Ricky Khamis's Blog: Protect Your Transaction Explained in Detail


Protect Your Transaction Explained in Detail

Protect Your Transaction Explained in Detail

Protect Your Transaction (PYT) was developed for a true need in the industry.  If you would buy a phone and pay $99.00 plus maybe the added insurance of $11.00 a month why is it that a loan has ZERO recourse for the lenders non-performance?  

I have personally seen many peoples lives turned upside down due to a HORRIBLE lending process.  The lender didn't check the documentation UP FRONT! (who does that!) Then YOU the REALTOR take the client out looking at homes, banking on the fact that the lender did their job UP FRONT.  You show them 10, 12, sometimes up to 30 homes and FINALLY after 3 months of showing properties you have an accepted contract.

That's when you get the call that goes something like this "Bill, do you think maybe you could nudge your client for me?  I asked them 3 months ago for all their documentation and they never sent it in." AND your stomach instantly drops like when an airplane hits an air pocket.

PYT was born for the above scenario, it was out of a true need to protect buyers and sellers against bad loan originators who do not do their job up front.  PYT is a quality assurance program that provides all parties with confidence that the Buyer's offer is a truly Approved and the lender is committed to the loan. In a home purchase transaction there are two primary parties, the Seller and the Buyer.  Both parties make major commitments in a home purchase transaction.

Sellers agreed to turn-down other offers and may be buyers of a new home that depends on the sale of its current home. Additional months of mortgage payments and uncertainty when transactions do not close represents thousands of dollars and hardship.

Buyers may be selling their current homes, given notices to their landlords, hired moving vans, researched new schools... a lot is riding on making sure their home purchases close.

That is why there is so much stress related to a home purchase ON ALL SIDES! Not to mention your personal income, or expenses you took on when taking the listing or driving the buyer around for months.  It is time the Lending world puts their money where there approval is! Don't you agree? It's time that we weed out the bad lenders and protect both clients, Isn't it? 

Protect Your Transaction was created to make sure the lender has 'skin' in the game and is committed to the transaction.  Now if the loan goes bad, the lender has to pay damages to the buyer who in turn could assign part or all of the damages to the seller!  When in history has that happened? 

In a nut shell:

  1. Buyer Completes the application process with a PYT lender
  2. When approved, lender issues PYT loan commitment
  3. Buyer finds home of their dreams
  4. Buyer and Seller enter into an agreement that includes PYT loan commitment
  5. Complete the property inspection and loan paperwork
  6. CLOSING DAY - on time and as planned

Important note: If the lender does not perform on the loan once the PYT certificate (below) is issued the lender will pay up to a maximum of $10,000.00 to the buyer protecting the buyer from losing their earnest money OR the buyer could use this to strengthening their offer by assigning all or some of the money to the seller.


Protect Your Transaction Certificate

PYT Protect Your Transaction Certificate



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Ricky Khamis
NMLS 173141 | LO-0911814 | CA-DOC173141
Branch Manager | Corporate Office
Arizona and California CE Instructor

Email: Rick@amerifirst.us

480-344-1900 office
602-758-7425 mobile
480-339-1615 fax

NMLS 145368 

1550 E. McKellips Rd, Suite 117
Mesa, AZ 85203


Amerifirst Financial Disclosure-  The opinions expressed here are the personal opinions of Ricky Khamis.  Content published here is not read or approved by Amerifirst Financial before it is posted and does not necessarily  represent the views and opinions of Amerifirst Financial.

Comment balloon 15 commentsRicky Khamis • September 30 2014 12:54PM


This could really be a great program for agents to ensure that their clients are actually approved to purchase and not just pre-qualified on a piece of paper that isn't worth the paper it's printed on. I think every agent should demand this level of 'approval' from their loan officers. 

Posted by Bob Stewart, ActiveRain Ambassador (ActiveRain) over 5 years ago

This is a great tool.  I agree with Bob. I wish all buyers could use use PYT.

Posted by Joan Whitebook, Consumer Focused Real Estate Services (BHG The Masiello Group) over 5 years ago

Sounds like a really good idea, I would like to hear more details.  Is there some type of fee involved?    Does the originator pay it?

Posted by Bill Dean, William Dean - Broker, Salesperson (Haggerty Team St. Louis, Mo.) over 5 years ago

I think it's the most revolutionary change to lending that is advantageous to both the buyer, seller I've ever seen.  Very excited to start using it!

Posted by Michele Smylie Clark, ,#480-390-4182, #azpropertymatchmaker@gmail.com over 5 years ago

 Good morning Ricky. Although I do not have a dog in the hunt on this product, it does sound very interesting.

Posted by TeamCHI - Complete Home Inspections, Inc., Home Inspectons - Nashville, TN area - 615.661.029 (Complete Home Inspections, Inc.) over 5 years ago

I've never heard of this, but it does sound like a wonderful idea. 'Guessing no one in my area is using this yet but I'll be watching for it.

Posted by Margaret Woda, Maryland Real Estate & Military Relocation (Long & Foster Real Estate, Inc.) over 5 years ago

RIcky that sounds like a great program, is there a way you could get that into some sort of periodical for those who don't read blogs?


Posted by Sybil Campbell, REALTOR® ABR, SFR, SRES Williamsburg, Virginia (Long and Foster REALTORS® 5234 Monticello Ave Williamsburg, Virginia) over 5 years ago

Great post and awesome way of getting a buyer approved. What states is this available in? I see you are in Arizona is this the only state it will work in? 

Posted by Laura Filip, What can we do for you today? (Laura Filip Broker , Opening doors for All Seasons of Life ) over 5 years ago

Bob Stewart spoke for me...thank you and good post here

Posted by Richie Alan Naggar, agent & author (people first...then business Ran Right Realty ) over 5 years ago

That's why buyers can do themselves a favor by going to their agents' perferred lender.  This doesn't happen on my watch.  PYT reminds me of Michael Jackson's song, Pretty Young Thing, LOL

Posted by Carla Muss-Jacobs, RETIRED (RETIRED / State License is Inactive) over 5 years ago

Protect all assets and minimize liabilities as always.

Posted by Laura Cerrano, Certified Feng Shui Expert, Speaker & Researcher (Feng Shui Manhattan Long Island) over 5 years ago

Bob - We have made that a practice for years and have only had fall out with folks that have literally lost their jobs in the middle of the transaction (Rare as that is).

Joan - Thank you, it was 2 years in the making and lots of attorney's!

Bill - There is no fee involved to any parties, it is in a nut shell the lender guaranteeing that we have done our homework up front so the approval is strong from the jump.

Michele - you are absolutely correct! This will change the face of the industry. I'll send you more information on it for Cave Creek.

Michael - I appreciate your comment.

Margaret - Not yet in MD, but will be in the future I am certain.  It is brand new to the market.

Sybil - That is a great idea, thank you for that.

Laura - this is available in AZ, CA, UT, TX, ID and CO at the moment.  State by state is coming, the language just varies a bit.

Richie - Thanks a lot it is available in CA as well.

Carla - LOL!  I have gotten that a lot too.  Yes their preferred partners help, because they know their process and it works.

Laura - TRUE THAT!!

Posted by Ricky Khamis, NMLS 173141 | CADOC 173141 - 480-339-1565 (Amerifirst Financial, Inc. (NMLS #145368)) over 5 years ago

A lender takes care of a lot of the home buying process after the contract is accepted.  Trust your lender and trust those who recommend him or her.  

Posted by Kevin Mackessy, Dedicated. Qualified. Local. (Blue Olive Properties, LLC) over 5 years ago

This could be useful for both the buyer agent who shouldn't be showing homes if the buyer isn't truly qualified, to more importantly, the seller who shouldn't get into contract unless the buyer is solid. Solid.

Posted by Claude Labbe, Realty for Your Busy Life (Real Living | At Home) over 5 years ago

I love this RickY! We are excited to start woking with Amerifirst Financial! You guys are amazing and cant wait to introduce potential buyer to you guys and this program! Its definitely a game changer!

Posted by Mark Wagner Jr. (Zion Realty) over 5 years ago