, when you come to a reputable financial institution like a patrolman credit union, the loan officer will advise you to take a close look at the property during the walkthrough. You want to try to avoid what I call a pissing match between the buyer’s and the seller’s attorneys if you can because that could be enough to shut the deal down.
In these situations, it is very possible for a buyer on the principle of it all to just walk away from $1,000 of earnest money and say, “We don’t want this house anymore!”
That’s why we at Police Mortgage will often advise that when you’re selling a house, always try to collect as much earnest money as you can. Similarly, if a client of ours really wants a property, we may suggest making an offer with some fairly significant earnest money. If you can come in with $5,000 or $10,000 of earnest money instead of the bare minimum, which is usually $1,000, then you have spoken to the seller in a way that you’re saying that you’re very serious about buying this property.
Buyers are less likely to walk away and risk losing $10,000 over a crack on the steps they see when walking up to the house during the final walkthrough. It takes two to tango and sometimes logic doesn’t even matter even when significant earnest money is involved. Some buyers figure, “I’m going to have my attorney talk to your attorney and we’re going to try to get that $5,000 back.”
Loan officers hate these emotional situations. Once the loan commitment is done and the appraisal has cleared, then our assumption is that the loan’s going to close, no matter what. But sometimes silly things happen right at the end and emotions fly.
That’s why it’s best to have good attorneys and good realtors because they are proactively communicating with each other. Unfortunately, that isn’t always the case.
These situations reinforce the strengths of what we offer at Police Mortgage because of our vast knowledge. We’re not realtors, appraisers, attorneys, or home inspectors, but we have experiences of so many different transactions, some of them our own. So, we are always actively advising our clients to do their due diligence on all aspects of the home-buying process including the final walkthrough.
Police Mortgage specializes in conventional mortgages, purchase money transactions, FHA loans, and VA loans. Led by founder and CEO John Aretos, Police Mortgage is known and respected for providing clients with exceptional service, customized terms, quick and easy closings, and low money down options. To learn more about Police Mortgage, go to www.policemortgage.com or call 312-499-8878.
Police Mortgage for First Responders Who Are Second To None.
Chicago Office:
100 W. Randolph, 9th Floor, Chicago, IL 60601.
Springfield Office:
320 W. Washington, 3rd Floor, Springfield, IL 62786. | Phone: 888.473.4858
I have my bachelor’s in business administration and have been involved in the banking industry for over 10 years. During this time, I managed two of the Chicago Patrolmen’s Federal Credit Union locations prior to transitioning to Police Mortgage. I have family members who are police officers with the Chicago Police Department. My work has been very rewarding, and I take pride in having assisted countless members and their families with their financial needs and financial wellness. My hobbies include exploring new restaurants in the city and running for marathons that support pediatric cancer foundations and Chicago Police Memorial Foundation’s Run To Remember. I come from a large family primarily from the south side of Chicago and love to share all the diversity and beauty the city has to offer with my two children.
I am honored to grow up in a multi-generational family of Chicago Police Officers. I joined Police Mortgage in the summer of 2020 and love the opportunity to help both first-time buyers and repeat clients alike achieve their dreams of purchasing a home. Having been born and raised in the south suburbs of Chicago, I happily live in the Lakeview neighborhood today. Along with my two younger sisters, I am a graduate of the University of Illinois at Urbana-Champaign and a lifelong Chicago Bears fan. I have a strong passion for food and love exploring the vast array of restaurants throughout our city. Nothing makes me happier than spending a summer afternoon on a golf course with family and friends!
I joined my brother at Police Mortgage as a loan officer in August of 2021 after a 10-year career in sales and marketing. Most recently, I worked as a Senior Account Executive for Ricoh North America, an office electronics company, where my main responsibilities were building new client relationships and maintaining over 400 existing customer accounts. I believe my work experience has transferred over to the mortgage industry well, because I am able to multi-task effectively while working with multiple customers. The skillset I learned in my previous employment allows me to stay organized and to manage my time well for my customers. My number one goal is always to make the loan process as quick and painless as possible for our borrowers. I am excited to further develop the Police Mortgage brand with my brother. It is a unique situation, and I believe working in an office together allows us to help our borrowers even more due to streamlined communication and our ability to help each other with our respective files. I like to spend my free time relaxing, watching sports, exercising, going out to eat with my wife, and trying to keep up with our three daughters – all under five years old!
After graduating from the University of Missouri in 2015, I moved to Chicago where I began a career in marketing at a firm called Ansira. I sought a career change and contacted Police Mortgage, where I was first introduced to the mortgage industry. I have spent the last 5 years training with our CEO, John Aretos, who has taught me all of the intricacies of the mortgage process. I love finding solutions for our clients to help them purchase the home of their dreams. I feel a huge sense of accomplishment when helping homebuyers, especially first-time homebuyers, all the way through the loan process, from pre-approval to closing day. I recently moved back to my hometown of St. Louis, where we opened a new office. I am excited to help start this new chapter for Police Mortgage. My wife, Megan, and I are happy to be back in our hometown. We are always checking out new outdoor events such as music or food festivals – anywhere we can take our dog, Remy!
As the CEO of an organization associated with serving the Police and their loved ones, I am privileged to play a role in helping our clients achieve their life’s financial goals. Our mission is to make the home buying or refinancing process as comfortable as possible, providing our clients with competitive products and excellent service.
I was born and raised in the Chicago metropolitan area, and I have a deep-rooted love and appreciation for the diverse culture which makes our city so special. My two older siblings and I grew up working in our parent’s restaurant, which instilled a work ethic and sense of family that I carry with me to this day.
I am a graduate of Indiana University and have been involved in the mortgage industry for nearly 25 years, helping thousands of clients save money or finance the home of their dreams. My passions are passing down my love of food, music, art, snow skiing, and red wine to my three children, who motivate me to be a better person each and every day!
