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Key Realty Knowledge Base

Company Resources

COVID-19 Resources

Last Updated 5/6/2020 1:00 PM

Addendums and Forms (including Consumer Resource Sheet)

PPP Second Draw/Loan Overview and Guidelines

Videos:

Key Realty Update Videos

Recordings of our weekly, Wednesday Key Realty Updates on various topics.

**NEW** Showing Posters for Listings (Requesting shoe covers, masks, and gloves) Version 1 Version 2

Dialogues & Scripts

Buyer will not wear protective clothing/mask:
I understand that you don’t want to wear a mask or protective clothing, however, at the request of both clients, Key Realty and the State, I am asking you to reconsider. If you cannot comply with these guidelines, I cannot show you this home.

Buyer does not want to provide a pre-approval
A pre-approval shows the seller that if you love the house and want to purchase it, you can. If you were a seller, think how frustrated you would be if a buyer comes to your home, loves it, but can’t buy it. Especially during the COVID Crisis. We simply cannot put a seller through that. With your permission, I will give your number to (lender) at (lending institution) and he/she will call you to get you pre-approved. It doesn’t take long. Once you have that pre-approval in hand, I will get the showing set up.

Unemployment Resources:

Mailing Address for Key Realty Corporate:

6546 Weatherfield Ct, Building #C3
Maumee, OH 43537
419-777-5391

MICHIGAN UNEMPLOYMENT

OHIO UNEMPLOYMENT

Unemployment FAQ's

Independent contractors qualify
Up to 39 Weeks
State + $600
- $600 from Feds is for 13 weeks
- April 10th - unemployment application for independent contractors
- Awaiting portal from States- It is not set up yet

Mortgage Protection

Mortgage Forbearance

Any Federally-backed loan qualifies (FHA, VA, Ginnie Mae, Fannie Mae)
Save your house and your neighbors
Federal-back loans - 6 months forbearance
1. Plus 6 months forbearance
Added to escrow - payable over 5 years
Many banks have individual programs
The volume of forbearance requests is straining the system
No negative credit impact from agreed-on forbearance

Non-Government-backed loans

Talk to your local lenders

Funding Programs

Paycheck Protection Program (PPP)

NAR Overview

PPP application (PDF)

Treasury Dept. PPP Info Sheet

PPP Loan Forgiveness Process

Average monthly cost

Salaries, Rent, Utilities - 2.5 Months
Individual salary - $100,000 limit
Must maintain 75% of payroll and same employee - 100% forgiven
1. Below 75% - still eligible for partial payment

Apply through SBA lenders approved lenders
PPP or Unemployment
1. Realtor A made $40,000 in 2019
  1. Unemployment State amount ($200) plus Fed amount for 13 weeks ($600/week), a total of $800 per week for 13 weeks- $10,400 from unemployment. State unemployment (minus the $600) can continue for up to 39 weeks. So, 26 additional weeks of $200 per week. The maximum benefit is $15,600 if someone is on unemployment for 39 weeks (unlikely). This is taxable income. As soon as you get a commission check, you are again employed and not eligible for unemployment.
  2. PPP- 2.5x's monthly salary- $40,000/12 = $3333- monthly salary than multiply by 2.5- $8,333 via PPP and forgivable if used for payroll(paying yourself). This is tax-free, essentially a grant.
2. Realtor Aa made $100,000 in 2019
  1. Unemployment State amount ($200) plus Fed amount for 13 weeks ($600/week), a total of $800 per week for 13 weeks- $10,400 from unemployment. State unemployment (minus the $600) can continue for up to 39 weeks. So, 26 additional weeks of $200 per week. The maximum benefit is $15,600 if someone is on unemployment for 39 weeks (unlikely). This is taxable income. As soon as you get a commission check, you are again employed and not eligible for unemployment.
  2. PPP- 2.5x's monthly salary- $100,000/12 = $8333- monthly salary than multiply by 2.5- $20,8333 via PPP and forgivable if used for payroll(paying yourself). This is tax-free, essentially a grant.

EIDL Application

Advance Grant - $10,000 - 5-7 business days
1. Same rules apply for uses
2. Also forgivable
3. Can apply for both
4. 10,000 is deducted from the other program
5. Multiple companies can apply
6. Must be "injured"
EDIL Application

PPP Second Draw/Loan Overview and Guidelines

PAYCHECK PROTECTION PROGRAM SECOND DRAW LOANS
The Paycheck Protection Program (PPP) now allows certain eligible borrowers that previously
received a PPP loan to apply for a Second Draw PPP Loan with the same general loan terms as
their First Draw PPP Loan. Second Draw PPP Loans can be used to help fund payroll costs,
including benefits. Funds can also be used to pay for mortgage interest, rent, utilities, worker
protection costs related to COVID-19, uninsured property damage costs caused by looting or
vandalism during 2020, and certain supplier costs and expenses for operations.

Full Forgiveness Terms
Second Draw PPP Loans made to eligible borrowers qualify for full loan forgiveness if during
the 8- to 24-week covered period following loan disbursement:
• Employee and compensation levels are maintained in the same manner as required for the
First Draw PPP loan;
• The loan proceeds are spent on payroll costs and other eligible expenses; and
• At least 60 percent of the proceeds are spent on payroll costs.

Targeted Eligibility
A borrower is generally eligible for a Second Draw PPP Loan if the borrower:
• Previously received a First Draw PPP Loan and will or has used the full amount only for
authorized uses;
• Has no more than 300 employees; and
• Can demonstrate at least a 25% reduction in gross receipts between comparable quarters
in 2019 and 2020.

Maximum Loan Amount and Increased Assistance for Accommodation and Food Services Businesses

For most borrowers, the maximum loan amount of a Second Draw PPP Loan is 2.5x average
monthly 2019 or 2020 payroll costs up to $2 million. For borrowers in the Accommodation and
Food Services sector (click HERE for NAICS 72 to confirm), the maximum loan amount for a
Second Draw PPP Loan is 3.5x average monthly 2019 or 2020 payroll costs up to $2 million.

How and When to Apply
Borrowers can apply for a Second Draw PPP Loan until March 31, 2021, through any existing
SBA 7(a) lender or through any federally insured depository institution, federally insured credit
union, eligible non-bank lender, or Farm Credit System institution that is participating in PPP.
All Second Draw PPP Loans will have the same terms regardless of lender or borrower. A list
of participating lenders as well as additional information and full terms can be found HERE.

Ensuring Access for All
SBA continues to call upon its lending partners, including Community Development Financial
Institutions (CDFIs) and Minority Depository Institutions (MDIs), to redouble their efforts to
assist eligible borrowers in underserved and disadvantaged communities. At least $25 billion is
being set aside for Second Draw PPP Loans to eligible borrowers with a maximum of 10
employees or for loans of $250,000 or less to eligible borrowers in low- or moderate-income
neighborhoods. To promote access for smaller lenders and their customers, SBA will initially
only accept Second Draw PPP Loan applications from community financial institutions starting
on January 13, 2021. The PPP will open to all participating lenders for Second Draw PPP
Loans shortly thereafter.

Visit www.sba.gov or www.treasury.gov for more information and details, including the comprehensive program rules.

COVID-19 Resources

Last Updated 5/6/2020 1:00 PM

Videos:

Slideshows:

NAR Resources

Addendums & Forms:

Dialogues & Scripts

Unemployment Resources:

Unemployment FAQ's

Mortgage Protection

Mortgage Forbearance

Non-Government-backed loans

Funding Programs

Paycheck Protection Program (PPP)

EIDL Application

PPP Second Draw/Loan Overview and Guidelines