RALT 2024 Homeownership Application

Application Instructions:

  • Prior to submitting an online application, prospective homebuyers must attend one RALT General Information Session.
  • This online application is required to be completed in order to purchase a home through the Raleigh Area Land Trust (RALT). Please take the time to fill it out carefully and accurately.
  • We need complete information in order to have a fair and consistent process for selecting buyers. Income verification is required by our funding sources.
  • Application must be submitted using the online form provided. If you would like to request a paper application, please contact us directly at info@ralt.org to organize submission. PAPER APPLICATIONS MUST BE MAILED AND WILL NOT BE ACCEPTED OR PROCESSED WITHOUT ADVANCE NOTICE.
  • Incomplete applications will not be processed until all paperwork has been submitted.
  • The processing of your application may take up to thirty (30) days from the time your complete application has been submitted. Completing this application does not guarantee that you will be eligible, or you will successfully purchase a home through the Raleigh Area Land Trust.
  • Once your application has been reviewed, a member of RALT will contact you to let you know if you are eligible for a RALT purchase and/or if we need more information to determine your eligibility.
  • If you need help filling out this application or have questions, please contact us at info@ralt.org to arrange a time during business hours. Currently, our available business hours are Fridays from 9am -12pm.

ELIGIBILITY FOR PURCHASE OF A RALEIGH AREA LAND TRUST HOME


To be eligible to purchase a home through Raleigh Area Land Trust, applicants must:

  • Be a Citizen of the USA or registered alien.
  • Majority Age: Must be 18 or older to qualify for a mortgage.
  • Income Eligibility Maximum Income: To be considered for selection, a household must have an annual income which does not exceed eighty percent (80%) of the Annual Median Income (AMI)of households of equal size residing in the statistical area (as defined by the U.S. Department of Housing and Urban Development or its successor agency) within which the housing unit is located. Please refer to the HUD income limits (HUD Income Limits).
  • Creditworthiness: In all cases, a household must be able to demonstrate a sense of ownership of its financial obligations, and a history of responsible effort to meet them. The mortgage underwriting guidelines of the lending programs available to RALT homebuyers shall determine the credit risk and overall creditworthiness of the applicant.
  • Counseling: The household must complete homebuyer counseling through DHIC Financial counseling services to determine homeownership readiness and eligibility for down-payment assistance
  • Minimum Income: To be considered for RALT’s homeownership opportunities, a household’s monthly income, when multiplied by the appropriate debt-to-income ratio, must be sufficient to support the housing costs for the housing opportunity in question. In general, households that require a co-signer in order to obtain a mortgage will not be considered.
  • Affordability - (i.e. matching household income to housing cost): In general, affordability means that the monthly cost of occupying a particular home does not exceed thirty-two percent (32%) of monthly gross household income and monthly housing costs and total debt payments do not exceed forty-five percent (45%) of monthly gross household income.
  • Assets : To be considered for RALT’s homeownership opportunities, a review of a household’s financial resources and circumstances should clearly indicate a limited ability to compete successfully in the conventional housing market. Applicants will be required to provide 1% of the purchase price toward the home purchase, from the buyers own funds.
  • First-time homebuyers: Defined as someone who has not owned a principal residence in the past twelve months; or a single parent who may have owned a home with a former spouse in the past twelve months but now no longer resides there.
  • Be prepared for closing costs to range from $5,000 to $8,000 dollars. There is a minimum 1% personal savings requirement (same as mentioned above). The rest of the closing costs can come from gifts, down payment assistants and other grants, loans, or other sources.

REQUIRED DOCUMENTS:

Please collect the below documents prior to starting your application. Below is a list of required supporting documents. Do not submit originals - you will need copies of most of these documents for your records and for your lender. All of the following documents must be submitted with this application or processing may be delayed. Some documents require copies for each household member and will be marked accordingly. Failure to include information on all household members may delay your initial application processing. You will be able to upload these documents at the end of this application.

  1. Completed online application.
  2. Copies of one month's worth of your most recent pay stubs.
  3. Verification of all other sources of income (Social Security, Social Security Disability, pension, etc.)
  4. Complete copies of your most recent Federal income tax return. You must include all corresponding W-2's and attached schedules. We do not need your state return.
  5. If you are self-employed (full or part-time), submit a year-to-date profit/loss statement AND projected income for the current year AND the previous two years of federal income tax returns including all attached schedules.
  6. A statement from your financial institution documenting the 3-month average balance of your checking account(s) OR copies of 3 months of checking account(s) statements (just the summary page is fine, we don't need all the details).
  7. A copy of your most recent savings account statement, including the interest rate
  8. A copy of the most recent statement from all other assets (stocks, bonds, CDs, money market accounts IRAs, 401K, cash value of life insurance policy, etc.) verifying the current balance and interest rate or annual dividend payment.
  9. If you are receiving any other form of down payment assistance (a personal gift and/or aid from another program), submit a letter from the 3rd party offering the assistance describing the amount and type of assistance.
  10. If you receive child support or alimony, submit a copy of court-ordered custody arrangements and child and/or alimony payments (this information is often documented in your separation agreement).
  11. If you currently own a home or other real property, submit a recent appraisal of that home or most recent Assessor's statement, and your most recent mortgage statement.
  12. If you require a property with accommodations, submit documentation of the disability and description of accommodation needed.

PART 1: HOUSEHOLD INFORMATION

Primary Applicant Information













Demographic Information

Some of the following information is requested by the Federal Government for certain types of housing loan application in order to monitor compliance with equal credit opportunity, fair housing and home mortgage disclosure laws. You are not required to furnish this information but are encouraged to do so. It will not affect your eligibility to participate in our homeownership program.







Household Information

Co-Applicant Information














Some of the following information is requested by the Federal Government for certain types of housing loan application in order to monitor compliance with equal credit opportunity, fair housing and home mortgage disclosure laws. You are not required to furnish this information but are encouraged to do so. It will not affect your eligibility to participate in our homeownership program.








Additional Household Member Information



The following information is requested by the Federal Government for certain types of housing loan application in order to monitor compliance with equal credit opportunity, fair housing and home mortgage disclosure laws. You are not required to furnish this information but are encouraged to do so. It will not affect your eligibility to participate in our homeownership program.










Please select Add Another Household Member text in the bottom right corner to add more household members. Names/information should be provided for every household member (including dependents). 

Section C: Other Information



If yes, list the address below. If no, move on to next required question.









If you have not sold your home, please tell us about your mortgage:



















Section D: Current Living Situation



Desired Living Situation - Page 5








If you are already working with a lender, please complete the following:








Income Information

Directions

Please submit income information for EACH household member using the submission fields below.
- Add each household member ONCE
- Add each employer/income source for each household member by selecting "Add Another Response" until you have completed your submission for the household member.
- Select "Add another member's income" to then add the next household member.


Definitions

Gross Income is the combined pre-tax income for everyone in the household (regardless of whether or not they will be on the mortgage and/or deed) which includes job earnings, benefit payments, support payments, and income from assets. Failure to report household income is considered fraud and can have serious consequences.

Employment Income includes wages/payments earned from self-employment, Wages/Salaries, Overtime Pay, Commissions, Fees/Tips, and Bonuses.

Gross Monthly Income means income before taxes and other deductions.
  • If you are Self-Employed, please list your Net Income (after deducting business expenses) for the past 12 months.
  • If you hold several jobs, list each one on a separate line.
  • If you get paid every other week, take your gross income from the paycheck, multiply it times 26 and divide that number by 12 to get gross monthly income.
  • If you get paid weekly, take your gross paycheck amount, multiply it times 52, and divide by twelve to get your gross monthly income.
Employment Information
Please list all income from all household members over age 17 receive from Self-Employment, Wages/Salaries, Overtime Pay, Commissions, Fees/Tips, and Bonuses etc.

Employment Information








Benefit Payments/Support Payments/Other Income

Please complete the below section only for household members that receive OTHER INCOME as defined below. This section is not required for each household member.


Please list all payments any household member (including minors) receives from: Social Security, Supplemental Security Income (SSI), Supplemental Security Disability Income (SSDI), Housing Assistance Payment (HAP), Worker's Comp, Disability pay/benefits, Unemployment Insurance, Severance Pay, Annuities, Insurance Policy Payments, Pension, Retirement Benefits, Death Benefits, Armed Forces Pay, Alimony/Maintenance, Child Support, OTHER: Money or gifts regularly given by persons not living in the home; Lottery winnings paid periodically; rental income from tenants; Interest, dividends, royalty income, income from estates or trusts; Other- please specify.








For example: if any payments are not regular or are not expected to continue, please explain.

Asset Information

Report the following assets:

  • Cash held in savings accounts, checking accounts, safe deposit boxes, homes, etc.

  • Equity in real estate or other capital investments

  • Cash value of stocks, bonds, Treasury bills, certificates of deposit and money market accounts Trust funds, mutual funds

  • Individual retirement and Keogh accounts (even though withdrawal would result in a penalty)

  • Retirement and pension funds; Cash value of life insurance policies

  • Personal property held as an investment such as gems, jewelry, coin collections, antique cars, etc.

  • Lump sum or one-time receipts, such as inheritances, lottery winnings, insurance settlements and other amounts not intended as periodic payments

  • Mortgages or deeds of trust held by an applicant

  • Any other asset - An asset is cash or a non-cash item that can be converted to cash.


    Do Not Report necessary personal property such as clothing, furniture, personal vehicles, etc.


    ASSET INFORMATION - Please list ALL assets any household member has in the form of checking and savings accounts, stocks, bonds, CDs, IRAs, Inheritance, Equity in Real Estate, Other- please specify.
Asset Information
Please list ALL assets any household member has in the form of checking and savings accounts, stocks, bonds, CDs, IRAs, Inheritance, Equity in Real Estate, Other- please specify.





For example: if any assets are not yet received or use of assets is legally restricted, please explain.

Current Debt Information


If yes, please complete the section below.

(Installment debt includes payment on credit cards, student loans, auto loans, etc. Regular monthly payments like rent and utilities should not be included.)

Creditor Information


(Auto, Credit Card, Student, Etc.)



Additional Debt Questions









Credit Score Information

Needs Work
(<600 points)
 (650-750 points) (700-750 points)
Excellent
(>750 points)

Income Verification Worksheet

In order to calculate your household’s income, please fill out the following worksheet.

The following sources of income should be considered when calculating total household income:
  1. Wages, salaries, tips, commissions, etc. (except full-time students);
  2. Self-employment income from own non-farm business, including proprietorships and partnerships (except full-time students);
  3. Interest, dividends, net rental income, or income from estates or trusts;
  4. Social Security or railroad retirement;
  5. Supplemental Security Income, Aid to Families with Dependent Children, or other public
  6. assistance or public welfare programs;
  7. Retirement, survivor, or disability pensions; and
  8. Any other sources of income received regularly, including Veterans’ (VA) payments,
  9. unemployment compensation, child support and alimony.
HUD Income Chart
Household Income Worksheet
Household Member Type of Income Monthly Income Annual Income
Please add all above Annual Income amounts to calculate your Total Household Annual Income.

I hereby certify that the above information is complete and accurate to the best of my knowledge. The income estimate includes income for all household members. I agree to submit additional support documentation if requested. I understand that the information provided to may become part of the public record and therefore will be open to pubic examination. 


Attachments

Please submit the information requested below to assist with the processing of your application. Please combine each document into a single PDF when possible. If needed, you may use the Additional File sections at the bottom of the page for additional information.















Certifications and Acknowledgements

I/We certify the following:

  • All the information contained and submitted in support of this application is true and complete to the best of my/our knowledge and belief.

  • I/We are aware that any misrepresentation may result in the forfeiture of my/our right to participate in any Raleigh Area Land Trust program and may result in legal action against me/us.

Consent to Release Information:


I/We authorize representatives from the Raleigh Area Land Trust to supply and receive information to/from my/our employer(s), my/our financial institution(s), other housing assistance programs, the DHIC Homeownership Center, and/or my/our Mortgage Lender to verify the information contained in this application and to confirm my eligibility for Raleigh Area Land Trust homeownership opportunities. This information includes, but is not limited to bank statements, employment status, income, outstanding debts, loan applications, appraisals, HUD-1 settlement statements, DHIC counseling and education completion dates, and other financial information. 


  • I/We understand that information in this application may be shared with funders for the purpose of funding compliance.

  • I/We understand that completion of this application does not guarantee my/our eligibility for the program and/or that I/we will successfully purchase a home through the Raleigh Area Land Trust. 

  • I/we understand that the opportunity to purchase a home through the Raleigh Area Land Trust is contingent upon the availability of funds and upon my/our successful completion of all Raleigh Area Land Trust eligibility requirements.

  • If I/we purchase a home through the Raleigh Area Land Trust I/we agree to enter into restrictions which will require the property to be owner-occupied, limit the transfer of the property to income-eligible buyers, limit the sales price and the amount of equity available upon re-sale or refinance. 

  • I/we acknowledge that the intention of these restrictions is to ensure that opportunities to purchase affordable homes be preserved for future generations of buyers.

Equal Opportunity: 

In accordance with the provisions of the Equal Opportunity Act and the Raleigh Area Land Trust's policies, there will be no discrimination against an applicant for these benefits on the basis of age, gender, race, color, marital status, sexual orientation, having one or more minor children, national origin, religion, ethnic background, physical or mental disability, or being a recipient of public assistance. 


If you or a member of your household is an individual with a disability, you have the right to request reasonable accommodation for that disability. The Raleigh Area Land Trust is committed to assuring that each individual has an equal opportunity to the use and enjoyment of the benefits of this program. TDD service for those individuals with hearing and speech disabilities is available at 800-735-2962 (English) or 888-825-6570 (Spanish).

Confidentiality:

In order to process an application, the Raleigh Area Land Trust may supply and receive information as detailed in the "Consent to Release" clause above. Information may also be released to comply with the auditing requirements of program funders. With these two exceptions, all personal and identifying information on an application remains fully confidential.



Contact Information