Michael Neville - Intown Atlanta Realtor

I know, it's 37 degrees outside & people are questioning if they are in Atlanta or Alaska, but I promise the Spring Market is here! - well, at least it's beginning to come out of the winter slumber.

Atlanta basically has 1 month of "winter". Yes, it's "cold" by Southern standards from Thanksgiving to Valentine's Day, but you can tell Spring is here as we begin to see a dramatic increase in builders pushing to have their renovations ready, home owners calling to evaluate selling their home & asking for listing presentations, and of course an increase in inquiries from people saying "I'm thinking about buying a house this year, is this a good time?"

The answer is YES! Can you say "Instant Equity"? The interest rates are still historically at an incredibly low mark, the Spring market tends to produce the largest volume of quality listings (yes, many listings on the market aren't good b/c they are either overpriced or in poor condition, or possibly both.) I took a client through 20 homes yesterday. Out of those 20 homes - he thought 3 of them were good (2 of the 3 were already under contract but he wanted to understand what "good" looked like b/c he had seen so many marginal products).

People wonder when the foreclosures will hit the market, the answer is - we can't safely predict when particular houses will hit the market because banks, asset managers (the companie assigned to handle the banks' portofolios of homes, real estate brokers, etc. all have lovely red tape to create before a home officially hits the market, so don't count on them rolling out at a certain time.

What you can count on is the Spring is the traditional time in Metro Atlanta (no matter if you're Dekalb, Fulton, Cobb or another surrounding county) when the largest number of homeowners consider putting their homes on the market for what we call residential resale. This allows them to capitalize on the Spring & Summer market of potential buyer traffic (traditionally the largest volume of business in these time periods).

It's exciting to see the opportunities for people to become 1st time homeowners, people "upgrade" to start a new family, newly weds expanding for their future, and still others moving on to a new location or early retirement. Yes, The Spring Housing Market is here!

If I can help you evaluate if this is the time to sell your home, whether it's a traditional sale or potentially a short sale (we sell the home for less than the outstanding mortgage and negotiate for the bank to forgive the remaining balance), or if you'd like to take advantage of the incredible buying power you have in the current market -- please feel free to email me at mike@michaelneville.com or call me at 404-310-8364.

I look forward to helping you "Spring" into action!

As a realtor in Metro Atlanta, my job is to ensure that my clients are well-informed, protected, and advised as to the options available to them. I provide as much information as possible in order to ensure they make an informed decision when purchasing a home, whether as an owner occupant or as an investment. In particular, I try to safeguard 1st time buyers. I want my first-time home buyers to be 100% comfortable with their decision today and in the coming years as well. There are a few minor differences depending on the county dealing with water/plumbing, and a few more important differences between buying a foreclosure and a residential resale or new home construction - but this breakdown will cover the major components

Most new home buyers want to know how much money will be coming out of their pocket during the entire process.

This may vary from state-to-state and even within certain price ranges - due to certain fixed and variable costs involved in the process. But here is an overview of the breakdown for Georgia home buyers:

1) EARNEST MONEY.............Typically 1% of the purchase price - although I try to protect clients on the buyer's side by offering usually $1,000 EM for properties under $200,000 and no more than $2,000 for properties under $350,000. This money is typically applied towards either your down payment or closing costs. It is required to be submited with your initial offer on a home.

2) HOME INSPECTION...................................$350 - $500 - depending on the sales price, square footage, and possible additional tests - like a Radon test - pay out of pocket

3) HOME APPRAISAL........................................$300 - $375 (sometimes can be rolled into the closing costs - so you may not have to pay upfront but it will be a cost incurred)

4) LOAN APPLICATION FEE / CREDIT CHECK..................... Varies by Lender - but most will do it for "free" upfront as they try to earn the business and then it may be rolled into the closing costs & you'll see it on the HUD-1 Settlement Statement

5) TERMITE INSPECTION (optional in many cases, but recommended - & sometimes required by certain lenders)....... $45 - $75

6)*** LOW-FLOW PLUMBING CERTIFICATE (Unincorporate Dekalb County).... $75 - (I typically put the responsibility on the Seller's side by writing a special stipulation in the contract so my buyer clients don't incur this cost

Once the home has been inspected, appraised and approved by the lender, there are costs AT CLOSING.

CLOSING COSTS are really in two fee categories -- Closing Costs and Prepaid Items

1) CLOSING COSTS include the loan origination fee (usually1% of the purchase price), title examination, title insurance, courier fees, transfer tax, intangibles tax and other miscellaneous fees.

2) PREPAID FEES include costs to set up your escrow account with the lender and include hazard insurance (1 year in full up front), property taxes (pro-rated based on the time of year you purchase), and homeowners association dues (if you are in a subdivision or condominium - most neighborhoods won't have HOA's but have Voluntary Neighborhood Associations). Depending on the time of year the lender may require from 3 - 13 months of reserves in the escrow account, just in case you do not pay your mortgage, they will still be able to insure the home and pay the property taxes. It is important to double-check with your lender to see what to expect as that can be a sizable difference in required funds.

Typically, the closing costs and prepaid items add up to 2 - 5% of the purchase price. If you do a government backed loan they tend to be higher and the lower the price point the higher the percentage within this range because certain costs within the process are fixed - while other components are tied to the value of the home sale.

When you negotiate your offer on the home, you can also ask that the seller pay a portion of the closing costs and pre-paid items. The percentages vary as to what banks will allow the seller to pay depending on the type of loan. SELLERS ARE NO LONGER ALLOWED TO GIVE DOWNPAYMENT ASSISTANCE through programs like Nehemiah or Ameridream - but they can pay up to 3% on certain loans - usually conventional, for FHA you can go higher - possibly 6% (but that all needs to be negotiated with the Seller).

****Other things to consider is how much you might need to spend for appliances that may or may not be included in the purchase of the new home (refrigerator, washer/dryer, microwave, stove, & dishwasher). But these vary from house to house & the seller's situation.****

If you have any questions please don't hesitate to give me a call or write me an email and I'll be happy to discuss it further.

Michael Neville - Realtor

Keller Williams Atlanta Midtown

404-310-8364

mike@michaelneville.com

www.MichaelNeville.com

Short Sales have become a necessary step for a number of homeowners who may be encountering a number of different circumstances and need a way to get out of their current property. Short sales can be the right option for people who have experienced a job transfer, job loss, change in family (divorce, death, or even birth), or even the "declining market" can serve as a "hardship" to allow a home owner to have their lender agree to a short sale.

Short sales are not "short", they simply mean that the amount the property is sold for is "short/less" than the amount owed on the property. Unfortunately, many agents who do not know the in's & out's of the process can do more harm than good b/c they waste critical time, lose possible buyers out of frustration - delays, lack of communication, etc. It is critical that if a seller wants to consider/evaluate the short sale process that they utilize someone who has the systems in place to navigate the process with professionalism, clarity, persistance, & the ability to be solution-based.

Thankfully, I've been blessed to have these systems in place of managing the systems, paperwork, & consistent communication among all parties that help to ensure the short sale takes place, the seller is able to move on without worrying about this financial burden or having to foreclose and destroy their credit score.

If you or anyone you know needs assistance with a short sale in the Metro Atlanta Market: Fulton County, Dekalb County, Cobb County - I'm here to help. There's a HUGE difference between agents who "hope they'll get the short sale approved" "and market the property - "subject to bank approving the short sale" and those who have the ABILITY to say "SHORT SALE APPROVED CAN CLOSE IN 2 WEEKS". It doesn't matter if it's a home, townhome, or condo.

If you work with an agent capable of clearly navigating the short sale mindfield - they will get the property sold, and it tends to be within a VERY SHORT period of time after going "live" on the market, unfortunately others sit, improperly positioned, marketed, and lead to the inevitable - foreclosure or being stuck with a house the homeowner can't afford and sucking them of their life savings. I'm here to help make sure that doesn't happen to you or anyone you know.

I'm happy to help evaluate if this is the right situation for you. It's not for everyone & will help lay out the pro's and con's objectively because there are definitely circumstances where it's necessary and others where it should be dismissed. Just call me at 404-310-8364 or email me at mike@michaelneville.com for more details.

Whether you're looking to buy a condo, townhome, or home in Atlanta - I focus on analyzing the market for the best deals possible for my clients in primarily the Fulton & Dekalb county areas. If you're interested in knowing that you've got the best deal & largest equity position possible then you need to subscribe to my weekly best deals bulletin.

These deals last usually only 1 or 2 days and often can become multiple offer situations b/c the truly great deals are just that - great deals that people who study the market recognize as sound investments, but all of that depends on your investment strategy.

What's sound for the "buy & flip" portfolio is very different from the "buy and hold" portfolio - which has numerous subsections of 1) rental immediate cash flow - single or mult-family dwellings 2) land acquistion 3) owner-occupant - no repairs; modest repairs (handy man special); full scale renovations.

These are all questions to be asked, discussed, and evaluated in terms of both your financial capabilities and inclination to safe or aggressive positioning. No matter what the case, I'm happy to help evaluate your situation and see if we would be a good match. I'm here to help those who want a solid way to grow their personal wealth through residential real estate investing.

To learn more please email me at mike@michaelneville.com with "Deal of the Week Advisory" as your subject and I'll be happy to follow-up with you.

As someone who studies & observes the market on a daily basis I am consistently blown away by the opportunities presenting themselves for investors to take advantage of. Depending on their investment strategy (buy & hold - long term rental; buy, lipstick fix, short term rent, large renovation & flip; or buy & flip; buy, assemble & develop)

I'm seeing incredible opportunities in Dekalb County, Fulton County, Clayton County (yes - the school system nightmare creates opportunities for the right type of investors), & Cobb County. The City of Atlanta has opportunities that will blow your mind! There are multi-family dwellings going for as low as $3,000! Yes, this opportunity isn't for the inexperienced b/c it's a gut job, but it's a rental landlords dream of a positive cash flow for government assisted renters.

We've got opportunities in East Atlanta, Kirkwood, Ormewood Park for dilapidated homes that are a fraction of what many would expect to pay for a lot. When could you have imagined having a custom built 3/2, 4/2, or 3/2.5 with high-end finishes for 250K-300K - 5 minutes from the heart of the city in a vibrant neighborhood?! Well, it's happening right now and if you've got the cash to throw down you have a HUGE advantage. Think about the fact you can tell a seller or a bank that they will be able to let go of a burden in less than 2 weeks, without worrying about financing/appraisals/etc. & you pay a fraction of the closing costs compared to a deal requiring lender financing.

Whatever your strategy - there are opportunities that pop up every few weeks (depending on your strategy) that will lead to early retirement & incredible opportunity. The challenge is telling the difference between a marginal deal and the STEAL - which usually only lasts a few hours (trust me there are plenty of multiple offer situations still occuring in this market). Heck, there was a 2/2 condo overlooking Piedmont Park that had previously sold for 268K that hit the market for 123.5K and was gone in hours w/the agent having to cut off the offers b/c his office was flooded. You just need someone looking out for you & calling asap on the big red emergency phone to put the offer in immediately.

If you're interested in learning more or need to evaluate what you consider to be a great deal in the Atlanta Market, feel free to email me at mike@michaelneville.com or call 404-310-8364 and I'll be happy to discuss it in greater detail.