Jeff's Blog

Open House HBM follow up letter!

Jeff Pickering (Pickering Group) — Thu, 13 Nov 2008 09:06:27 -0600

HBM letter to clients!

I wanted to take this opportunity to thank you for stopping by at our Open House. As promised, please find a link below to all of the IndyMac Bank foreclosed homes in AZ.

Bank Owned Properties

I've also completed your registration onto the Home Buyer's Scouting Report which gives you access to all MLS Listings in a private, password protected site (which means no Spam or outside party phone calls). This provides pictures, prices, addresses and directions at your convenience and without the pressure of having to call a real estate agent to find out basic information. Then if there's something you'd like to see inside, contact Insert agents name here and schedule a showing. Just an fyi, look for that email from Home Buyers Marketing II because sometimes it gets tied up in Spam or Junk Mail folder due to the pictures. Initially, you'll receive one email/day for the first six days with some user instructions and tips. Thereafter, it will only send you matching criteria. But, following are a few tips to get started TODAY:

In the top left hand drop down list you'll find My Search Manager. Choose edit and you can refine search by price, zip, city, etc. Of additional interest to you, though, might be the last item on the bottom - under the Miscellaneous category. There you can choose to search only Lender owned properties (foreclosures) which will provide FC's for all banks in the valley.
On that same drop down list on top, left hand corner, you can select to locate a property by its specific address.
Another really cool tool is to select the Search Map (same drop down list on top, left hand corner). Watch the tutorial underneath the Advanced Search button and you'll learn to move around the city much easier and faster than trying to type in zip codes and cities.

Any questions, don't hesitate to ask!

Thanks again and happy shopping,

Thank You,
Jeff A Pickering
The Pickering Group
Phone (623)551-9360
FAX (866)933-7958
Email: jeffpickering@helloworld.com
Website: www.pickeringgroup.co

How Does a Wall Street Bail-Out Bill Affect Main Street?

Jeff Pickering (Pickering Group) — Wed, 12 Nov 2008 19:56:02 -0600

Large and small companies across the globe rely on access to money markets to finance their daily operations, including inventories, and payrolls. Lenders routinely make loans to these companies, and to each other, to make it all happen. When lenders have confidence in these markets, and investors have confidence in this system, we have a functional marketplace that, for the most part, is sustained by competition. When confidence in this system is shattered, however, like it has been recently, credit becomes expensive and scarce to all parties, and small and large companies alike can choke to death waiting for the short-term capital it needs to fund its long-term success. This directly affects you and your family. It means a slower economy. It means more lay-offs and less new job creation, which often means lo wer home values. It also fuels volatility in the financial markets that, as we've seen, can wreak havoc on your savings, retirement, and other investment accounts.

It is estimated that some $70 trillion in total global investment capital is available, which would be great news if our financial systems were functioning with confidence - and that's what the Rescue Bill is basically about. Like it or not, the US Government has been given unprecedented power to invest $700 billion in our financial systems in two main ways. First, as much as $250 billion to purchase stock in US banks, providing the banks with badly needed money. Second, through the purchase of certain assets to help stimulate more liquidity in the credit market. Another initiative will provide government guarantees for the short-term loans banks make to each other to run their daily operations. More importantly, these actions are in concert with similar practices by other governments and central banks.

None of these actions will solve our problems completely or save us from recession, but here's the good news. It is a positive step in the direction of stabilizing the markets. The other good news is that several other measures were tacked on to the bill to help build your confidence in the markets. Unfortunately, there just isn't enough space in this short newsletter to cover them all. We will briefly highlight a couple of them, but our best, most practical financial advice is to create your own plan for the future with your financial professionals. Don't make any rash decisions without speaking to the experts you trust to handle your investments. If you need help finding a financial professional you can trust, we'll gladly provide a referral. Just give us a call. We'll review your mortgage and create a plan that fits your individual financial goals and needs.

Changes in FDIC Limits

As part of the Rescue Bill, Congress also increased FDIC deposit insurance from $100,000 to $250,000 for all of an individual's accounts at a single institution. For one year, joint accounts, retirement accounts, and trust accounts are insured separately. This means a married couple can insure up to $1 million at a single bank, by making a few simple adjustments. Changes also affect revocable trusts, allowing the same amount of insurance for beneficiaries, such as your children. That means, a married couple with three kids could create enough qualifying individual and joint accounts to protect up to $1.5 million. It's important to note that the FDIC has never failed to pay a single dime of insured money when banks have failed, so you won't have to make a run on the bank or hide your money in your mattress anymore. Sm all businesses will also benefit from new increases, as well as the confidence that comes with this kind of insurance.

New and Extended Tax Incentives

Within the 451 page Rescue Bill are nearly 100 tax code changes that directly affect individuals and business owners, including education deductions, sales tax, energy credits, and even new disaster aid. Other tax breaks, which were due to expire, were extended, including property tax deductions, the Mortgage Debt Forgiveness Act, and the shield for the Alternative Minimum Tax (AMT). The property tax provision, set to expire in 2008, has been extended to 2009, and allows up to $500 ($1000 for joint filers) in deductions in addition to the standard property tax deduction - even if you don't itemize! The Mortgage Debt Forgiveness Act, extended to 2012, was designed to protect those who already lost their homes due to foreclosures from facing an additional tax penalty for qualifying cancelled or "forgiven& quot; debt of up to $2 million. And, finally, the Rescue Bill also saves about 23 million Americans from the dreaded AMT, a kind of extra tax that some people have to pay on top of their regular income tax created by the Tax Reform Act of 1969.

These are just a few of the potential tax benefits created or extended by the Rescue Bill. As always, there are specific qualifying standards, and so it is essential to speak with a qualified tax professional about these and other tax benefits that could help you lower your tax bill and increase your confidence in today's tumultuous financial markets.

Listen to what your clients say

Jeff Pickering (Pickering Group) — Wed, 12 Nov 2008 19:38:51 -0600

Don't Talk, Listen!
Give Prospects Your Undivided Attention

I have found that the best conversationalists are the best listeners. The same holds true with salespeople! Review the following tips to see where you might have room for improvement.

Maintain eye contact.
This does more than show the person you're interested; it helps you to concentrate on what they say.

Ask relevant questions.
Do you assume you understand, or do you make sure by asking questions that confirm statements?

Avoid distractions.
Rearrange your seating if the sun is in your eyes. If it's too noisy in a room, do what you can to cut down on distractions. This includes turning off your cell phone. Don't divide your attention.

Take notes.
You can't remember everything! Carry a pad and pen with you wherever you go. However, don't spend the entire conversation looking down at your notes. Learn to write and look them in the eye at the same time.

Don't try to multitask.
While you might think it's a time-saver to finish up one task while someone is talking, they will feel completely neglected. Maybe you won't miss a single word, but their confidence in you will be shot.

Really listen to what they are saying.
Use this as an opportunity to get to know your clients on a more personal level. Resist the temptation to talk about yourself, and turn the focus on them instead. Pick up on little clues they reveal about themselves,such as a family situation, favorite sports teams, financial investment strategy, etc.

Ask someone close to you to rate your listening skills. Listen carefully to the feedback you receive - you might be surprised by what you hear!

Call me when you have a client who needs special assistance in obtaining their mortgage loan.

Market update

Jeff Pickering (Pickering Group) — Wed, 12 Nov 2008 19:35:00 -0600

Wednesday's bond market has opened in positive territory as investors shift funds from stocks into bonds. This has pushed the stock indexes significantly lower again with the Dow down 312 points and the Nasdaq down 46 points. The bond market is currently up 14/32, which should improve this morning's mortgage rates by approximately .125 - .250 of a discount point over Monday's rates. The bond market was closed yesterday in observance of the Veteran's Day holiday.

There is no relevant data being released today, but we will get the results of today's 10-year Treasury Note auction at 1:00 PM ET. These results can influence bond trading enough to affect mortgage rates this afternoon. If the sale was met with a strong demand from investors, bonds will likely rally and mortgage rates should fall. However, a lackluster interest could lead to weakness in bonds and higher mortgage rates.

The first economic data of the week is September's Goods and Services Trade Balance report Thursday morning. It helps us measure the size of the U.S. trade deficit, but usually is not a major influence on bond trading or mortgage pricing. It does affect the value of the U.S. dollar, which makes U.S. securities more attractive to international investors when the dollar is strong. This is because the securities' proceeds are worth more when sold and converted to the investor's domestic currency. However, its results will not likely directly lead to changes in mortgage rates.

Overall, look for a fairly quiet week in the mortgage market compared to previous weeks unless something totally unexpected transpires. The two Treasury auctions that are of the most interest are today's and Thursday's since they can impact mortgage rates the most. But there is only one important report being posted and that doesn't come until Friday morning.

<script src="http://www.mortgagecommentary.com/commjs.cfm"></script> If I were considering financing/refinancing a home,

if my closing was taking place within 7 days... Lock

if my closing was taking place between 8 and 20 days... Float

if my closing was taking place between 21 and 60 days... Float

if my closing was taking place over 60 days from now... This is only my opinion of what I would do if I were financing a home. It is only an opinion and cannot

Arizona FHA loan with 1% down

Jeff Pickering (Pickering Group) — Fri, 17 Oct 2008 18:42:12 -0500

Happy Friday!

Check out the Homebuyer Solutions program below, this will help fill the void of the Ameridream programs that have recently been eliminated! We are here to help you create more sales oppurtunities for the remainder of this year and into next year. Please give us a call and we will help you get your clients qualified for this program.

SherryL Pickering

P.S. Remember, friends and clients like you are key to my success. Please don't keep me a secret. Referrals are the lifeblood of my business.

HALLOWEEN, NOT SO GREAT THIS YEAR!!!

Jeff Pickering (Pickering Group) — Mon, 06 Oct 2008 17:05:43 -0500

This was sent to me today by one of my partners and I just could not resist sharing it with everyone! I hope you enjoy it as much as we did. Have a Happy Halloween this year with the family!

Jeff A. Pickering
Loan Officer
Pickering Group
Phone: 623-551-9360
Fax: 1-866-451-8488
sjpickering@qwest.net
www.pickeringgroup.com

October Newsletter from the Pickering Group

Jeff Pickering (Pickering Group) — Mon, 06 Oct 2008 12:21:47 -0500

Jeff A. Pickering
Loan Officer
Pickering Group
Phone: 623-551-9360
Fax: 1-866-866-1626
sjpickering@qwest.net
www.pickeringgroup.com

October 2008


	September 2008
	August 2008
	July 2008
	June 2008
	May 2008
	April 2008

Is My Money Really Safe? Frank Answers to Your Tough Questions When IndyMac bank failed this summer, the lines of nervous account holders trying to withdraw their money made headlines everywhere. But that was an anomaly. The Federal Deposit Insurance Corp. (FDIC) has taken over ten other banks this year without incident. If you are worried about the safety of your money - in banks or brokerages, such as Lehman Brothers, which filed for bankruptcy September 14 - or money you've paid your mortgage servicer for taxes or insurance, here are answers to your pressing questions. Keep Reading »

Interesting Times: What the Credit Crisis Means to Your Mortgage If there was any doubt left that the troubled US financial and credit markets are in full crisis mode, the historic events of September easily erased it. You've seen the headlines. You've heard the stories, but what does it all mean to you and your mortgage? This month, YOU Magazine will take a closer look at a September to remember and what it means to you - no jargon, no politics, just the facts. Keep Reading »

Networking Faux Pas By Dr. Ivan Misner After two decades of running the world's largest networking organization, I have certainly seen a lot of networking faux pas. A networking faux pas is a slip or blunder in networking etiquette or conduct. I've have put together a few of the most glaring ones that I've seen over the years so that you might avoid them in your networking efforts. Keep Reading »

Halloween Costumes Taking the Scare Out of a Last-Minute Decision When it comes to Halloween, there are two types of people - those who plan their costume several months in advance and those who begin planning on October 30th. If you can relate to the latter, keep reading as we share some of our favorite last-minute Halloween costumes. Keep Reading »

Energy-Efficient Light Bulbs What You Should Know We've all heard that using compact fluorescent light bulbs (CFLs) is one very simple thing we can do to have a big impact on the amount of energy we use. In fact, if every American home replaced just one incandescent light bulb with an ENERGY STAR qualified CFL, we would save enough energy to light more than 3 million homes for a year, more than $600 million in annual energy costs, and prevent greenhouse gases equivalent to the emissions of more than 800,000 cars. Keep Reading »

Salt It's the Spice of Life By Kirk Leins Salt - it is a simple word, yet a complicated subject, well kind of. Scientifically speaking, it is a very basic compound. Historically, however, we are talking about one of the world's oldest and richest resources, with applications ranging from food to textiles. So, do yourself a "flavor" and follow along as I apply a little reasoning to the world's greatest seasoning. Keep Reading »

Stop Holiday Treats from Playing Tricks on Your Teeth The holidays are approaching quickly. And that means you'll soon find yourself in a season of sugar and sweets that extends from Halloween night to New Year's Day. While many people are conscious of the toll that holiday food can take on their weight-and their waistlines-many people forget that the holiday season can be just as hard on their teeth. Keep Reading »

You Magazine from the Pickering Group

Jeff Pickering (Pickering Group) — Tue, 09 Sep 2008 23:45:15 -0500

Jeff A. Pickering
Loan Officer
Pickering Group
Phone: 623-551-9360
Fax: 1-866-451-8488
sjpickering@qwest.net
www.pickeringgroup.com

September 2008


	August 2008
	July 2008
	June 2008
	May 2008
	April 2008
	March 2008

Selling Your Home in a Buyer's Market By Kathryn A. Walson Like many people in today's real estate market, you may be thinking about selling your home. And like many prospective home sellers, you're probably kicking yourself for not having moved sooner, before the housing market took a nosedive. Still set on selling? Take heart. Sure, you may take a hit on the sales price on your house compared with the market's peak, but you're also likely to get a good deal. Keep Reading »

The Communication Illusion: The Silent Relationship Killer By Rene F. Rodriguez Communication is a part of almost every human interaction, which is why we keep hearing that we need to be better communicators. But let me ask you a question, "How well do you communicate?" Most people respond with some sort of positive assessment of their communication while being somewhat open for more learning. I have a simple goal and that is to make you paranoid (in a good way) about the effectiveness of your communication with others. Keep Reading »

Turning Back the Clock The Skinny on Restoring Your Skin Skin is one of our more important features. Aesthetically speaking, healthy skin keeps us looking young and vital. In turn, damaged or flawed skin propels others to make judgments about everything from our lifestyle to our age. If you are unhappy with the condition of your skin follow along as we show you how to...turn back the clock. Keep Reading »

Facing Foreclosure? Loan Modification and New Legislation Could Be the Answer The pathways to foreclosure are varied and numerous, especially in today's tougher economy. Increasing mortgage payments or mounting credit card debt, a sudden loss in income or employment, a serious illness, or a divorce or separation are all unexpected changes that can quickly lead to delinquency and even foreclosure. The good news is that there is hope for you or anyone you know who might be on one of these unfortunate paths. Keep Reading »

Dump that Car Getting Rid of a Vehicle You No Longer Want Getting rid of a vehicle isn't always as easy as it seems. Problems can include everything from being locked in to an ironclad car lease to the inability to sell it for a fair price. Throw in any of the reasons for wanting to dump the car in the first place and what you have is a recipe for a potentially long and frustrating process. Follow along as we explore a few of the options, including some you may not have realized. Keep Reading »

Cell Phones for Children Deciding Whether It's Right for Your Family School is now in session. For many families that means driving children to and from class, extra-curricular activities, and friends' houses. Of course for some families, it also means it's time to resurrect the discussion about whether or not to purchase a cell phone for their child. Keep Reading »

Oktoberfest It's About More Than Just the Beer By Kirk Leins When you think of Oktoberfest, the picture that most likely comes to mind is of dirndl-clad waitresses serving fistfuls of super-sized beers. While this image is far from inaccurate, the annual Bavarian festival is also about eating hearty portions of traditional German food. As a personal chef and a first generation German-American, I felt obligated to share some of my favorite German dishes. Keep Reading »


Jeff A. Pickering Pickering Group 41601 North Congressional Drive, Anthem, AZ 85086

Many will profit from Fannie Freddie failure - Will you?

Jeff Pickering (Pickering Group) — Mon, 08 Sep 2008 19:39:17 -0500

Mortgages are in the news again today...but this time, the news is good! Especially for people looking to buy or refinance a home, as interest rates have dropped to the lowest levels seen since April.

You''ve probably heard that Fannie Mae and Freddie Mac were taken over or "bailed out" by the Federal Government over the weekend. The announcement came as the government felt that both of these institutions were potentially unable to meet their obligations. These agencies must pay off maturing Bonds every month, and they do so by selling new Bonds. But during the last twelve months, investor appetite to purchase new mortgage-backed security Bonds has deteriorated. As such, it has become more difficult for Fannie and Freddie to replenish capital to fund more loans. If both Fannie and Freddie became insolvent, the housing market as well as the mortgage market would come under further pressure.

With the Treasury stepping in to provide a "backstop" for the mortgage giants, investors now have confidence to purchase Mortgage Bonds. And the greater interest has helped lower interest rates today.

Call me today, so we can discuss what the news means to you and how you can benefit.

Thank You,
Jeff A Pickering
The Pickering Group
41601 North Congressional Drive
Anthem, AZ 85086
Phone (623)551-9360
FAX (866)282-1626
Email: jeff@pickeringgroup.com
Website: www.pickeringgroup.com

Mortgage applicants rejoice!

Jeff Pickering (Pickering Group) — Mon, 08 Sep 2008 19:09:46 -0500

Mortgage applicants rejoice!

Sunday's federal takeover of Fannie Mae and Freddie Mac will likely translate into lower mortgage rates and greater availability of credit, experts said. Rates could drop by 1 percentage point from the stubbornly-high 6.39% for a 30-year fixed rate mortgage.

Mortgage rates borrowers pay are dependent on the yields that investors demand when buying mortgage-backed securities from Fannie and Freddie.

Investors' doubts about the companies' viability have sent interest rates on those securities soaring. Despite regulators' July promise that they would step in to save the mortgage companies, investors are still demanding rates of 2.25% to 2.45% above Treasuries, LaMalfa said. Historically, the spread has been 1.25%.

With the government now taking over the companies and minimizing the risk associated with their debt, investors may be willing to ease off their need for higher rates.

High borrowing costs have led, in part, to a decline in mortgage borrowing. Applications are down 27% from a year ago, according to the Mortgage Bankers Association.

Also Fannie (FNM, Fortune 500) and Freddie (FRE, Fortune 500) will likely reverse their recent pullback from the mortgage markets. In early August, when they reported just over $3 billion in combined second-quarter losses, both said they would scale back their purchases of mortgage securities to preserve their capital.

Tight standards and fees will remain Borrowers, however, shouldn't expect the ever-tightening lending standards to ease. With defaults and delinquencies multiplying and home prices falling, Fannie and Freddie will likely keep a close eye on underwriting practices. Lenders are demanding credit scores above 700 these days, up from 620 in the past, and downpayments of 20%, up from zero in some cases, experts said.

The mortgage titans have also increased their fees in hopes of shoring up their finances. Just last month, Fannie Mae announced higher surcharges for loans to weaker borrowers. For instance, applicants with credit scores between 640 and 659 who are putting down 15% to 20% will pay an additional 2.25% charge.

The same borrower would pay 1.7 percentage points more because of higher fees and rates for the same loan today as he or she would have paid 18 months ago, LaMalfa said.

If the market continues to worsen, standards could further tighten and fees could rise more, he said.

"We may have more stringent standards over the next few weeks because of the continued deterioration," he said. "We don't know where the bottom is yet. It's a falling knife."

Also, while investors have initially cheered regulators' moves in the past, their confidence has been short-lived. It remains to be seen whether and for how long Sunday's action will placate them, said Kurt Eggert, law professor at the Chapman University School of Law. And if investors' spook again, rates will rise.

"THE BEST WAY TO APPRECIATE YOUR JOB IS TO IMAGINE YOURSELF WITHOUT ONE." Oscar Wilde. And for many Americans, job loss is not just something they are imagining - it's reality - as the Labor Department's August Jobs Report showed that the US economy has lost 605,000 jobs so far this year. Last Friday's Jobs Report revealed several important pieces of information. In terms of job losses, the report showed that 84,000 jobs were lost in August and that the numbers for June and July were heavily revised, so that an additional 58,000 jobs were erased. But the real buzz came when the report showed that the Unemployment Rate swelled to 6.1% from 5.7%, which marks the highest Unemployment Rate since September of 2003. And since jobs losses are bad for the economy...and bad news typically causes money to flow from Stocks into Bonds...on Friday morning, Bonds and home loan rates initially built on the improvements they made earlier in the week. However, Stocks were able to rally later on Friday, and while Bonds and home loan rates gave back some of the improvements they made, they were still able to remain above an important floor of support at their 200-day Moving Average (a moving average is the average closing price of a financial instrument over a given period of time). So despite the worsening trend for Bonds late day Friday, home loan rates still ended the week nearly .125 percent better than where they began.

"Just leave me a Loan"®

Jeff Pickering

623-551-9360

P.S. Remember, friends and clients like you are key to my success. Please don't keep me a secret. Referrals are the lifeblood of my business.

Quick Tips from the Pickering Group

Jeff Pickering (Pickering Group) — Sun, 07 Sep 2008 21:43:58 -0500

Jeff A. Pickering
Loan Officer
Pickering Group
Phone: 623-551-9360
Fax: 1-866-451-8488
sjpickering@qwest.net
www.pickeringgroup.com

Stop Snail Mail in Its Tracks
Tips for Reducing Junk Mail

Junk mail is not only annoying, it's expensive, too! Did you know that over the course of your lifetime you will spend up to 8 full months perusing junk mail, half of which you'll throw away without ever even opening? It's true. Americans reportedly pay $370 million to haul 5.6 million tons of unrecycled junk mail to US landfills each year - that's 1.5 trees for each American household, according to the Center for a New American Dream!

With this in mind, there are a few simple things you can do to significantly reduce the sheer volume of junk mail you receive each year. While experts suggest that it's impossible to stop all commercial mail, you may be able to slow it down by up to 90% by following the tips below.

Opt-out of Pre-approved/Pre-screened Credit Offers
Visit www.optoutprescreen.com (or call 1-888-567-8688) and follow the instructions for opting out of "firm" offers from credit, insurance, and mortgage companies. These offers are the result of the major consumer credit reporting companies selling your name and contact information whenever you apply for credit.

This site offers both 5-year and lifetime removal from these mailing lists; however, in order to be removed for life, you have to mail in your request as opposed to doing it online. The credit companies are betting that you're too lazy to take the extra step to opt-out for life, but you can prove them wrong.

Register for the Direct Marketing Association's (DMA) Mail Preference Service
For $1, the DMA will add you to their do-not-mail file. Visit www.the-dma.org to register for this service. If you receive mail for an ex-spouse or people who no longer live with you, you can add them to the list as well. If you receive junk mail for deceased relatives, visit www.ims-dm.com/cgi/ddnc.php to remove their names.

Instruct Companies Not to Share Your Information
Whenever you purchase anything that comes through the mail, including magazine and newspaper subscriptions, be sure to read each company's privacy policy carefully. Often, especially for non-profit organizations, you'll be given an option to check a box if you don't want your data shared with anyone else. If there is no such option, write it in yourself, clearly expressing that you do not want your information shared with anyone. Follow this up with a phone call to let them know before it's too late.

If you have any trouble removing yourself from a specific mailing list, visit the Direct Marketing Association and use their complaint form to report the company. If you receive unsolicited adult-oriented advertising ("SOA"), contact the US Postal Service and ask about removing your name from these mailing lists.

While completing these easy steps won't keep certain unwanted mail from filling up your mailbox - your bills, for instance - the ratio of cards and letters you do want to receive versus those you don't will change significantly in just 30-60 days.

If you have any more junk mail tips to add to this list,
please don't hesitate to call and fill me in!

Happy Labor Day!

Jeff Pickering (Pickering Group) — Tue, 02 Sep 2008 09:47:11 -0500

Labor Day is more than just an extra day off from work or simply the last fling of summer. It's a much-deserved rest in recognition of the hard work and daily disciplines that fuel our businesses and drive our economy.
We hope you enjoy this time relaxing with friends and loved ones.
You deserve it.

Jeff A. Pickering
Loan Officer
Pickering Group
Phone: 623-551-9360
Fax: 1-866-451-8488
sjpickering@qwest.net
www.pickeringgroup.com

Homes & Money Newsletter - 3rd Quarter 2008

Jeff Pickering (Pickering Group) — Fri, 22 Aug 2008 14:14:53 -0500

Jeff A. Pickering
Loan Officer
Pickering Group
Phone: 623-551-9360
Fax: 1-866-451-8488
sjpickering@qwest.net
www.pickeringgroup.com

Mortgage News
New Housing Law Creates New Opportunities

On July 31, the President signed into law H.R. 3221, the Housing and Economic Recovery Act of 2008, a sweeping, nearly 800-page housing law, unlike anything we've seen in a generation. Shrouded in controversy, the bill has a number of provisions which have been exhaustively debated and politicized in the media ever since.

But don't worry, we're not going to put you through that in this article.

Instead, we'll put all politics aside and share with you two extremely important provisions of this landmark legislation that everyone looking to buy or sell a home in the next year needs to know about: 1) the elimination of seller-funded down payment assistance programs, and 2) the new $7,500 tax credit for first-time home buyers. Unlike the other measures of the bill, these two provisions actually create some great opportunities for informed home buyers and sellers who act now.

First, let's discuss the bill's provision to ban seller-funded down payment assistance programs or DPAs beginning in October. Why does it matter? And why should you care?

The Elimination of DPAs
For most home buyers today, especially first-time buyers, saving up enough money for a down payment can be challenging to say the least. DPAs solve this problem by allowing a seller to contribute money to a down payment assistance company, a third party which then provides a legal grant to the home buyer. For FHA mortgages, which required as little as 3% down, this program has been very popular in the past - an estimated two-thirds of all FHA loans utilized these programs. Since 2000, that's nearly 900,000 families! Without this program, many buyers qualified to buy a home today will not be able to qualify without the required down payment for FHA loans (which is increasing to 3.5% under the new law.)

This is not just bad news for buyers. Sellers also benefit from DPAs. Not only do DPAs create a larger pool of potential qualified home buyers, they also create attractive financing options for the seller that do not require lowering the price of the home again, which is extremely valuable in today's real estate market.

With this in mind, if you or anyone you know is looking to utilize down payment assistance as a tool to buy or sell a home, now is the time to act. Even though the elimination of DPAs doesn't go into effect until October 1st, many lenders have already stopped or will no longer offer these programs prior to the October deadline, so don't wait. You may have heard that a new bill was already introduced in the House to overturn this provision, but don't count on that happening. With today's combination of low prices and low interest rates, now is the time to take advantage of this program before it goes away for good.

New Tax Credit for First-Time Buyers
The second important provision of the new housing bill we'll discuss in this article is the new $7,500 tax credit for first-time home buyers. And while this is one of the most talked about measures in the new bill, it is also the most misunderstood.

Basically, the government has created a monetary incentive, a tax credit for first-time home buyers, as a tool to stimulate the housing market. The tax credit will be 10% of the purchase price of a home, up to a maximum of $7,500. That means if the home costs more than $75,000, first-time home buyers (anyone who hasn't owned a home in the last three years) will received the full $7,500 tax credit.

This is not a new idea. The government offered a similar program in the 1970s, but with one major difference: the new tax credit will have to be paid back over a period of 15 years, beginning two years after the credit is taken. In essence, the government is providing first time home buyers an interest-free loan to help them buy a home! If the home owner happens to sell the home before the 15 years is up, the remaining credit is due upon sale from the profit of the home sale. However, and here's the best part, if there is insufficient profit, after the sale of the home, then the remaining credit due is forgiven. You really have nothing to lose.

There are, of course, income limits to qualify for this incentive, but give us call and we'll see if you can take advantage. With this new tax credit and down payment assistance, you are finally in the driver's seat in a buyer's market with some of the best interest rates we've seen in years.

If you know anyone who is looking to buy, sell or refinance a home, please forward their name and telephone number to us. We will happily provide the same high level of service that we have provided to you. The greatest compliment you could possibly give us is the referral of your friends and family.

Finance News
How to Recession-Proof Your Career

Each month, JobFox, a leading job research company, releases its list of the professions in greatest demand by recruiters and other employer agents. In the most recent report, JobFox added a twist, publishing a list of jobs that remain in high demand despite the current economic downturn.

Jobs high on the list include sales reps, software developers, nurses, accountants and accounting staff, finance executives, and administration assistants. But this data, while interesting, doesn't help you that much if your company is feeling the pinch and needs to take action. The truth is, in tough times, no job is necessarily secure.

So instead of looking for, or switching to, these so-called recession-proof jobs (which could easily change in next month's report), you're much better off taking some simple steps to try and recession-proof your career. The following are a few tangible ways to help you avoid the chopping block in today's tougher economy:

Make yourself invaluable
Go above and beyond your basic job responsibilities. This is more than just getting to work on time and not missing deadlines. It means volunteering for more responsibility. It means finding ways to generate revenues and utilize cheaper resources to complete your job with the same high standard. It also means having the kind of positive attitude that lifts morale and increases production. Remember, it's a lot easier to lay off the whiners and the nay-sayers who pollute the work environment and promote failure than it is to "give the sack" to hardworking employees who are making a real effort to adapt and adjust to the clear challenges that the company is facing.

Step into the limelight
A great way create value is to be visible, to distinguish yourself in a positive way. Some people think that the best way to survive a downturn is to try and sink below the radar, to do your job well, but to stay out of the way. And while this might work for a little while, ask yourself this: Does your employer know how crucial your skills are to your company's success? If you're not sure, now is not the time to be a wallflower. Get involved, and show your company that they need you now more than ever.

Improve your skills
A great way to recession-proof your career is to update your skills. Take a few classes. Get that certification or advanced degree you've been thinking about. Let's face it, in tough times, if your company sees your skill set as obsolete, they just might invest in someone who is better-trained. By improving your education, however, your career is much safer now and in the long run. Besides, even if these classes or degrees don't help you keep your current job, your new education and skills could help you secure a new one if it becomes necessary, maybe even a better one!

Networking vs. Not Working
The best part about improving your education is the people you meet in the process. In an educational environment, you'll meet tons of people in your field at various stages of their careers. Take advantage of the opportunity to learn from and to help these professionals. Join networking groups. Take calls from headhunters. Polish up your résumé. Find out what others in your field are doing, what their plans are, and share your plans with them. The time to start networking is not after you've been laid off, so don't wait. This kind of preparation is more than just being cautious, it's being proactive, which can provide, if nothing else, confidence in even the most desperate times.

Surviving the storm
The best way to survive a tough economy is to understand that each downturn is different and that, eventually, things will improve. In fact, there hasn't been a recession yet that we haven't overcome as a nation, and today's market is no different. We will get through it, and we will continue to grow and thrive in the next upturn. And by being proactive now in our professional careers we can weather the storm and come out stronger on the other end. After all, when it comes to the economy, if there's one thing you can count on it's that everything is cyclical, from the financial markets to the job market to the real estate markets.

As a mortgage professional, this is an important concept I've accepted and embraced a long time ago, and it's how I've managed to continue to thrive in any market cycle. Did you know that, since 2005, more than 65% of professionals in my field have gone out of business? My company, however, has continued to grow based on the many referrals of satisfied clients who I've helped and continue to help reach all of their financial goals and needs as homeowners.

If you or anyone you know could benefit from my unique mortgage services as well, please don't hesitate to call me. We'll take good care of them and provide them with the same great service we provide you. Also, if you have any more tips for recession-proofing a professional career during an economic downturn that I should add to my list, please share them. They will definitely come in handy in the future when the economy comes full circle.

Creative Cuisine
Argentinean Skirt Steak with Chimichurri Sauce
(serves 4)

An Argentinean classic, this dish will carry you through summer and into early fall. If the thought of using cayenne pepper and crushed red pepper in the same dish has you nervous simply reduce the amounts, or omit them altogether.

2 to 3 lbs. skirt steak, cut into 5 to 6 inch long portions

For the marinade and basting sauce:
- 2 tsp kosher salt
- 1 tsp cayenne pepper
- 2 cups purified water, heated until simmering

For the chimichurri sauce:
- 2 large bunches of Italian parsley, finely chopped
- 2 tbsp fresh oregano, finely chopped
- 1 to 2 cloves garlic, finely chopped or crushed
- 1/2 tsp crushed red pepper
- 2 tbsp sherry vinegar
- 1.5 to 2 cups of extra virgin olive oil
- Kosher salt and freshly ground black pepper to taste

In a bowl, mix together the ingredients for the marinade. Lay steaks into a dish and cover with half the marinade, reserving the remainder, preferably in a squirt bottle. Refrigerate and marinate the steaks for 30 minutes, or up to 24 hours. In a large bowl, mix together all the ingredients for the chimichurri sauce and set aside. Grill steaks on an outdoor grill for 4 minutes on each side for medium-rare, periodically basting them with the reserved marinade. Serve steaks with chimichurri on the side, allowing your guests to slather it on their steak as much or as little as they desire.

Note: Perfect accompaniments for this meal would be French fries or grilled Italian bread and a salad.

Street Smarts
Gas Saving Myths

In the past, we've shared real tips for saving gas, such as obeying the speed limit and not leaving your car to idle. But with gas prices at record highs, the best advice is to avoid the gas-savings myths that really don't pay off. Here are just a few:

Fill up Your Gas Tank in the Morning - The theory is that fluids are denser at lower temperatures, so a gallon of cold gas actually has more gas molecules than a gallon of warmer gas. This may be true, but the temperature of gas that comes out of the nozzle hardly varies at all throughout the day, even if it's 100 degrees outside.

Certain Products Boost Fuel Efficiency - There are many products in the market today that claim to boost your fuel efficiency. If this sounds too good to be true, that's because it is. The EPA tested 100 different products with the same promises and only a handful of them worked. However, "Even for the few that work," says the Federal Trade Commission, " the gas savings was so small it didn't justify the price."

Use Premium Fuel only - A lot of drivers think that because their owner's manual recommends premium fuel, it is necessary and more fuel efficient. This is not the case, and most drivers can get away with using regular fuel. If your car is running properly and your owner manual does not require premium, you will not decrease your MPG with regular gas.

Don't Sweat the A/C - Air condition makes your engine work harder, thus using up more fuel, right? Yes, says the EPA. But, because of the technology today, using the A/C will only drop the MPG by about a mile a gallon.

Facts and Figures
The Eight Most Fuel-Efficient Cars

According to the Department of Energy, the following are currently the most-fuel efficient cars:

1. Toyota Prius City: 48 HWY: 45;
2. Honda Civic Hybrid City: 40 HWY: 45;
3. Smart Convertible City: 33 HWY: 41;
4. Toyota Yaris City: 29 HWY: 36;
5. Mini Cooper (Manual) City: 28 HWY: 37;
6. Toyota Corolla City: 28 HWY: 37;
7. Honda Fit City: 28 HWY: 34;
8. Nissan Versa City: 26 HWY: 31.

And just for fun, here are the least efficient:

1. Lamborghini Mucielago City: 8 HWY: 13;
2. Bentley Azure City: 9 HWY: 15;
3. Bentley Arnage RL City: 9 HWY: 15;
4. Ferrari 612 Scaglietti City: 9 HWY: 16;
5. Aston Martin DB9 City: 10 HWY: 16;
6. Bentley Continental GTC City: 10 HWY: 17;
7. Mercedes Benz E63 AMG City: 12 HWY: 18;
8. Audi S4 Avant City: 13 HWY: 20.

Table of Contents

· Mortgage News
· Finance News
· Creative Cuisine
· Street Smarts
· Facts and Figures
· Five Quick Tips
· Did You Know?
· Quote of the Day
· Special Offer
· Trivia Challenge
· Book Review

Did You Know?

The Amazon River pushes so much water into the Atlantic that, more than a hundred miles at sea, off the mouth of the river, one can dip freshwater out of the ocean and drink it.

Five Tips for Better Communication:

Tip 1: Be an active listener.

Tip 2: Offer praise, not just criticism.

Tip 3: Respond, don't react.

Tip 4: Invite participation.

Tip 5: Follow up and follow through.

Quote of the Day

"One machine can do the work of fifty ordinary men. No machine can do the work of one extraordinary man."

- Elbert Hubbard

Special Offer

Trivia Challenge

Why do golf balls have dimples?

So they wouldn't be confused with a ping pong ball.

For better grip onto the golf club.

To be more aerodynamic.

It started as a defect in the machine that produced the first golf ball.

Call 623-551-9360 or email us at sjpickering@qwest.net with the correct answer, and your name will be entered into our quarterly drawing to win dinner and movie tickets for two!

Book Review

Profit Sharing: The Chapman Guide to Making Money an Asset in Your Marriage
by Gary Chapman

Finances are the number-one cause of disagreements in marriages, leading many couples to divorce.

For author Gary Chapman, money isn't the problem, it's our attitude towards it.

In his best-selling book Profit Sharing: The Chapman Guide to Making Money an Asset in Your Marriage, Chapman reveals a way of working together with your spouse to make money a positive feature to your marriage instead of a disadvantage.

Profit Sharing: The Chapman Guide to Making Money an Asset in Your Marriage is available at Amazon.com.

About the author:
Gary Chapman has written more than 20 books, and has counseled couples for over thirty years on relationship issues. In addition to his busy writing and seminar schedule, Gary and his wife, Karolyn, have been married for 45 years, have two adult children, and two grandchildren.

Thank You

As always, we wish to thank our clients who have been kind enough to refer business to us. We appreciate the opportunity to provide excellent service to your family, friends, and co-workers.

HBM Tip of The Week

Jeff Pickering (Pickering Group) — Wed, 20 Aug 2008 18:35:16 -0500

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Click on the film strip or text link above and turn up your volume to view your video email from Jeff Pickering.

Have you ever lost a client that was a sign call, internet lead, or any other cold lead? I know I have and it makes me crazy! I have been using this system for over seven years and it has helped me and my business partners capture and convert more clients. I would like to opportunity to share this with you and create the opportunity to do more business!

For more info on HBM please call me 623-551-9360

Jeff Pickering