The Quest for the American Dream

The Quest for the American Dream.

The American Dream is the term commonly used to refer to home ownership. Most people, even with the current state of the economy, want to own a home. So, how do you get your little piece of America? Call a Realtor! It’s that easy. When deciding whom to call, let me encourage you to find someone experienced and active in the market.  Many people have a real estate license but the market dynamics are ever changing. Someone who is out there every day working with the current inventory and experiencing current purchasing requirements is the best way to ensure you are going to get the house you want and get the most for your money.

When you first contact your Realtor, they will ask you questions about what you are looking for and how much you want to spend. Before making that first call, give this a bit of thought. Make a list of things your future home must have and a list of wants (things that would be nice but not necessary). Are you willing to look at foreclosed properties, or short sales or do you need to stick with resale properties.  Each of these categories have their own pluses and minuses that you and your Realtor will need to go over. This little bit of work will help keep you and your Realtor on the right track to begin your quest. 

Most homes listed with a real estate company are entered into a multiple listing database. The common one used for the metro-Atlanta area is First Multiple Listing Service, or FMLS. It is a member only service. To use this you must have a real estate license and pay for membership. This and other MLS services do release their data to web sites such as Trulia, Zillow, Yahoo Homes and many, many others. This enables you to do a bit of research on your own. However, they only release a limited amount of information and you can’t be guaranteed the information on these sites is up to date. Your Realtor will be able to send you searches from the multi-list services and even set up a profile for you that automatically notify you of any new listings that fit your search criteria the very day they hit the market. This ensures that you don’t miss a single property that comes on the market. And, for the computer savvy, they can create a client gateway, your own personal web site that allows you and your Realtor to review and manage properties meeting your search criteria.

During this first phone call, the Realtor will put you in touch with a mortgage consultant or a lender. It is important to do this early in your search because most sellers these days won’t look at an offer without a letter stating you are ready, willing, and able to buy and the bank is ready, willing, and able to lend. In order to make an application for a mortgage, you will need a few things. 

1. Copy of all consecutive paystubs from the last 30 days
2. Past 2 years W2/1099 forms
3. Self Employed Applicants: Personal and Corporate tax returns for the past 2 years
4. Past 2 years tax returns for any persons who are commissioned, using bonus, interest, or rental income to qualify
5. Complete address, phone number, and name of landlord(s) for the past 2 years.
6. 2 months bank statements on all checking, savings, credit union, and stock accounts
7. Sales contracts with original signatures of all parties, if purchasing a home
8. Payment for application and appraisal fees

After talking with your Realtor and Lender you are ready to start looking. Schedule a few hours or a day with your agent and walk through some houses. As you do this, you might decide to adjust your list of priorities. And, let me give you a bit of advice, make LOTS of notes because all the houses you see will quickly begin to run together! I always bring along copies of the multi-list printouts for my buyers to use for this. That way they have a picture, FMLS info, plus their notes to help them stay on top of it. Most Realtors are available by appointment 7 days a week. So, don’t worry, we certainly go out on nights and weekends. Just give us a little bit of a heads up so we can make baby-sitting arrangements. 

Happy Searching!  And Happy 4th of July!

Next week I will have another installment of Your Green Home.  Thanks for reading!