For real information click HERE: http://best-refinance-home-mortgage-loan-rates.com/
Getting the best refinance home mortgage loan rate, then, can be important to almost any homeowner. READ here to Save your money: http://best-refinance-home-mortgage-loan-rates.com/
Duration : 0:1:38
A look at how to take advantage of the lowest mortgage rates since the 1950s
Duration : 0:6:26
http://realestatemarketingthisweek.com/real-estate/were-in-recession-and-hank-paulson-holds-the-purse-strings/ – Were in Recession and Hank Paulson holds the purse strings. -
Part 1 – Brett has brought with him some updates on the economy and how things are changing theses days and he brought some great information to discuss with you. We talk about all these different things in the economy and let’s be honest there are a lot of problems out there, no one can dispute that, the unemployment rate is the highest it’s been in many year, with Fannie Mae, Freddie Mac AIG being taken over by the government, Lehman brothers Bear Sterns, WAMU, Countrywide all gone, banks and insurance companies getting their bailout, the auto industry is the next one to get a bailout, were already working on our second stimulus package.
95% of the people according to President elect Obama are going to be getting a tax cut soon. Where is all of the money for all of this going to come from? It just seems to be a downward spiral. Brett’s got some great insight on this that he wants to talk about and some more, unfortunately, a little bit more dismal news, just want you to know before you drive off a cliff there is light at the end of the tunnel. We are going to talk about that so Brett, why don’t you share a little information if you could.
Yeah, I would be happy to, you mentioned a couple of things in your opening comments and one was about, the market seems to be anticipating bad news, and it certainly is not surprising it was a pretty significant down day on Wall Street again today, most of that was attributed to two things. Retailers such as Best Buy and Macy’s came out with their projections for consumer spending. Best Buy actually said something to the effect that it is the lowest level of consumer spending that they have ever experienced in the history of their business. Best Buy is actually one that hopefully will stick it out as we know Circuit City is filling for bankruptcy.
The other thing that you mentioned was jobless rate has climbed, the number has definitely increased, the NEBR is the government agency that is responsible for reporting when a recession begins and when it ends. They call it. They officially have not called one, but I think every reasonable person believes that we have been in one and probably have been in one for some time already.
So right supposedly there is some technical factor that says this is a recession that doesn’t mean that we flip the switch and boom here we are out of the recession is that right?
That is absolutely right and in hindsight is how they judge that time of when it started and when it comes to an end, and it’s usually several months after the fact, but it remains to be seen. We believe we are in a recession but we are going to talk about a couple of things that people are feeling this economic crunch and what they can do about it, specifically as it is regarding their home ownership and their mortgages.
A couple of interesting things that came out, Secretary of the Treasury Hank Paulson today made an announcement this morning regarding a change in the governments, they call it a rescue plan. Others call it a bailout. Thats the 700 hundred billion dollar plan, and apparently Wall Street is unhappy with the changes that took place, pretty significant.
The idea at the time this legislation was passed in congress and ultimately signed by President Bush into law was to use the funds to buy the bad assets, mortgage backed assets from banks and lending institutions, they changed that and recanted that today, Hank Paulson specifically announced that they are no longer going to be using those funds, that the current plan calls for 250 billion dollars of the 700 billion to be used to buy stock of those banks and financial institutions
Does Hank Paulson, does he need to get approval for this? One of the things that have been discussed all week long has been, was the fact that as this legislation was passed and approved, is that he has full power to make these types of decisions, without the benefit of it being discussed through congress and those traditional channels. He is currently the most powerful man in the world. He has the whole checking account to himself to decide what the best distribution of those funds is. It certainly appears that way and apparently he changed his mind and announced it today… http://realestatemarketingthisweek.com
Duration : 0:5:40
You have to pay 19,800 Bells to the post office to get the first expansion to your house. A little bit of it is payed off from the part-time job. After you finish the job, you’re on your own for the rest of the game. You can make money by fishing, catching insects, or doing jobs for your neighbors. After you pay off your debts, you are given a choice of what color you want your roof by Tom Nook. I chose Orange. There are more than just those three colors by just choosing the ‘Another color…’ option he gives you. After a day, you will see that your house has been expanded into something a little larger.
Video by Ryuu.
http://www.youtube.com/DeviousDenryuu
Duration : 0:3:51
Home mortgage interest rates are at fifty-year lows, but prospective mortgagers face stiffer review from banks, reports CBS News’ Anthony Mason.
Duration : 0:2:2
http://realestatemarketingthisweek.com/real-estate/congressman-barney-frank-is-calling-for-the-restructure-of-the-loan-servicing-business/ – Congressman Barney Frank is calling for the restructure of the loan servicing business –
Part 2 – Well, in the past we have talked a lot about loan modifications and since the first time we started talking about loan modifications the whole space has changed. Everything about loan modifications since our very first broadcast talking about it, we don’t talk about it every week, but we do talk about it allot. It has changed so much, when we started anybody who had a significant hardship, or financial hardship, or had one of these toxic mortgages, that had adjusted, would be able to qualify for a loan modification. These things have changed all of a sudden, and not all across the board. Brett you made a comment earlier that people are concerned that once these servicers do these modifications they could be subject to lawsuits right?
Yes, it is amazing how quickly things have changed over the course of the last couple of weeks, it seems this information, and this news is changing almost hour by hour, at this point one of the things that came out regarding this mortgage modification program is from Barney Frank, “Congress should act to restructure the servicing of home mortgages.” So the idea is that they are catching on to something that you and your team at velocity financial were ahead of the curve on in terms of loan modifications.
Knowing that those rules for a hardship and why you are entitled to one have definitely changed. Now it is more of a situation where in order to stop foreclosure, to stop the problems associated with this mass foreclosure market place, modifications are being talked about amongst the banks now. Barney Franks comments today, he stressed how these voluntary inducements to get these private entities to protect homeowners from the government has fallen short, and Hank Paulson has fallen short of putting their weight behind this concept.
Although I personally believe that is the next evolution of this. Loan Modifications are a critical step for people who are feeling this economic crisis, and for people who want to stay in a home, for people who need this type of assistance. The idea is you have a short window of opportunity here before something else significant changes where you may no longer be entitled to.
You heard Citigroup, you know this we talked about it, Citigroup came out and made the announcement that they were going to suspend their pursuit of foreclosures in certain areas of the country that have the highest unemployment rate, that was the caveat. We will see how big the scope of that gets, but the whole idea is for you as a mortgage owner, as a home owner with a mortgage, if you need to establish a modification to an existing loan, in order to have more favorable terms in interest, a more favorable monthly payment, a way to keep that home, you have to look at this option.
Yes, and I appreciate you saying that one of the things that Citigroup announced they were going to be doing was giving people teaser rates of 1%. Look anybody with a brain can realize that that is ludicrous. What got us into this situation in the first place was huge banks, just like that one, giving people toxic mortgages, with fake interest rates, and pick your own payment, do whatever the heck you want to. It is exactly what they are trying to do again.
Essentially what they are talking about is giving people a short window of a very low interest rate, but they are going to be back in the same situation in the future. That’s why the loan modifications that we do, that we hire on your behalf, the national network of attorney’s that we use. We go for the throat, we are not looking to get you a 1% interest rate for the next 12 months. We are looking to get you a lifelong, or for the term of the loan if possible, the very lowest interest rate available, and fix it or extend the term so you can actually sustain that payment well beyond the short term.
One thing I want to point out before we have to go to a break, if you know of anyone out there, that has a GMAC mortgage, whether it be a GMAC first mortgage or second mortgage, you have got to tune in to the second segment you are not going to believe this scam that’s out there, going against people with these loans… http://realestatemarketingthisweek.com
Duration : 0:5:49
Home mortgage interest rates are at fifty-year lows, but prospective mortgagers face stiffer review from banks, reports CBS News’ Anthony Mason.
Duration : 0:2:2
http://realestatemarketingthisweek.com/first-time-home-buyer/30-year-fixed-fha-mortgage-is-the-best-financing-available-for-first-time-home-buyers-today/ – 30 year fixed FHA mortgage is the best financing available for first time home buyers today. –
Part 8 – So now the only question that I would have, Michael is you only lowered the guys interest rate by 1/8th of a percent, weren’t there a whole lot of closing costs associated with that? Good question, in this particular case no. There were no closing costs.
Well then it definitely makes sense to lower your interest rate if it’s not going to cost you anything and you can lower your monthly payment by 100 bucks a month you would be crazy not to do it.
His breakeven was one day, in that particular case.
It goes back to this Velocity of Money concept. If you’re not sure if it makes sense or not, it’s kind of a no-brainer, give the team at velocity financial a call. You will do the analysis for them to determine if it makes sense or not based, on their unique circumstance, and from there youll advise them on the appropriate type of loan.
You know it’s funny that people over the years they get so hyper-focused on the interest rate of the loan. Interestingly enough I had a recent client whos focus was not on the interest rate, it was on the closing costs. The problem is there is a correlation between the cost of the money and rate, you have to pay it isn’t free for anyone. No cost loans are not really no cost, youre paying a higher rate to get it, so where does it make the most sense for you and your family, how long are you going to use this mortgage? There are so many factors, there’s an incredible amount of discovery that needs to be done.
If you walk into your local financial institution it doesn’t necessarily have to be a bank and you ask what is the rate today? It’s vanilla, it’s not 31 flavors, its vanilla, this is what we have. Well we have a couple of other options, but that’s not how it works at the bank.
One thing I wanted to point out Michael was it was back in 2003, we saw interest rates that were close to what they are now and a lot of people got into the same kind of loan that I got into at that, I got into a three year adjustable loan. And I’m really kicking myself because I wish I’d gotten into a 30 year fixed, and I would say with anyone, especially with as low as interest rates are, they definitely have to get into this market. jump in and get themselves into a 30 year fixed and just be happy with it forever.
That’s a really good point, and it’s safe. If you have a 3 year ARM or two year adjustable, or a 5 year adjustable and youre 1, 2, 3, 4 years into it, the 30 year is the safe way to go, more than likely the interest rate is going to be lower than what you have. In the case of the adjustable ARMs, adjustable-rate mortgages just dont make sense today. If you have a 30 year fixed, its the safe bet.
Dan if you and I are wrong and real estate values continue to tumble, you know what, you have a nice safe loan and you dont have to worry about it for a long time. On the other hand if you want to live there for 20 years, you dont have to mess with it. I think its the right thing to do for most people
Well I think that anyone who is out shopping for a home over this weekend, and what they’re looking for is to not only ask the seller to pay as much of the closing costs as possible but first to get pre-qualified by calling you at velocity financial. They want to make sure that they get themselves a 30 year fixed, FHA is probably the best product out there right now because its such a low down payment, and if youre a first time home buyer and youre in the $60,000 a year range, you can go out there and buy up to that $250,000 house and have a place for your family to be in after the first of the year, and never have to you live in an apartment and have Christmas in an apartment again, you can have Christmas in your own home next year.
Absolutely, that is a really, really good point. We dont want to forget about the $7500 tax credit that goes along with having a home, if you havent owned real estate in the last three years.
The other thing that I want to mention before the show gets wrapped up today, there is interest rate risk here just like there is in the bond market. Interest rate risk is you the buyer looking at what you can use to increase the velocity of money, increase the efficiency in your existing mortgage, or move to a new mortgage because money is cheaper today than it’s ever been… http://realestatemarketingthisweek.com
Duration : 0:5:50
Mike Dailly of the Govan Law Centre in Glasgow (aka lawyer of the year 2007) waffles on about how lawyers wont take on legal cases for people trying to stop lenders repossessing their homes.
Odd thing is, the guy in the video won his case, but the Legal Aid Board want the money off him instead of chasing the mortgage lender for the money – could that be because the lawyers at the Scottish Legal Aid Board would rather target a member of the public than a Bank or financial institution which should be paying up anyway since they lost the case
So whats the solution Mike ? Going to do something about that and see that people get legal representation or what ?
How about freeing up the legal services market and seeing to it that people can get someone to represent them in court for less than the cost of an arm and a leg
Duration : 0:2:15
http://realestatemarketingthisweek.com/first-time-home-buyer/now-is-a-great-time-for-first-time-home-buyers-to-get-into-the-real-estate-market/ – Now is a great time for first time home buyers to get into the real estate market –
Part 3 – Back in studio of course Brett Fallon are favorite and one of America’s best financial advisors, and a very good friend of mine for a long time also Dan Havey. Dan, what is the name of the book?
The name of the book that I am in the middle of writing is called, Real Estates Future. What it is, is a model that I created with a friend of mine. I didnt believe this was possible when it was first brought to me, but after working on it for six months and doing a lot of research I found that we were actually able to predict, in advance, through a whole series of equations and data, we were actually able to predict in advance the top of the last real estate market here in Phoenix by six months.
So were doing a lot more research to see if we can take that to a broader national level and see if we can come close to actually giving people an idea in advance of the top and bottom of the real estate market.
And this is not the doom and gloom type stuff, this is reality, this is not media spin or anything, correct? No, this is just numbers. That’s all this comes down to, numbers, a lot of different equations. I am not going to bore people with all the complicated stuff. When I was in college I started out with a degree in computers and mathematics and eventually ended up getting a degree in finance, so Ive got a lot of numbers spinning around in my head.
The amount of content you have put together to talk about these first time home buyers, we just talked about what you should do when buying a home right now, you need to make sure that you get the seller to pay as much as they can, obviously you want to pay as little for the house as you possibly can. You want to get the seller to contribute as much as they can. But Dan why dont you talk about what it means to be a first time home buyer or for someone who could be in the market?
Well again with the numbers we were looking at, how this came about like I said last year we were working on this model and after the real estate market kind of took a crash we put it to the side for a little bit and the other day I said, its about time to resurrect it because we have to start looking at when is it going to be the bottom of this next market and people are going to want to know that.
So I started looking at some numbers here just in Phoenix and a couple things actually surprised me, it was very heartening for me when I saw that one of the metrics that we look at is whether or not the median income household can afford to buy the median priced home. And right now in Maricopa County the median income family makes $64,000 and the median priced home is $160,000 and $160,000 home is well within the means of the $64,000 income family. In fact just running numbers at 5 1/2 to 6% you could probably buy as much as a $250,000 house.
So then I took a look at where are houses selling right now, and I found that 78% of all of the houses that were sold in Maricopa County last month were under $250,000. So 78% were under $250,000, and I do believe that between $100,000 and $250,000 its like 53% of all the houses, and obviously there is some of the cheap stuff that is being sold at the repo sales and that kind of stuff right now too.
Like I told you before, my brother picked up a couple of REOs over the weekend and I think he paid $30,000 each for them. And there is one other thing I would like to say before we move on, where I think its a great time for first time home buyers to kind of jump back into the market is another metric we look at is year over year home sales, and for obviously the last two years the home sales were declining year over year, and what we have seen is in the last 6 months there were at least a thousand to two thousand more sales per month than there were in 2007. And percentage wise that is pretty high, its not just a thousand or two thousand the percentage is significant. Sometimes the numbers dont mean a lot, but when youre talking about an increase of 20 plus percent in a few of these months, thats huge… http://realestatemarketingthisweek.com
Duration : 0:5:47