Low income households are not going into debt with home mortgages or home equity. In a normal economy, as borrowing drops, interest rates drop then other parts of the economy pick up the slack in borrowing and the interest rates rise. This time low income households are borrowing for autos and credit cards, but not homes. Not enough of the rest of the higher income households are acquiring mortgages to off set the lack of borrowing of the least wealthy. Therefore, the housing and economic rebound will be slow.-Keri Panchuck in HousingWire.
-----------------------------------------------------------------
Kerri Panchuck also reports: Fannie Mae and Freddie Mac still owe the American public $140 billlion dollars. The Republicans are not addressing the problem, they are looking to do away with the GSE's and ignore the debt. The Democrats are just plain silent. Even the opinions of the stockholders and preferred shareholders are inconsequential.
-----------------------------------------------------------------
"A piece of legislation passed the New Jersey Senate that could financially penalize financial firms for failing to maintain vacant, foreclosed homes. The bill has to go through the state Assembly before it has a chance to become law, according to New Jersey.com."-Kerri Panchuck in Morning Radar.
-------------------------------------------------------------------
TBSWDailyShow says: The mortgage deduction has been around for 100 yrs. Lawrence Yun, the NAR chief economist says, loosing the mortgage deduction would lead to a 15% loss in total home equity, a loss of 250K-350k jobs and would slow sales 10%-15%.
Active prospecting works better than passive marketing. Get over the possible rejection. Call and meet face to face with people. Prospects are less likely to blow you off if the your contact is personal. Actively seek out buyers and sellers. Call prospective buyers and For Sale By Owners and your referral data base. You know this, but are you doing it?
------------------------------------------------------------------
QE3 is the Treasury Department's way of bolstering our economy. This means the US government is expected to continue to buy longer term Treasury bonds and mortgage backed securities. This is what printing money means in practical terms. But since 50% of all re-fied distressed mortgages go back into distress, the Federal Gov't is throwing money down a rat hole. That is our money, the citizens of these United States money, which is being wasted.
------------------------------------------------------------------
From TBWSDailyShow:
Thomas Eddison said, "Genius is 1% inspiration and 99% perspiration. Do you have an active plan for growing your business? Samuel Goldwyn said, "The harder I work the luckier I get". Babe Ruth, "It's hard to beat a person who never gives up". Gary Keller, "One scoop of talent is not as valuable as 10 scoops of tenacity". What are you going to do about your business this next year. Make a plan and stick to it. No matter how good you are at the paperwork in your business, without converting prospects to clients, your income is lower. Never delegate your lead generation activities. Marketing ideas are like diets. Which one works? All of them do, if you just do it. Every dollar you spend on your business, must generate a return. For example, if you spend a dollar in print marketing, it must generate a dollar plus some. So, how do you increase your rate of return? Spend more personal time with prospects and clients. If you are spending $5000 in print marketing, it should return $20k-$30k in closed business.
--------------------------------------------------------------------
TBSWDailyShow:
The number of first time homebuyers has dropped to the 2009 level. This means there are fewer buyers for the starter homes. Who then is buying the starter homes? Investors. What is the reason for the drop in first time home buyers? The FHA has tightened up its requirements. Most first time homebuyers use FHA. And has raised the price of mortgage insurance. Without the first time buyers, there will be fewer move up buyers in the future.
-----------------------------------------------------------------
Nationwide, housing prices are up 3.6% in the 3rd quarter over last year. Phoenix was up 20.6% and Atlanta finally reversed its price decline with a 0.1% price rise. Home prices rose in 17 of the 20 cities surveyed.-Kerri Ann Panchuck in HousingWire
-----------------------------------------------------------------
Housing Market Index-An index of over 300 home builders, which shows the demand for new homes. The index runs from 0-100, so a rating of 50 would mean that demand for new homes was average.
Read more: http://www.investopedia.com/terms/h/housingmarketindex.asp#ixzz2DjrOJdOh
The housing market index is at 46 up from 41 in October which is the highest since 2006. This is due to homebuilder's confidence.-cmlynski in HousingWire. But with superstorm Sandy requiring a surge in home building, what is the truth? What would the numbers be without that natural disaster?
----------------------------------------------------------------
FHA is raising the mortgage insurance rates and g-fees next year. Also, FHA's mortgage insurance premiums, starting next year sometime, will be for life. Even if you, homeowner, have paid off 78% of your loan, you will be stuck with the PMI unless you refinance to a higher rate mortgage interest rate. So, buy now!
No comments:
Post a Comment